Over the last few years the dinosaur media has been building up the news to show that the US economy is in full recovery. In fact, they recently hooped it up to the news of 6.7% unemployment. While, the government employees probably believe these numbers, those in the private sector are having a tough time believing it. As the government continues to push out these unbelievable numbers it’s easy to do a little bit of research as much of the information is right in plain sight on their websites. That is how economist John Williams has become famous and made a good living using their data with his own standard accounting model. This model includes everything and shows true inflation and economic numbers unlike the ones released by the federal government.
This brings me to my next point, after digging through the U.S. Census Bureau website, it became apparent there were only 86,429,000 private-sector full-time employees working in the US. As everyone should know, this is the core group that supports the entire economic structure. The tax base from this group is the nuts and bolts that drive the system. After continuing to dig it even got more interesting to find out that this same group of individuals, are the ones supporting 147,802,000 non-veteran benefit takers. Included in this group were 49,901,000 people receiving Social Security and 46,440,000 receiving Medicare. Added to that were 5,098,000 receiving unemployment and let’s not forget the rest that receive welfare benefits. As more baby boomers are retiring now and the prospect of Obamacare coming online, this group is on the verge of exploding.
Now that it’s becoming more and more apparent that hyperinflation is just around the corner, most Americans will have a tough time making ends meet. With the new health care plan many companies are facing the reality that huge layoffs are in their future. This private sector number will continue to decline as the number of those receiving benefits will continue to increase. For those that have their eyes open, it’s easy to see that bankruptcy will be in the future for many Americans over the next few years. The government’s idea of using quantitative easing to fix the economy has not worked but will only cause extensive pain for the middle class. During these uncertain times, people need to take the rose colored glasses off and face the reality that this is the new normal. The years of flipping houses and living like a rock star are gone and will never return.
In the past, when a person lost their job it was rarely permanent. In today’s uncertain economic times when someone loses their job they might have to consider a career change. The unemployment rate for the United States has been over 8% for 3 1/2 years now and doesn’t seem to be getting any better. Because of these conditions people that end up finding themselves unemployed should consider the possibility of filing for bankruptcy if necessary. Too many people wait too long to file bankruptcy that ends up in financial distress. Being proactive especially in this economy will save a lot of heartache and future stress.
Many people only wish they had heeded to the warnings and decided to file for bankruptcy sooner. Too often people bury their head in the sand not realizing their unemployment is permanent and burn through all of their savings before they realize that filing bankruptcy was not such a bad idea. When things get bad, people should be running into the office of a bankruptcy attorney to learn their options. Waiting until your unemployment runs out, usually is too late. Just think of all the money that was spent on minimum payments over a couple of years. This easily could add up to thousands of dollars that would’ve gone towards hiring a bankruptcy attorney and paying filing fees.
Looking to the future, there isn’t very much bright financial news for anyone. Because of this, Americans should be nimble when it comes to making financial decisions. Waiting around might only end up in the loss of all of the family’s assets because of not heeding to the warnings.