Anonymous wrote:It means buying gas a gallon at a time. With pennies, dimes and nickels. I also pick up the free tampons everywhere I see them. There is NO charge card for emergency spending, like the blowout I had today, and the spare tire is also busted. It means not going to work because you have no means to get there. I didn't grow up this way. My family had money, so I can assure you that most people have no idea what the struggle is really like. You can't even imagine how many hours in the day it takes to scrape up enough change to buy a gallon of gas....

WHy is your life like this?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:It means there are no savings and every paycheck goes toward immediate living expenses. If a paycheck doesn't come, then the rent/mortgage doesn't get paid and the groceries run out.

almost this. I would say having only $1K left at the end of the month after all bills are paid.

But then you're saving $12,000 a year. $1,000 is more than 62 percent of Americans say they have saved, [ur=http://www.fool.com/retirement/general/2016/03/11/the-average-americans-saving-habits-9-scary-statis.aspxl]total[/url].

No honey. That extra $1K at the end of the month does not go "into savings" that eventually turns into $12K after one year. That $1K is what you hang on to till the next paycheck arrives hoping and praying that you don't have an emergency expense come up.

That's not how money and savings works. To build up actual savings, you need to first have an emergency fund. not a huge one but you need one before you can legitimately say that the $1K per month is part of you building your savings account.

It doesn't matter, the point is still that "paycheck to paycheck" doesn't mean you have $1,000 left over after you've paid your bills. If you've got $1,000 kicking around that you might at least be able to throw at an emergency if it comes up, you're better off than most Americans are.

Anonymous wrote:For me, it means being stressed out at 1:30 in the morning trying to figure out which bills will get paid before the next paycheck at the end of the month. It means every paycheck is basically spent before you get it. No retirement contributions. No savings. No 529. No new furniture. No new clothes except underwear. Only putting a couple gallons in the tank at a time. It sucks.

It was kind of an adventure when I was in my 20s. It went away in my 20s and 30s but medical expenses and job losses have us back on the rocks. At least I know how to get by like this. Grateful that we have a roof (for now) and the kids don't go hungry. So many families have it much tougher.

I hope things look up for you soon, pp.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:It means there are no savings and every paycheck goes toward immediate living expenses. If a paycheck doesn't come, then the rent/mortgage doesn't get paid and the groceries run out.

almost this. I would say having only $1K left at the end of the month after all bills are paid.

But then you're saving $12,000 a year. $1,000 is more than 62 percent of Americans say they have saved, [ur=http://www.fool.com/retirement/general/2016/03/11/the-average-americans-saving-habits-9-scary-statis.aspxl]total[/url].

No honey. That extra $1K at the end of the month does not go "into savings" that eventually turns into $12K after one year. That $1K is what you hang on to till the next paycheck arrives hoping and praying that you don't have an emergency expense come up.

That's not how money and savings works. To build up actual savings, you need to first have an emergency fund. not a huge one but you need one before you can legitimately say that the $1K per month is part of you building your savings account.

Anonymous wrote:

Anonymous wrote:It means there are no savings and every paycheck goes toward immediate living expenses. If a paycheck doesn't come, then the rent/mortgage doesn't get paid and the groceries run out.

almost this. I would say having only $1K left at the end of the month after all bills are paid.

But then you're saving $12,000 a year. $1,000 is more than 62 percent of Americans say they have saved, [ur=http://www.fool.com/retirement/general/2016/03/11/the-average-americans-saving-habits-9-scary-statis.aspxl]total[/url].

I get depressed from time to time thinking I'm living check to check, but after reading this I'm a bit more encouraged to keep going, I've come so far from what others are describing as a check to check life. In my mind though, I feel like I'm still in the check too check category. I have $50k in debt, down from 80k but 10,000 in savings and a few thousand in my 401k. I went into debt to take my dream job, which is finally beginning to pay well with large bonus checks and 1000 a month going towards debt repayment every month.

Anonymous wrote:I grew up in a paycheck to paycheck family. You know the show Roseanne? That was my life. I never felt disadvantaged though because everyone else I knew lived in very similar circumstances. Examples include:
1.) The fridge was bare the day before payday. We would have things like eggs and pancakes (bacon wouldn't be left though) or cereal or maybe soup.
2.) If our car broke we were out a car. We would just get around town via bus or walking until we could swing enough cash to fix it or find someone who knows how to fix it. This would take weeks to months.
3.) We had one pair of school shoes and one pair of nice shoes. Thats it. No sandals or crocs or snowboots or tennis shoes designated for each sport.
4.) We rotated paying the electricity and the gas bill. You can go two months before a notice and 4 months before shut off. So you pay electric one month, gas the next, repeat and rotate. Once in a blue moon the lights get shut off and you count the change jar and drive up to the cashiers office and pay enough of it to turn the lights back on.
5.) You went out to eat a few times a year. To places like Big Boy. Birthdays mean boxed cake and MAYBE going out for ice cream.

Im sure if you really dig deep you know you hated it.

