McDonald's Can't Figure Out How Its Workers Survive on Minimum Wage

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85 % of the workers at McD’s are part-time employees – these jobs are not meant to be regular primary jobs (except the 15% in management who are NOT making minimum wage) – usually these jobs are first jobs for high-school children or second jobs to supplement a full-time job.
 
There are rooming houses where you pay $250-$450 rent a month, you share a kitchen and bathroom. they are usually dirty and your neighbors leave a lot to be desired.
It depends where you live. Rooming houses are extremely (and I mean extremely) uncommon here due to zoning and health code issues and are generally not an option. Furthermore, these properties often have more profitable alternative uses, so if they are sold, the use terminates. In the case where people move into such places here, they stay for a long time or their entire life, because alternate housing at a similar price level simply does not exist.
 
Ha ha! Yeah, that’s what hubby and I did…until he got sick and required a few surgeries. Then, suddenly, we had medical bills equal to our car and house payment! Our budget was fine until then. Watch your savings vanish when that happens. Then, even when you have been living modestly, watch as your bills grow and grow and grow. The plans of mice and men.
OK? And the same thing would have happened back in Leo XIII’s time. A workman gets killed on the job (or severely maimed) and is unable to work.

I’m very sorry for your loss of income and well being. For what it’s worth, the same exact thing happened to my parents. They had well in excess of $1 million saved up for retirement. It was gone within a not that many years because my dad got very, very sick. At the time of his death, my mother had virtually nothing left for her remaining years. Rather than living a very comfortable retirement, she has to scrimp every month (I do what I can to help…but that’s not as much as I’d like…and, although we’ve offered, she has consistently refused to move up to metro DC).

And don’t think that the government is going to help make it easier. You may end up having an health quality review board tell you that it isn’t cost effective to do the expensive treatments and that you should just have palliative care (as Obama told Jane Sturm about her mother: just take a pain pill). If you really would like to get paranoid, look at the “Complete Lives System”, as advocated by Ezekiel Emanuel (you can read about it in this paper about apportioning health care)

The point being that no matter what you do, things can happen. My parents had massive funds saved up for a very comfortable and long retirement where they could travel and do anything they’d dreamed of doing. My dad’s employer had outstanding retiree insurance that started before Medicare and then supplemented Medicare after he turned 65 (it’s now been scaled waaaaaayyyy back in the past decade). They did every preparation, covered every contingency that they could have (long term care insurance was virtually unheard of before my dad initially got sick…and once he did, it was unavailable).

Sadly, this kind of thing happens sometimes. No matter how well you are prepared.
 
It depends where you live. Rooming houses are extremely (and I mean extremely) uncommon here due to zoning and health code issues and are generally not an option. Furthermore, these properties often have more profitable alternative uses, so if they are sold, the use terminates. In the case where people move into such places here, they stay for a long time or their entire life, because alternate housing at a similar price level simply does not exist.
Sharing apartments is something very commonly done among 20 somethings in metro DC, because of the extraordinary cost of housing (especially housing in decent areas) here. If you have three people sharing out a 3 br apartment, it becomes almost affordable on the wages they make at that age (a $2400 apartment split in 3 parts is almost do-able on a $45-$50k salary, which is what most of the young staffers, young bureaucrats, and young contractor people start out at).
 
Nonsense.I had three people come in my office last week who were starting new businesses.
John Stossel of Fox News did a special on this about a year ago. You can watch it on Youtube in its entirety, and I encourage you if you have the time. In case you don’t, below are two links. One summarizes the Stossel segment, the other source document’s the nightmare of trying to start you’re own businesses. In case you aren’t aware, Stossel is not a fan of Big Government. I think these link’s get to the point without covering you up with mountain’s of data. I know many, including myself who have tried to start business, and the barrier is daunting to be generous. Most failed not because they weren’t capable. Not because they weren’t “go getter’s,” but because of the endless red tape.

I don’t believe Belloc and Chesterton were full of “nonsense.” To quote Chesterton, “Too much capitalism does not mean too many capitalists, but too few capitalists.”

foxnews.com/opinion/2012/02/24/tried-to-open-lemonade-stand/

theeconomiccollapseblog.com/archives/start-a-business-in-the-united-states-are-you-kidding-me
 
They shouldn’t be taking college loans to begin with. Government subsidies artificially increase demand, and do so inelastically.
I agree but many will mortgage their life for that piece of paper.

Pax,
Tarpeian
 
John Stossel of Fox News did a special on this about a year ago. You can watch it on Youtube in its entirety, and I encourage you if you have the time. In case you don’t, below are two links. One summarizes the Stossel segment, the other source document’s the nightmare of trying to start you’re own businesses. In case you aren’t aware, Stossel is not a fan of Big Government. I think these link’s get to the point without covering you up with mountain’s of data. I know many, including myself who have tried to start business, and the barrier is daunting to be generous. Most failed not because they weren’t capable. Not because they weren’t “go getter’s,” but because of the endless red tape.

