A few years ago, the Wall Street Journal published a piece about people earning less than $12,000 a year. The paper called them “Lucky Duckies” because they paid no federal income tax. (WSJ didn’t mention that they paid Social Security and Medicare tax at a much higher percentage than high-wage earners.)
There has been much in the news about people agitating for a $15.00 per hour minimum wage. Here is a handy chart that shows you how to build wealth on half that.
A few highlights:
- Sell your car. Buy a used bicycle for your commute.
- Relocate to a place where rents are cheaper. If you’re in San Francisco, move to Amarillo. But how do you pay for a one-way rental truck when you’re making the minimum wage? Well, maybe you’ll take only what fits in your car. Oh, that’s right; you don’t have a car.
- Buy your clothes at the thrift store.
- Spend $0.00 on entertainment.
- But buy health insurance. (Your minimum-wage job doesn’t include medical coverage.) Of course, Congress is working feverishly to eliminate subsidies for low-income people.
Not mentioned: Don’t have children. There’s no money in the budget for that. Practice celibacy; you can’t afford birth control either.
You lucky ducky.