Anonymous wrote:

Anonymous wrote:I grew up in a paycheck to paycheck family. You know the show Roseanne? That was my life. I never felt disadvantaged though because everyone else I knew lived in very similar circumstances. Examples include:
1.) The fridge was bare the day before payday. We would have things like eggs and pancakes (bacon wouldn't be left though) or cereal or maybe soup.
2.) If our car broke we were out a car. We would just get around town via bus or walking until we could swing enough cash to fix it or find someone who knows how to fix it. This would take weeks to months.
3.) We had one pair of school shoes and one pair of nice shoes. Thats it. No sandals or crocs or snowboots or tennis shoes designated for each sport.
4.) We rotated paying the electricity and the gas bill. You can go two months before a notice and 4 months before shut off. So you pay electric one month, gas the next, repeat and rotate. Once in a blue moon the lights get shut off and you count the change jar and drive up to the cashiers office and pay enough of it to turn the lights back on.
5.) You went out to eat a few times a year. To places like Big Boy. Birthdays mean boxed cake and MAYBE going out for ice cream.

It's the people who know this that I really think are Paycheck to paycheck. Most people don't know. I remember a DCUM post from someone who always paid their CCs off every month and was panicked because her payment was a couple days late.

PP again. Ialso agree with this. There's only one pair of shoes, but it turns out there's different kinds of money. If you asked your mom if you could go to the movies or the mall and she would say - you got movie money? you got mall money? Or whatever it was.

Anonymous wrote:I grew up in a paycheck to paycheck family. You know the show Roseanne? That was my life. I never felt disadvantaged though because everyone else I knew lived in very similar circumstances. Examples include:
1.) The fridge was bare the day before payday. We would have things like eggs and pancakes (bacon wouldn't be left though) or cereal or maybe soup.
2.) If our car broke we were out a car. We would just get around town via bus or walking until we could swing enough cash to fix it or find someone who knows how to fix it. This would take weeks to months.
3.) We had one pair of school shoes and one pair of nice shoes. Thats it. No sandals or crocs or snowboots or tennis shoes designated for each sport.
4.) We rotated paying the electricity and the gas bill. You can go two months before a notice and 4 months before shut off. So you pay electric one month, gas the next, repeat and rotate. Once in a blue moon the lights get shut off and you count the change jar and drive up to the cashiers office and pay enough of it to turn the lights back on.
5.) You went out to eat a few times a year. To places like Big Boy. Birthdays mean boxed cake and MAYBE going out for ice cream.

It's the people who know this that I really think are Paycheck to paycheck. Most people don't know. I remember a DCUM post from someone who always paid their CCs off every month and was panicked because her payment was a couple days late.

I grew up in a paycheck to paycheck family. You know the show Roseanne? That was my life. I never felt disadvantaged though because everyone else I knew lived in very similar circumstances. Examples include:
1.) The fridge was bare the day before payday. We would have things like eggs and pancakes (bacon wouldn't be left though) or cereal or maybe soup.
2.) If our car broke we were out a car. We would just get around town via bus or walking until we could swing enough cash to fix it or find someone who knows how to fix it. This would take weeks to months.
3.) We had one pair of school shoes and one pair of nice shoes. Thats it. No sandals or crocs or snowboots or tennis shoes designated for each sport.
4.) We rotated paying the electricity and the gas bill. You can go two months before a notice and 4 months before shut off. So you pay electric one month, gas the next, repeat and rotate. Once in a blue moon the lights get shut off and you count the change jar and drive up to the cashiers office and pay enough of it to turn the lights back on.
5.) You went out to eat a few times a year. To places like Big Boy. Birthdays mean boxed cake and MAYBE going out for ice cream.

Anonymous wrote:To me, it means that you have little, if any, money by the time pay day comes around. Everything you got the last pay period is spent and little to no savings in case an emergency comes up.

It doesn't necessarily mean poor, because a lot of high HHI earners who live this way. They just have really high expenses and spend everything they earn. I remember when the gov shutdown happened in 2013, I was surprised at how many people really struggled when their paychecks were delayed. We still got paid, but getting paid a month late was threatening to put ppl in financial ruin.

But most of these people have retirement funds and likely home equity. It's not easy to get at these funds, but different than being completely destitute.

To me, it means that you have little, if any, money by the time pay day comes around. Everything you got the last pay period is spent and little to no savings in case an emergency comes up.

It doesn't necessarily mean poor, because a lot of high HHI earners who live this way. They just have really high expenses and spend everything they earn. I remember when the gov shutdown happened in 2013, I was surprised at how many people really struggled when their paychecks were delayed. We still got paid, but getting paid a month late was threatening to put ppl in financial ruin.

I once was walking by a blood drive and gave blood to get free cookies/snacks when I was scraping by in grad school

Paycheck to paycheck used to mean the working poor but in recent years it's meaning includes being house poor. You have all necessities plus but are financially stretched because you bought, saved, spent everything you bring in. A situation you CHOSE to be in.

Most people don't get to choose.

Anonymous wrote:At the end of the month, my friend has ZERO dollars for a few days until her DH gets paid on the 1st. They have every single penny accounted for

Not necessarily this. Your friend may have been every penny account d for but if some of those dollars are going into savings, retirement etc and it is because they are strict with their budget then it is not paycheck to paycheck.

As other posters said, it's where you have no other money to turn to before the next paycheck. Not that you choose not to...unclear which bucket your friend is in.