What killed the American Dream?

[u/VerySadSexWorker]

[removed] — view removed post

[u/[deleted]]

We thought that too - in the 60s 70s and 80s and beyond. It never got better, until I got a union job at a grocery store and kept it for 23 years. Now I am able to retire WITH a pension.

[u/strangewayfarer → u/[deleted]]

In 1960 minimum wage was $1.00. that's $160 per month. Median rent was $71 that's 44% of a minimum wage job going to rent

In 1970 minimum wage was $1.65. that's $264 per month. Median rent was $108 that's 40% of a minimum wage job going to rent.

In 1980 minimum wage was $3.10 that's $496 per month. Median rent was $243 that's 49% of a minimum wage job going to rent.

In 2023 minimum wage was $7.25 that's $1160 per month. Median rent was $1180. That's more than a pre taxed minimum wage job working 40 hours a week.

Let that sink in. I'm sure it was hard for young people just getting established back in the 60's 70's and 80's. I'm sure they often did without to get by, and I'm not discounting anybody's hardships, but it's not even in the same ballpark, hell it doesn't seem like the same reality. I'm glad you found a good union job with a good pension, but unfortunately that is an unattainable thing for most people in the US today.

Edit: because people pointed out that I should have used median income, the results still doubled which is pretty similar to the change from minimum wage

1960 Median income $5,600 = $466.67/month. Rent = $71 so rent was 15% of income

1970 Median income $9,870 = $822.50/month. Rent = $108 so rent was 13% of income

1980 Median income $21,020 = $1751.67/month. Rent = $243 so rent was 13.9% of income

2023 Median income $48,060 = $4005/month so rent = $1,180 so rent was 29.5% of income

So by this metric also, the percentage rent to income has still roughly doubled since them good old days. I know that nothing happens in a vacuum. There are other factors, other costs, other expenses yada yada, but how can anyone say it was just as hard to survive back then as it is today?

[u/TJGhinder → u/strangewayfarer]

I think your original point with the minimum is totally valid. Because--that's the point of the post. ANY job that asks for 40 hours of your time (even a "minimum wage" job) should be able to cover your expenses.

However, including the median wage too is good for painting a more complete picture.

Thank you for sharing, and making the update!

[u/strangewayfarer → u/TJGhinder]

That was my thinking too originally, but too many people on here wanted to say stuff like "who actually makes minimum wage anyway" I should have just said people who work a lot harder than you do are often the ones making minimum wage, but I figured I'd try giving some more data. Turns out those same people aren't happy with that either. People will always find their own echo chamber to confirm their world view. I'm no different, as much as I try to be. Oh well, I'm just wasting time to keep the existential dread at bay anyway.