When $100,000 makes you Go Broke: The Invisible Hand Forces Americans Into Debt

From DoctorHousingBubble.com:

Many people reading this blog from states with moderate housing prices have a very hard time understanding how a family earning $100,000 a year is having a challenging time staying in the middle class ranks. The idea of a six-figure income certainly doesn’t connote the same wealthy status as it did a decade ago. But where is all the money going then? Now that we are quickly approaching the great Wal-Mart voucher stimulus revolution and will see our accounts increase by $600 to $2,400 depending on our family situation, once we look at the cost of monthly items we realize that this money is a drop in the bucket for most Americans. In fact, there is so much debt out there that many are now saying they’ll use the money to pay off current debt or save; certainly not the intention of what the current government has in mind. They would love nothing more if you went and blew your stimulus check on a new laptop or stove and one month later, are back in the same spot.

This is the problem with deficit spending on many levels. At a certain point debt will crush an economy if it is not handled properly. We have done an abysmal job managing debt over the past few decades and now we are seeing the after effects of this. Today I want to put out a hypothetical budget for a family with 2 kids earning $100,000 a year and show you how easily it is to go into debt. This data is conservative and I will talk about a few of major line items later in the article. So now I present to you going broke on $100,000 a year:

The You Suck at Photoshop Guys Revealed

From Time.com:

Ready? Troy Hitch, 37, and Matt Bledsoe, 39 — the guys responsible for YSAP and its sequel — met a few years ago while producing a radio ad in Cincinnati, which is 10 minutes from Covington. Bledsoe was the ad’s creative director and Hitch, a polymath, was doing the voice-over (he’s also the voice of Donnie and a real Photoshop expert). They quickly became buddies, started writing funny bits together, and partnered up at a creative agency Hitch later started, Big Fat Institute.

Enter Rob Barnett, a show biz guy who had worked at MTV, VH1 and was president of CBS Radio. In 2006, Barnett had decided to become a web video impresario and was looking for someone to design his site. A friend suggested he look at a number of hot sites — including Big Fat Institute. “It was hysterical,” he recalled recently. “I was instantly engaged and emailed them ‘WHO are you?’ In 38 seconds, I get a response: ‘Who are YOU?’ We started flirting.” The email led to phone calls and an invitation to visit Barnett: “A few days later, they jumped on a plane to Newark and we fell in love.” The guys built Barnett’s website, MyDamnChannel, and started doing comedy videos for it. Maybe you’ve seen “Itty Bitty Liddy,” about a 6-inch-tall Gordon Liddy? Or Tim after Tim about, er, something else? Probably not.

Anyway, one night, they found themselves facing a deadline, with no content. They had long nurtured an idea for a character they thought of as “the Angry Photoshop Guy.” Explained Bledsoe: “We had both been in the agency business so long that after a while we’d seen every kind of person in the advertising world.” One of those stereotypes, he said, was the “insane designer, basically. He has horrible social skills and horrible things going on in his life and the only thing he has going for him is he can out-Photoshop the guy in the cube next to him.”