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Why donít blacks save more?
Reuters ^ | April 12, 2011

Posted on 04/16/2011 4:54:34 AM PDT by reaganaut1

Yet another survey confirms what we already know: Blacks don’t save as much as their white counterparts.

According to Prudential’s new study — the African American Financial Experience — 60 percent of African-Americans have less than $50,000 in company retirement plans and only 23 percent have more than $100,000. They’re also three times more likely to raid their 401(k) or other retirement plans to meet immediate financial needs, the study says.

Prudential’s findings echo research by Ariel Investments, which looks at middle class blacks. (According to Ariel’s July 2010 study, the median assets blacks have retirement plans is about half the amount that whites have accumulated: $56,000 compared to $106,000.)

This issue has not gone unnoticed in corporate boardrooms. One company that is trying to narrow the retirement savings gap among minority workers is McDonald’s, which uses some unconventional (along with very traditional) methods to get black and Latino employees to save for retirement.

(Excerpt) Read more at blogs.reuters.com ...


TOPICS: Business/Economy; Culture/Society
KEYWORDS: blacks; savings; wealthgap
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I think on average blacks are more short-term-oriented than whites (who may in turn may be more slightly more short-term than the Chinese). Don't expect a group having 2/3 of its children out wedlock to be prudent in other respects. And don't expect me to pay for the improvidence of others, Zero.
1 posted on 04/16/2011 4:54:36 AM PDT by reaganaut1
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To: reaganaut1

Uncle Sam is the ultimate Sugar Daddy.


2 posted on 04/16/2011 5:01:32 AM PDT by petercooper (2012 - Purge the RINO's.)
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To: reaganaut1

They’re culturally conditioned to be taken care of?


3 posted on 04/16/2011 5:02:34 AM PDT by Nonstatist
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To: reaganaut1

The right answer probably involves hapless relatives with heartrending pleas: “If I don’t get $800, I’m going to be throw out of my apartment. You’re making lots of money, can’t you help me?”


4 posted on 04/16/2011 5:03:29 AM PDT by proxy_user
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To: reaganaut1

Simple, no freebies if they have assets. In order to take full advantage of Obamas Stash they must be unmarried, unemployed, asset free, and as many illegit kids as possible.


5 posted on 04/16/2011 5:04:27 AM PDT by screaminsunshine (Shut up and eat your Beans!)
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To: reaganaut1

I’m sure if blacks weren’t discriminated against, all their children would be born within wedlock and their savings rate would match that of their oppressors...

This is the best exposition I’ve seen of the cultural deterioration that perpetuates the “disadvantages” blacks face in America:
http://www.associatedcontent.com/article/7889414/thug_spirituality_must_give_way_to.html


6 posted on 04/16/2011 5:04:55 AM PDT by DrC
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To: reaganaut1

because many black folks understand that their life expectancy is far shorter than white folks. This was told to me literally thousands of times when I worked on a charity project in the inner city. They simply do not believe they will be around long enough to “collect.”

This is one, of many reasons, that I’d like to see the Social Security system reformed.

It would be my preference that if a person dies before reaching the age of eligibility, that their contributions (with interest) should become part of their estate, in order to assist the next generation. Hence, it would require private accounts.

In short, black people tend not believe in long-term things because they don’t believe they themselves are long-term. They believe the fates will “get them” before anything else.

And no, I’m not kidding. Go into any urban area and ask.


7 posted on 04/16/2011 5:06:24 AM PDT by Daisyjane69 (Michael Reagan: "Welcome back, Dad, even if you're wearing a dress and bearing children this time)
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To: reaganaut1
Why don’t blacks save more?


8 posted on 04/16/2011 5:06:32 AM PDT by South40 (Evil is powerless if the good are unafraid. ~Ronald Reagan)
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To: reaganaut1
And don't expect me to pay for the improvidence of others, Zero.

Did you miss the pResident's last budget (campaign) speech?

