Joe Average Americans: What is your economic situation actually like?

[edro]

I bought a house at the end of the housing boom.
I sold my house 6 months ago in the peak of the housing bust for more than I paid for it.
I got a new job, making more money a few months ago during "economic crisis".

I am doing quite well...
The media is a fear monger.

 

[slsmnaz]

not too bad really. Our IT dept got rid of a lot of folks so I got moved but ended up doing the same work and got a raise (go figure). The wife and I had made a real effort a while back to eliminate debt so we only have the mortgage and are paying that down. So basically we make more money and have less debt than we did 2 years ago.

 

[kranky]

Personally I'm OK. I was lucky enough to choose to stick with my boring, stable industry a few years ago when many co-workers left to move to the "hot jobs" in construction-related fields. Hasn't worked out that well.

One friend has 20 years experience as an architect. His company cut back from 20 to 6 people in early 2009, he was one of the 6 they kept. Then they put him on a 3-day week (that's a 40% pay cut) until things turned around. That was a year ago and he's now going to start fresh in another field because he can't continue on 3-day weeks. He's probably going to go into auto repair.

Another friend was a specification writer, 18 years experience. His company cut back from 14 people to 4, he was one of the 4 they kept. They put him on 4-day weeks, then 3-day weeks, then 2-day weeks. He hung on because they were still covering his full benefits. Two weeks ago they cut him loose. They are in business in name only, the remaining three employees are all part owners.

Another friend worked for a equipment rental place. When he took that job I told him I thought it would be a solid job even in a down economy, since people will save money by renting equipment instead of buying their own. They cut back from 15 people to 5 about a year ago. Last month they let him go and they are going to close. I was wrong.

And another friend is a very experienced software developer. Knows all the latest technologies. But his 25 years of experience is not helping him since his competition is in India and will work for pennies. He's been picking up small contract jobs here and there but anything big and long-term he tries to get seems to get outsourced to another country.

One more - he's an auto mechanic with 15 years experience. Works for a small repair shop that has all the business they can handle. The owner is going to close it down at the end of the year because he has enough to retire on and can't (won't) spend the money to buy the expensive, computerized diagnostic equipment needed to stay competitive with the big shops. Even though the business is profitable today, if he were to buy the equipment he needs to do the high-tech stuff he wouldn't recover the costs for 5 years. He's just going to pack it in. My friend will probably end up working for a Pep Boys type operation at a big pay cut.

A friend graduated from nursing school in December. Can't find a job.

Sure, many people are doing OK, but this is as bad as I've ever seen it, and there's little optimism it will improve in the near future.

 

[Farang]

Basically you either have a job or you don't. If you still have a job the risk of losing it is far higher than before. The problem (now days) with losing a job is that there are so many people seeking employment at all levels of experience that your actual chances of getting the job are very, very low. I entered the workforce after college about two years ago but have the advantage of working in a niche field and being lucky to some extent.

I agree with this, although my company is expanding. I graduated at the end of 2008 and probably still wouldn't have a job had it not been for 5 months of minimum wage, (what I thought was) completely useless work experience during college. Also in a niche field, it got my resume to the top of the pile. Now on track to possibly get promoted somewhere else in the same field.

In 2006, I was on my own with $1,000 to my name and little credit. So I basically had a month to find a job. I found one with full benefits, vacation, that today starts at about $30k/yr (had I stayed there I'd probably be making $34k or so). I had no degree and no experience. I was offered another job at $11/hr. It took I think about two weeks.

 

[Gibson486]

Electrical engineering in canada is totally fucked. Entry level jobs are being bombed with hundreds of applicants. Jobs i have been interviewed for all had more than 20 people to interview.

I hope the USA is doing better than this.

nope.

 

[child of wonder]

I've been working in IT for the last 6 years and have been laid off twice in that span.

However, since my specialty is a hot commodity (VMware) I've been able to find jobs easily. But that will change once the virtualization wave ends.

 

[BigFatCow]

One more - he's an auto mechanic with 15 years experience. Works for a small repair shop that has all the business they can handle. The owner is going to close it down at the end of the year because he has enough to retire on and can't (won't) spend the money to buy the expensive, computerized diagnostic equipment needed to stay competitive with the big shops. Even though the business is profitable today, if he were to buy the equipment he needs to do the high-tech stuff he wouldn't recover the costs for 5 years. He's just going to pack it in. My friend will probably end up working for a Pep Boys type operation at a big pay cut.

Has he thought about buying the company from the current owner?

 

[Fritzo]

We were hurting for a year or two, but we had a lot of things that led up to it:

1. We started to build a new house at the end of the housing boom. It took 8 months to build, and our realtor said that she would have to problem selling our old house in 4 months. It took nearly TWO YEARS, so we were paying double house payments and utilities.
2. My wife had to retire due to illness, and the retirement lawyer said that state pensions offer free health insurance. They changed that 2 months before her retirement was finalized, and how have to pay nearly $300/month to cover her w/ a $1000 deductable (which she uses in the first 1-2 months usually).
3. We had to live on our savings and credit for a year after our house didn't sell, depleting both.
4. $4/gallon gas hit, and we owned an Envoy XL, and I had a 40 mile round trip commute to work. had to sell it and buy a cheap economy car

I took a large consolodation loan from my parents and we're just now recovering this year after 4 years of suckage. Unforseen cutbacks and market issues caused us financial hell, but it looks like there's light at the end of the tunnel.

