US Poor Punished For Saving Money

As if the American poor don’t suffer enough, now it turns out trying to get a leg up may only backfire. Yesterday, the National Center For Policy Analysis warned of catastrophic financial problems for poor people who save money. The Los Angeles Times story on the study explained that “each $1 saved by a single mother earning $15,000 a year would cost her $2.60 in higher taxes and lost government benefits.”

Among other things, “putting a few dollars aside in a retirement plan can disqualify families for food stamps, healthcare benefits, and assistance given to poor families with children.” —BRIAN FAIRBANKS

Poor In US Punished For Saving Money [Boston Globe]
(Photo: Getty)