There's an interesting amount of money you can make as a person living in the United States where you're not making enough money to both survive and save on your own; and, you're making too much money for the government to go out of its way to help you. I've had friends in those situations over the course of my life. I believe I've even heard of situations where people would turn down raises or even turn down jobs because making money at the new level earned them less money than the government help they were getting, and the government would stop giving them any help if they passed a certain threshold.
Maybe in your situations you've been lucky; but I've seen people on really hard times that cannot readily save. I'm grateful to know they're living stably now (as far as I know, little-to-know savings).
Yeah, we talk about "means testing" social security payments in this country, but little talk of "means testing" welfare recipients.
I worked with people 20 years ago (at a burger king) who would turn down shifts because that extra $15 for a 5 hour shift would put them over a limit and they'd lose all their food stamp money. We're very keen on progressive taxation, but apparently progressive welfare is too far out of our realm of possibilities.
Would like to point out that many years ago with respect to collecting unemployment that it was clear to me (after speaking to the former employees) that the ss office in the state that we were in was purposely coaching employees on how to stay on unemployment as a way of regulating the labor supply which could only absorb so many people otherwise wages would be depressed. My point is simply that there could be multiple masters being served here by these policies. Not saying that is why it is happening in your example but on the surface some things that don't make sense sometimes fulfill another purpose.
Another example might be looking the other way while employees cheat on expense reports. They get the money and everyone avoids additional payroll taxes.
Oh, I really do believe you're correct - there's too much of a system in place which needs to justify itself and the people who put it in to place. I think you're very right with the 'many masters', I just wish we didn't have to be so cynical to be able to spot these sorts of things.
How on earth then are so many illegal immigrants making enough money to both survive and also send money back to their families in their native countries?
Also, anecdotally, and since you brought it up, I was in a situation where I lived for many years at or below the poverty line, but I made due by living in inexpensive apartments I split with other people in the same situation. I think most young adults who aren't given a trust fund or financial help from their parents go through a period like this in their lives, usually while developing more marketable skills or working their way up a company's hierarchy.
The point is, you learn to make do, and you learn to survive, just like everyone else on this planet does. And if you want to increase your standard of living beyond sharing a dingy apartment with other people then you make yourself more valuable to employers somehow or accept your lot in life.
> How on earth then are so many illegal immigrants making enough money to both survive and also send money back to their families in their native countries?
Maybe in your situations you've been lucky; but I've seen people on really hard times that cannot readily save. I'm grateful to know they're living stably now (as far as I know, little-to-know savings).