I don’t believe Belloc and Chesterton were full of “nonsense.” To quote Chesterton, “Too much capitalism does not mean too many capitalists, but too few capitalists.”

foxnews.com/opinion/2012/02/24/tried-to-open-lemonade-stand/

theeconomiccollapseblog.com/archives/start-a-business-in-the-united-states-are-you-kidding-me
ILL take my 32 years experience working with small to medium sized businesses over Stossel any day. You just need tho consult with someone echo knows how to navigate the red tape
 
For a history major or an English major or a psych major, they may have a hard time affording that Beemer and the 80 inch LCD for their McMansion. They may not be able to make a video on their iPhone 20.

There are any number of jobs that will pay a living wage:

If a workman’s wages be sufficient to enable him comfortably to support himself, his wife, and his children, he will find it easy, if he be a sensible man, to practice thrift, and he will not fail, by cutting down expenses, to put by some little savings and thus secure a modest source of income.
I’m not suggesting that a living wage includes the “ability to purchase the Beemer and the 80 inch LCD for their McMansion. They may not be able to make a video on their iPhone 20.”

A living wage IMO covers the rent/mortgage, house insurance, property taxes, home expenditures, water, sewer, electricity, gas/oil, phone service, internet service, lawn maintenance, car insurance, car title’s, car tag’s, inspection stickers, maintenance, fuel, clothe’s, educational expenses for homeschooled families, health expenses (doctor and dentist), prescriptions and food. I may have missed some, but I think you get the point. Notice I did not include car payment’s, cable, life insurance, or health insurance.

If we use 40K-50K as a “living wage” for a family of four. They barely tread water, depending on where you live you sink. In this scenario one trip to the hospital for the average medical procedure is catastrophic. Any savings you may have put away for the rainy day fund is wiped out. I would estimate at our parish 1/3 of all families average 4-10 kids.

Pax,
Tarpeian
 
ILL take my 32 years experience working with small to medium sized businesses over Stossel any day. You just need tho consult with someone echo knows how to navigate the red tape
I will admit I’m out of my element in self ownership and small business. So I will heed you’re advice. I worked for arguably one of the top ten companies in the world. It was again, arguably the most physically and mentally demanding job in the world. It’s the last of the “hire to retire” jobs left, if you have the perseverance to grind it out. So my perspective is seen through a different lens.

Pax,
Tarpeian
 
Sharing apartments is something very commonly done among 20 somethings in metro DC, because of the extraordinary cost of housing (especially housing in decent areas) here. If you have three people sharing out a 3 br apartment, it becomes almost affordable on the wages they make at that age (a $2400 apartment split in 3 parts is almost do-able on a $45-$50k salary, which is what most of the young staffers, young bureaucrats, and young contractor people start out at).
A lot of apartment and room sharing goes on here also, but much of it is not legal. It can become a major headache for the property owner is some gets hurt on premises.
 
I’m not suggesting that a living wage includes the “ability to purchase the Beemer and the 80 inch LCD for their McMansion. They may not be able to make a video on their iPhone 20.”

A living wage IMO covers the rent/mortgage, house insurance, property taxes, home expenditures, water, sewer, electricity, gas/oil, phone service, internet service, lawn maintenance, car insurance, car title’s, car tag’s, inspection stickers, maintenance, fuel, clothe’s, educational expenses for homeschooled families, health expenses (doctor and dentist), prescriptions and food. I may have missed some, but I think you get the point. Notice I did not include car payment’s, cable, life insurance, or health insurance.

If we use 40K-50K as a “living wage” for a family of four. They barely tread water, depending on where you live you sink. In this scenario one trip to the hospital for the average medical procedure is catastrophic. Any savings you may have put away for the rainy day fund is wiped out. I would estimate at our parish 1/3 of all families average 4-10 kids.

Pax,
Tarpeian
In my area, 40-50k would not meet all those needs for a family of 4. Not unless that family of 4 was living in Section 8 housing. In other areas, 40-50k would be a VERY healthy salary for a family of 4.

Here’s the dichotomy, though…if, somehow, we were able to raise the salary to 70-80k a year for a family of four, we would find that prices would rise so much that we would then be complaining how 70-80k was insufficient.

That’s the problem. Evil CEO salaries aren’t the cause. Profits being distributed to evil stockholders (like union retirement funds and individual 401k accounts) are not the cause. Labor costs throughout the value chain would be the cause.
 
In my area, 40-50k would not meet all those needs for a family of 4. Not unless that family of 4 was living in Section 8 housing. In other areas, 40-50k would be a VERY healthy salary for a family of 4.

Here’s the dichotomy, though…if, somehow, we were able to raise the salary to 70-80k a year for a family of four, we would find that prices would rise so much that we would then be complaining how 70-80k was insufficient.

That’s the problem. Evil CEO salaries aren’t the cause. Profits being distributed to evil stockholders (like union retirement funds and individual 401k accounts) are not the cause. Labor costs throughout the value chain would be the cause.
That’s because, irrespective of the dollar amount you attach to it, any given job has a set hourly value in terms of what you can exchange it for. Dollars are just to facilitate the exchange of goods and services. It is what it is - you can’t get more stuff for less work just by forcing employers to adhere to a living wage.
 