I think the direction is clear.

9 posted on 04/16/2011 5:07:26 AM PDT by Aevery_Freeman (I wish that Obama were just the blithering idiot he seems - but he's not!)
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To: Nonstatist

Conditioned to think gov’t will take care of them AND have difficulty deferring pleasure. Hence all the poor, minority teenagers with spinner rims, gold teeth, etc.

When they receive their EIC check from the IRS they almost always spend it on “toys” instead of saving for the inevitable rainy day.

Remember the photo of the woman in Macon who was whining about not being able to pay her electric bill while standing in front of a GIGANTIC, big screen TV and expensive video game set-up?


10 posted on 04/16/2011 5:08:12 AM PDT by Josa
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To: reaganaut1

Lack of impulse control.


11 posted on 04/16/2011 5:08:32 AM PDT by riri
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To: reaganaut1

As Celine Dion said after Katrina...”can you blame them for wanting things they can’t afford”? (after photos and film were shown of the looting)


12 posted on 04/16/2011 5:09:36 AM PDT by albie
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To: reaganaut1

Some time back I got into a discusion with a union lackie cable splicer.He was ranting about the CEO being worth mega bucks....I asked if he was in the 401K as I am and I told him maybe he will have a mill some day....He kept up the lib talking points and finally said,”No,I cant afford it with the kids and all”....I asked him how much that pack of KOOLS cost he had in his pocket and the cost of the 6-pack he grabs every night on the way home......The discusion ended there with him calling me names etc....I left.


13 posted on 04/16/2011 5:14:02 AM PDT by CGASMIA68
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To: reaganaut1

Go to any bank on pay day.

You will see a long line of black males cashing out their paycheck. Not, depositing it. Perhaps, its a cultural thing where they do not trust banks or just like to have a big role of cash to flash.


14 posted on 04/16/2011 5:15:30 AM PDT by WaterBoard
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To: proxy_user

There’s nothing wrong with private charity and requests for same, but that’s not what’s going on. The hapless relative in this case has government force you to pay the relative’s rent, medical care, food, education, utilities, etc. Even so, all this might be OK if “donating” your hard earned pay didn’t take away your incentive to earn more. Unfortunately, your relative is either unconcerned or unaware that socialism eventually creates a much smaller pie for everyone, including them. Their immediate needs and wants reign supreme, and after all, what’s better than receiving “free” stuff???


15 posted on 04/16/2011 5:15:31 AM PDT by CitizenUSA (Coming soon! DADT...for Christians.)
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To: South40

Dayum.


16 posted on 04/16/2011 5:18:53 AM PDT by fieldmarshaldj (~"This is what happens when you find a stranger in the Amber Lamps !"~~)
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To: reaganaut1

In primitive societies, it takes a village.

If you live, the gang will provide


17 posted on 04/16/2011 5:20:46 AM PDT by bert (K.E. N.P. N.C. D.E. +12 ....( History is a process, not an event ))
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To: CitizenUSA
I am in my 50's and grew up i Tampa, Florida.

We have areas in town that were black residents and they had nice Caddy's in the driveway.

Knowing my age its was the 60's and LBJ had just written the breakup of the black family in his Great Society.

Bush tried like hell to explain that under his SS the Black population would build up an inheritance and was told we already setup up the Plantation.

As Thomas Sowell puts it only a few blacks lived to 62 when SS was setup so that Roosevelt stole from the blacks.

18 posted on 04/16/2011 5:23:21 AM PDT by scooby321
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To: reaganaut1

the average IQ of African Americans is 85; Latinos 89; Whites 103; Asians 106; and Jews 113.

http://en.wikipedia.org/wiki/The_Bell_Curve

Let me state the above information tells us nothing about the individual.


19 posted on 04/16/2011 5:26:33 AM PDT by Fzob (In matters of style, swim with the current; in matters of principle, stand like a rock. Jefferson)
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To: reaganaut1

Having a white dude typecast as Santa Claus was not a good idea to teach to the children.


