The New Century IDA(Individual Development Accounts) helps people become successful 1st time homeowners, by teaching them financial literacy and economic independence. These stories are from the heart of the program: from IDA and housing success stories, to articles by working group members and volunteers.
Wednesday, August 1, 2012
How Different Classes Spend Their Money
The following is a very interesting graphic shared by NPR Planet Money. It illustrates how Americans spend their money and how budgets change across the income spectrum. The graph shows average household spending patterns in three income brackets- just below the poverty line, at the middle of the income distribution, and one at the top of income distribution.
There are some similarities. For example, each income bracket spends a similar portion of their budgets on clothing and shoes and food outside the home. But poor families are forced to spend a larger portion of their budget on basic necessities like utilities and health care.
What jumps out at you when you look at this illustration? Does anything surprise you?