Other parts of the government taking money from social security is EXACTLY how social security was designed to operate. FICA taxes that are not immediately paid out to retirees are given to the Treasury department in exchange for “special issue” bonds. That money is used in the “general fund” just like any other tax revenue.

You need to read up a little bit on how the system operates before buying the political line of “raiding the lockbox.” That is just something done to scare senior citizens and near-senior citizens.

(It’s still a Ponzi scheme, don’t get me wrong, but it is a Ponzi scheme by design…not by theft)

Think I’m kidding: read from the Social Security site:

The Old-Age and Survivors Insurance Trust Fund and the Disability Insurance Trust Fund comprise the Social Security trust funds. Both funds are managed by the Department of the Treasury through their Bureau of Public Debt. Since the beginning of the Social Security program, all securities held by the trust funds have been issued by the Federal Government. There are two general types of such securities:

Special issues—available only to the trust funds
Public issues—marketable Treasury bonds available to the public.
The trust funds now hold only special issues, but they have held public issues in the past.
:eek: Thank you for that information!
 
Other parts of the government taking money from social security is EXACTLY how social security was designed to operate. FICA taxes that are not immediately paid out to retirees are given to the Treasury department in exchange for “special issue” bonds. That money is used in the “general fund” just like any other tax revenue.

You need to read up a little bit on how the system operates before buying the political line of “raiding the lockbox.” That is just something done to scare senior citizens and near-senior citizens.

(It’s still a Ponzi scheme, don’t get me wrong, but it is a Ponzi scheme by design…not by theft)

Think I’m kidding: read from the Social Security site:

The Old-Age and Survivors Insurance Trust Fund and the Disability Insurance Trust Fund comprise the Social Security trust funds. Both funds are managed by the Department of the Treasury through their Bureau of Public Debt. Since the beginning of the Social Security program, all securities held by the trust funds have been issued by the Federal Government. There are two general types of such securities:

Special issues—available only to the trust funds
Public issues—marketable Treasury bonds available to the public.
The trust funds now hold only special issues, but they have held public issues in the past.
But those funds lent out are supposed to be paid back: ask.com/wiki/Social_Security_(United_States)#Trust_fund and motherjones.com/kevin-drum/2012/12/social-security-trust-fund-is-real so in the sense that some of the funds have NOT been paid back then yes, social security was raided.
 
OK? And the same thing would have happened back in Leo XIII’s time. A workman gets killed on the job (or severely maimed) and is unable to work.

In Leo XIII’s time. Exactly. We should be able to correct the situation that only the ‘rich’ can afford to go to the doctor. Surely in today’s society we can prevent people from becoming poor due to ill health or an accident. It would help those working at McDonald’s or any other company. When people lose everything they have they become a burden on society And when hard-working people become a burden it’s horrible. If we can prevent this then it will cost way less in the long run. Home foreclosures and auto repos aren’t good for anyone. Yes, the poor will be with us always but people shouldn’t be poor because of illness or accident in my humble opinion. But we are. I just can’t understand why health-care isn’t as important to our country as local, state and federal highways, schools and defense. We pool our resources for those things why not health care? 🤷 🙂
 
However, another way to equalize things for those with dependents is to greatly increase the dependency exemption and the child care credit. Those have never kept up with inflation.

Single people pay a higher tax rate than married people and some insurance companies charge the same for a couple as for a family of 6 or more! There are built-in protections for people with families without the employer having to juggle pay according to the family size or marital status of his/her employees.
 
But those funds lent out are supposed to be paid back: ask.com/wiki/Social_Security_(United_States)#Trust_fund and motherjones.com/kevin-drum/2012/12/social-security-trust-fund-is-real so in the sense that some of the funds have NOT been paid back then yes, social security was raided.
They haven’t been paid back because Social Security hasn’t attempted to cash in the bonds yet. When that happens, there will be chaos, in as much as the government I’d already running a huge deficit every year. It will be a massive cascade effect that will destroy the economy.

The only way that the "trust fund"can be raided is if somebody made some of those special issue bonds disappear. To my knowledge (and I may be wrong), that hasn’t happened.
 
I agree but many will mortgage their life for that piece of paper.

Pax,
Tarpeian
The problem is many have no idea that they are doing so. Loaning tens of thousands of dollars to a person that’s never held a job and has no concept of money? Who does that… Oh yeah, the government…
 
Single people pay a higher tax rate than married people and some insurance companies charge the same for a couple as for a family of 6 or more! There are built-in protections for people with families without the employer having to juggle pay according to the family size or marital status of his/her employees.
Actually it was only under the Bush tax cuts that married people finally paid an amount EQUAL to single people - before that single people paid less. When you factor in a family they are still paying more - sometimes a LOT MORE.

Family of 4 with a $100,000 income will pay $2071.25 per person or $8285 total. While 4 single people with $25,000 each in income will pay $1853 or $7412.00 total.
 
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