20 posted on 04/16/2011 5:27:56 AM PDT by The_Media_never_lie
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To: Fzob
the average IQ of African Americans is 85; Latinos 89; Whites 103; Asians 106; and Jews 113.

Those damn Joooozzzz always try to hold the man back! /sarc

21 posted on 04/16/2011 5:34:17 AM PDT by library user (Just because you're homeless doesn't mean you're lazy.)
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To: reaganaut1

The question is, will the black community ever catch on to the fact that the Democrats destroyed them?

The name of the tool Democrats used to destroy them? Welfare.


22 posted on 04/16/2011 5:36:35 AM PDT by IamConservative (Liberalism - the surety of knowing that which cannot be proven.)
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To: DrC
Whereas achievers attributed success or lack of success to actions of self, the gangster perspective placed blame on the actions of others. In the realm of gaining respect, achievers saw that you must earn it, while the ghetto nihilist attitude became "demand it," he said.

Ellis said that "dysfunctionality and a lack of core values are not limited to the 'hood,'" pointing out that the "loosening of internal restraints" is a national problem. During the Q&A segment of the presentation, he expressed concern that someday "we're going to have a totalitarian society" if the growing lack of such internal, individual restraints continues unabated.

Bravo! It has given us the ubiquitous term "dissin'."

First hearing this term from my High School students, I was a bit unsure of the meaning. I had rarely used the term "disrespect" even having been the brunt of it daily from the same students.

23 posted on 04/16/2011 5:39:35 AM PDT by Aevery_Freeman (I wish that Obama were just the blithering idiot he seems - but he's not!)
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To: reaganaut1

Oh, I expect you to pay for it, you WILL pay for it, and you have been paying for it from the very first moment you began working. Oh, and the blacks know it too, thus, they don’t save. Why should they; YOU are paying for their retirement.


24 posted on 04/16/2011 5:43:57 AM PDT by Doctor 2Brains (If the government were Paris Hilton, it could not score a free drink in a bar full of lonely sailors)
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To: reaganaut1
The main factor is lack of parental role models and guidance. A 70% illegitimacy rate means that far too many young black kids are growing up in households living hand-to-mouth, and too often without stable employment, let alone savings, in the picture.

There is also a generational factor at work. The creation of a mass black middle class is one of America's great achievements of the last 50 years. This is, however, still a relatively new thing, with the majority of the black middle class being the first or second generation of their family to achieve that status. Building a nest egg is for most of us the work of a lifetime and is the product of habits transmitted largely as a matter of family tradition. It takes time for cultural pattens to change.

The welfarism mentality is a problem for the poor of all races, but I would expect the black middle class over time to figure it out. Those that I know already have. Their houses are well on the way to being paid for, they sock it away in the 401(k), and their kids are headed to college. They're doing just fine, and their opinion of the ghetto lifetyle is about the same as mine.

25 posted on 04/16/2011 5:46:09 AM PDT by sphinx
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To: reaganaut1

Because having a future orientation is racist.

http://www.google.com/search?hl=en&q=future+orientation+racist&btnG=Search&aq=f&aqi=&aql=&oq=


26 posted on 04/16/2011 5:46:17 AM PDT by RegulatorCountry
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To: Daisyjane69

I think you are wrong. Notice this was “told” to you 1,000s of times. This is what they like to say because it is a very melodramatic, edgy, and cool way to get our pity. “I’m a tragic character and I’m gonna die young and violent, man!” BULLSHIT! They do not save, because saving is HARD, like getting and keeping a job is hard. Spending money on cheap flashy toys is EASY. I know, I acted that way when I was 14.