 

[HardcoreRobot]

only negatives for me is that our house has dropped 100k in value since we bought in 2007. not selling, so no biggie and might help when we upgrade. sadly no tax break either, county slashed appraisals & jacked rates. job is solid, income is fine.

 

[skace]

I'm thinking of retiring at 30

 

[Wyndru]

Laid off 2 times in the past 3 years due to one company being bought out, another downsizing. Took a 10k pay cut for my most recent job after 6 months of not even an interview or callback on tons of applications. Having problems refinancing my house because of this, even though it would save me $150/month, which would be nice right now.

Not in bad shape, but not as comfy I was 4 years ago.

 

[PricklyPete]

My career has steadily improved throughout the "recession". My wife was laid off 2 years ago, but she does freelance work now on her own schedule which is much better for us anyway (we're planning on having kids soon and she would have stopped working anyway).

I don't think this is represented of all of America though. A lot more of my friends have had misfortune with some getting laid off or spouses being laid off. Family businesses going bankrupt. Too many people thought they had too much with the inflated real estate prices which made them feel ok carrying ridiculous amounts of debt.

 

[kranky]

Has he thought about buying the company from the current owner?

Yes, he's been trying ever since the owner started making noises about shutting down. But the owner is a weird old dude and would rather shut it down than sell it. No logical reason, just doesn't want to sell the business. A few months ago I suggested that my friend tell the owner that if he sells, he could be free of hazmat cleanup liability down the road because he could specifically put that burden on the new owner. I thought that would be added incentive to sell.

The old guy claimed he called his attorney and the attorney told him he will never be able to transfer that potential liability. My friend thinks he made that up just to have more justification for not selling. So it seems the old guy would rather close it down and keep the property until he dies.

 

[edro]

Wow... I seem to be extremely fortunate.

Good luck with the future everyone!

 

[HumblePie]

I've been in IT for almost 12 years now off and on. While I have my degree, and many years of experience, I've had to start at the bottom a few times already and take a pay cut just to keep working. I was on unemployment for about 8 months at one point and blew through most of my miserable savings from my previous miserable paying job.

However, last year I got picked up for a contract that has been paying and doing well enough. The problem is the extra work for the contract was suppose to expire this month. They already let everyone else go this month or next. Thankfully they are keeping me until December because they want me and want to see if they can get more money/work for me to stick around. If it doesn't pan out though I'll be looking for a job again at the end of this year. I think though it won't be to hard this time around to find one.

 

[Homerboy]

Shitty.
Had a great job, great pay that I loved... LOVED. Then got laid off.
Unemployed for ~9 months (I "consulted" and wife has a small business). Money disappeared. CCs were used. Everything F'ed
Found a job (at old employer) for 40% pay-cut. Yahooo!!!

(I just posted this same thing in P&N mins ago. WTF)

 

[skyking]

I'm in the construction trades, and it is very bad. I have not worked steady since march of 09. Before that I had been 5 years solid employment with the same company.

 

[Kev]

Threads like these are so depressing. I am doing pretty well right now, but after being laid off last year I realize that could change at any time. I got pretty lucky to find a new job so quickly. Good luck to everyone having a rough time, hopefully this economy turns around soon.

 

[drum]

Wow... I seem to be extremely fortunate.

Good luck with the future everyone!

I think so.
We had to bring money to the table to get rid of my wife's condo which really sucks. Your house is much more desirable than the condo though. You get a lot more for the money not mention lack of HOA

 

[Mide]

I'm in IT as well. Currently have a job but business is bad and the whole thing might fold. There have been no bites for other IT jobs in the area so yeah if I lost this one I don't know how long I'd be waiting till the next opportunity.

 

[Kreon]

My family is still about the same.
Both my parents are teachers, so their jobs aren't going anywhere.
Their benefits are though...

I myself am doing pretty good. I was one of only a couple in my major+year to get a paid co-op this summer. Those that had other jobs were working for minimum wage.

I'm going into Civil Engineering, so I'm a little worried about a job out of school.The seniors the past couple years have had a hard time finding jobs. Hopefully with my masters I will fair well.

 

[BlahBlahYouToo]

I'm out in Hollywood
I'm 6 foot 5 and I look damn good
I drive a Maserati
I'm a black-belt in karate
And I love a good glass of wine
It turns girls on that I’m mysterious
I tell them I don't want nothing serious
'Cause even on a slow day
I could have a three way

liar. you're indian.

 

[Elias824]

The majority of people that were laid off were in construction, tech hasnt been hurt as much so im sure most of the atot people are doing ok. As for myself im just working part time and going to school, though im sure I could easily find a full time job that paid more if i needed to.

 

[BlahBlahYouToo]

My family is still about the same.
Both my parents are teachers, so their jobs aren't going anywhere.
Their benefits are though...

I myself am doing pretty good. I was one of only a couple in my major+year to get a paid co-op this summer. Those that had other jobs were working for minimum wage.

I'm going into Civil Engineering, so I'm a little worried about a job out of school.The seniors the past couple years have had a hard time finding jobs. Hopefully with my masters I will fair well.

boohoohoo... god forbid they contribute to their own benefits and pensions instead of leeching off taxpayers.

 

[nerp]

I'm doing better than ever. I just got a new job that pretty much doubled my salary. And the key perk is I work from home, Starbucks or wherever I want.