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$75,000 isn't what it used to be, so this is a pretty comically obvious headline. The median sale price of a house in the US in the year 2000 was around $163,0

$75,000 isn't what it used to be, so this is a pretty comically obvious headline. The median sale price of a house in the US in the year 2000 was around $163,000. Now it's $324,000. Meanwhile $48,000 in income then is now $75,000 today inflation adjusted, according to the BLS. If you stayed in that general income bracket, you've been royally punched in the face economically. And then we get to the cost of healthcare and education over the past 20 years. Someone in the $75,000 tier has spent the last two decades being financially tortured as their disposable income is being eroded by persistently rising costs they can't do much about (go without healthcare, don't buy a house, don't send the kids to college, don't have kids). That $324,000 house today will cost you $1,500 per month. After all taxes are accounted for, in a normal tax state, you're going to likely have ~$4,250 per month; after that house, you're down to $2,750; and that's before you get to any bills or saving. The only shot a person at $75,000 has today, is to live somewhere where the cost of living is quite low, or to pair up with someone and hopefully double that income (and that still won't be enough if you're in a more expensive location).

briefcomment 6y ago
And most salaries have not kept up with inflation, especially inflation in scarce desirable assets. Most people are worse off. Edit: Lol, parent is < 0 at the moment. Downvotes sound fine in theory, but are usually low-effort, passive aggressive enforcements of bias in practice. If you have real counter arguments to make, please make them.
ayyyolo 6y ago
Exactly! 75k is peanuts today, especially if you're single. Most people from my generation aren't even making that...what hope is there for them, let alone for Z.
- PaulDavisThe1st 6y ago
  The only hope is political organization. You can say it's peanuts, but it's also above the median household income. Sit back and think about that: what you consider peanuts (and you may well not be wrong) is more than the median household income in this country. If you are not outraged by this, then sure, there's no hope :)
  - briefcomment 6y ago
    I think bitcoin as an inflation hedge is another promising answer.
PaulDavisThe1st 6y ago
This can all be true but unless you combine it with the fact that median household income in the USA is only around $60k, you lose the full impact of what is actually a deeply and immersively political description.
sokoloff 6y ago
That $163K house in 2000 at 8% mortgage rate cost you $1196 in principal and interest. That $324K house in 2020 at 3% mortgage rate costs you $1366 in principal and interest. (assuming 100% financed, decrement both amounts as you see fit) That's only a 14% increase in monthly payment over 2000, while general inflation has increased by 56% over that same time (all using your figures above, with the exception of researched mortgage interest rates for 30-year fixed mortgages). I'm not saying it's not hard now, but it wasn't easy then either. Life has pretty much always been a struggle for most people.

briefcomment 6y ago

And most salaries have not kept up with inflation, especially inflation in scarce desirable assets. Most people are worse off. Edit: Lol, parent is < 0 at the moment. Downvotes sound fine in theory, but are usually low-effort, passive aggressive enforcements of bias in practice. If you have real counter arguments to make, please make them.

ayyyolo 6y ago

Exactly! 75k is peanuts today, especially if you're single. Most people from my generation aren't even making that...what hope is there for them, let alone for Z.

PaulDavisThe1st 6y ago
The only hope is political organization. You can say it's peanuts, but it's also above the median household income. Sit back and think about that: what you consider peanuts (and you may well not be wrong) is more than the median household income in this country. If you are not outraged by this, then sure, there's no hope :)
- briefcomment 6y ago
  I think bitcoin as an inflation hedge is another promising answer.

PaulDavisThe1st 6y ago

This can all be true but unless you combine it with the fact that median household income in the USA is only around $60k, you lose the full impact of what is actually a deeply and immersively political description.

sokoloff 6y ago

That $163K house in 2000 at 8% mortgage rate cost you $1196 in principal and interest. That $324K house in 2020 at 3% mortgage rate costs you $1366 in principal and interest. (assuming 100% financed, decrement both amounts as you see fit) That's only a 14% increase in monthly payment over 2000, while general inflation has increased by 56% over that same time (all using your figures above, with the exception of researched mortgage interest rates for 30-year fixed mortgages). I'm not saying it's not hard now, but it wasn't easy then either. Life has pretty much always been a struggle for most people.