27 posted on 04/16/2011 5:50:01 AM PDT by Doctor 2Brains (If the government were Paris Hilton, it could not score a free drink in a bar full of lonely sailors)
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To: Aevery_Freeman

The gangster culture personified: achievers get beaten by nihilists.
http://www.wpix.com/news/wpix-girl-attacked-before-talent-show,0,3499165.story


28 posted on 04/16/2011 6:01:59 AM PDT by DrC
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To: Aevery_Freeman

believing what happens to you depends on others, rather than what you do for yourself, is a core belief of liberals.

see this Pew Research breakdown of voter types

http://people-press.org/2005/05/10/profiles-of-the-typology-groups/


29 posted on 04/16/2011 6:02:57 AM PDT by Reverend Wright (Arrest, Intern, Deport !)
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To: Daisyjane69
It would be my preference that if a person dies before reaching the age of eligibility, that their contributions (with interest) should become part of their estate, in order to assist the next generation. Hence, it would require private accounts.

How would you feel about a similar concept that before an inheritance is passed on, the government deducts the SSN benefits paid in excess of the deceased's contributions to the program plus interest?

30 posted on 04/16/2011 6:05:32 AM PDT by mac_truck ( Aide toi et dieu t aidera)
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To: sphinx

Do these black middle classers vote for O and all the dems 100% of the time? I work for the g. and I’m surrounded by 100s of these types all day, and their attitudes are 100% sick, twisted, liberal, bizarre, white man guilty, we be racism victims, etc.


31 posted on 04/16/2011 6:06:35 AM PDT by Doctor 2Brains (If the government were Paris Hilton, it could not score a free drink in a bar full of lonely sailors)
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To: reaganaut1

Sorry but this is rather easily answered. The government and society have spent several generations convincing the black race that “we will take care of you”.


32 posted on 04/16/2011 6:08:18 AM PDT by zwerni (this isn't gonna be good for business)
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To: reaganaut1

Sounds racist to me LMAO.


33 posted on 04/16/2011 6:10:16 AM PDT by Venturer
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To: sphinx

Well said!


34 posted on 04/16/2011 6:15:35 AM PDT by Bigg Red (Palin in 2012)
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To: reaganaut1

There is always Obama’s stash for the black folks.


35 posted on 04/16/2011 6:16:01 AM PDT by Carley ( TYPICAL STREET THUG, NASTY BULLY, THAT'S OUR PRESIDENT.)
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To: proxy_user
The right answer probably involves hapless relatives with heartrending pleas: “If I don’t get $800, I’m going to be throw out of my apartment. You’re making lots of money, can’t you help me?”

Being, on average, in generally-lower income strata means that a middle-class black is more likely to have relatives who are poorer and in need of help, and less likely to have richer relatives able to help THEM.

This is also why middle-class blacks tend to have lower credit ratings than whites of the same income level, and higher rates of mortgage default. A middle-class white couple in financial hard times is more likely to have parents with money who will help them rather than see their kids lose their house.

36 posted on 04/16/2011 6:21:47 AM PDT by PapaBear3625 ("It is only when we've lost everything, that we are free to do anything" -- Fight Club)
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To: DrC

Thanks for link to article. Excellent. The really scary thing is that this mentality is not limited to 10%. More and more whites are descending into this mindset.


37 posted on 04/16/2011 6:30:28 AM PDT by all the best
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To: reaganaut1

African-Americans which is it??


38 posted on 04/16/2011 6:30:47 AM PDT by Cheetahcat ( November 4 2008 ,A date which will live in Infamy.)
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To: reaganaut1
Crackas owes it to em. Reparations, you know.

Short-term? They Stays, not live somewhere. Don't fill up the fridge, cause some brutha “stayin” or comin by will eat everything they can, cause da Ho owes em..

Speaking of reparations, give every man, women and chillin, that can prove slave ancestors, a cool million ONE TIME. Within 6 months 3/4 will be dead broke, dead or in jail for stealing another's reparations.

