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These are 3 easy things someone with some wealth can do that gives them a leg up on those who are less fortunate.
Energy costs are rising. I purchased a $25k solar system that produces more than I consume so I heated my home primarily with electricity this past winter. My utility bill (gas + electricity) for the year was ~$300 (2000 sq ft house). Before solar, it was over $2500/yr. I had estimated payback for the solar system to take 7 years. I overestimated and with the increase in energy costs, it will payback in 5-6 years.
Bought an EV and pay nothing in gas. Converted lawn care tools to all electric. Although gas prices have come down considerably, but when they invariably go back up, I won't feel the pain that ICE car drivers will. At 15-18k miles/year, that's a $1500 annual savings.
Interest rates and treasury yields have risen so a large portion of my investments and savings have been converted to high yield accounts. If I were poor, I would not be able to take advantage of the fed raising interest rates.
So someone that can't afford solar power, an EV and have a substantial amount of savings is at a marked disadvantage to wealthier folks. To make matters worse, I took advantage of gov tax rebates on the first two bullet points.
These advantages will just compound as the cost of living rises. The gap between the rich and poor is only going to get worse.
Is this supposed to be some kind of breaking news? Of course those with more money can afford things those with less money cannot. Just like those born with a silver spoon in their mouth will have an advantage at birth over those that don't. Those with rich parents are more likely to be rich themselves compared to those with poor parents. Those who can afford college are more likely to go to college than those who can't afford it, and as a result have higher earnings.
Hey at least the OP is honest in their assessment. It is true, being poor is expensive.
Being poor also comes with a set of advantages. It changes the risk equation and opportunity cost to allow for chances, innovation, and bold moves. It’s freeing in many ways. You’re not bound by tradition or rules. They’re disrupters. People who have had it hard can be destroyed mentally and give up, but for some this constant cloud and bad news eventually makes them unbreakable because they’ve overcome obstacles time and time again. A common example of it was London during the blitz from Nazi Germany. The terror bombing eventually became a siren that people would ignore and go about their day. “a near miss leaves you traumatized, a remote miss makes you feel invincible.” If you being poor isn’t traumatic enough to break you, it can be the single greatest advantage a person can have.
It’s why some of histories greatest empires have been brought down by guerrillas. It’s why generational wealth is gone within 3 generations across most cultures. You can’t duplicate an underdog mentality that isn’t real.
From Bob Dylan: If you ain't got nothing you got nothing to lose.
So you could be more comfortable as a risk taker.
But as a general rule it's easier when you have the $ already.
The best of both worlds is to be the child of parents who are in a position to help. They aren't liable for your mistakes but you have the security of a backstop - though you might not get a second chance.
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