39 posted on 04/16/2011 6:31:30 AM PDT by dusttoyou ("Progressives" are wee-weeing all over themselves, Foc nobama)
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To: reaganaut1
Why don't black people save more?

Because save, and slave, are only one 'l' apart.

40 posted on 04/16/2011 6:31:32 AM PDT by Lazamataz (The Democrat Party is Communist. The Republican Party is Socialist. The Tea Party is Capitalist.)
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To: Doctor 2Brains

“Da white man ain’t gonna let you do nuthin, be nuthing, go no where, whitey gonna keep you down”

That is a direct quote from a black man (to me) as told to him by his grandmother.


41 posted on 04/16/2011 6:31:40 AM PDT by Ditter
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To: reaganaut1

One of the gals I work with (when she works) lives in a brand new (tax payer funded) home, is on welfare, just had her second kid and is going to the Bahamas on vacation in a few weeks.


42 posted on 04/16/2011 6:32:37 AM PDT by peggybac (In the contemporary world, they pulled a Pearl Harbor. We need to pull a Hiroshima.)
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To: scooby321

Today those areas are controlled by the Gangs. Do not return for a visit.


43 posted on 04/16/2011 6:44:28 AM PDT by screaminsunshine (Shut up and eat your Beans!)
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To: reaganaut1

“And don’t expect me to pay for the improvidence of others, Zero.”

They not only expect, they absolutely KNOW that either you or your children will pay - you are the Ant, as they play the grasshopper.

The best predictor of future behavior is past behavior so they know the gooberment will come through with free phones, free food, free education, free child care, free housing and drug companies will continue with the “if you can’t pay we will just charge everybody else more” crap they advertise.

I really think secession fever will sweep the land as Mexifornia and the NE devolve further.


44 posted on 04/16/2011 6:52:50 AM PDT by TxDas (This above all, to thine ownself be true.)
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To: reaganaut1
60 percent of African-Americans have less than $50,000 in company retirement plans and only 23 percent have more than $100,000. They’re also three times more likely to raid their 401(k) or other retirement plans to meet immediate financial needs, the study says.

. . . (According to Ariel’s July 2010 study, the median assets blacks have retirement plans is about half the amount that whites have accumulated: $56,000 compared to $106,000.)

I wonder what are the West Indian and African immigrant savings rates. While I doubt they broke out those groups I bet they come closer to white savings rates.

45 posted on 04/16/2011 6:59:09 AM PDT by Oratam
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To: Reverend Wright

One of my favorite demographic studies. I wish they’d do more of these.


46 posted on 04/16/2011 7:35:22 AM PDT by MSF BU (YR'S Please Support our troops: JOIN THEM!)
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To: Oratam

Good point! The same goes for asians; there are enormous differences between the cultures in Seoul versus Manila.


47 posted on 04/16/2011 7:37:40 AM PDT by MSF BU (YR'S Please Support our troops: JOIN THEM!)
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To: reaganaut1
Blacks manage their wealth wisely. They just do it differently from white folk.


48 posted on 04/16/2011 7:39:31 AM PDT by Texas Eagle (If it wasn't for double-standards, Liberals would have no standards at all -- Texas Eagle)
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To: South40

I can only imagine what the Blue Book value of that thing is after all those “upgrades.”


49 posted on 04/16/2011 8:03:14 AM PDT by PLMerite (Shut the Beyotch Down!)
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To: WaterBoard

***You will see a long line of black males cashing out their paycheck. Not, depositing it.****

Years ago at the steel company I worked for, every payday there would be a fancy automobile pull into the company parking lot. Many of the Blacks would line up and cash their checks right there (for a “small” fee). No banks needed.

As for long term goals...Many of the young blacks (and a few whites) would work hard for about three or four months, save every penny the earned, then quit, and party till the money was gone.

Then they would be back begging for any job again.


50 posted on 04/16/2011 8:20:50 AM PDT by Ruy Dias de Bivar (Click my name. See my home page, if you dare!)
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