• Thanks for stopping by. Logging in to a registered account will remove all generic ads. Please reach out with any questions or concerns.

U.S. Army recommends food stamps for soldiers struggling with inflation

rmc_wannabe

Army.ca Veteran
Subscriber
Reaction score
2,822
Points
1,310
We're among friends then. We have a few folks here in Kingston that have accessed the Food Bank, as the cost of rent has meant folks are cutting back to 2 meals a day and hoping for the best.

Ofcourse, "you make plenty of money, you just need to budget better..." is a hollow response.
 

Navy_Pete

Army.ca Veteran
Subscriber
Reaction score
2,567
Points
1,040
Ofcourse, "you make plenty of money, you just need to budget better..." is a hollow response.
Oh Brother Facepalm GIF by reactionseditor


What my mortgage was 10 years ago would now barely cover a one bedroom apartment, and I couldn't afford the house I live in if I sold it tomorrow. What a bunch of tone deaf idiots.

But now they can have dyed hair and man buns so it's all good.
 

Remius

Army.ca Fixture
Reaction score
4,248
Points
1,090
Oh Brother Facepalm GIF by reactionseditor


What my mortgage was 10 years ago would now barely cover a one bedroom apartment, and I couldn't afford the house I live in if I sold it tomorrow. What a bunch of tone deaf idiots.

But now they can have dyed hair and man buns so it's all good.
Same thing here. I could probably afford to live on my street but with a massive mortgage though and be house poor.
 

KevinB

Army.ca Myth
Subscriber
Reaction score
10,359
Points
1,140

Honestly when you look at some household staples like bread down here, they have doubled even tripled in the space of a year.

Some families are no doubt feeling the squeeze, and it is probably choking some.

My wife and I each earn healthy 6 figure salaries, and we have seen a dip in our monthly savings due to inflation.

While for single soldiers it is probably a money management issue, married with kids junior enlisted (and O’s) are going to be really pushed if the spouse isn’t also working (and bringing in more than childcare is taking out).
 

CBH99

Army.ca Veteran
Donor
Reaction score
1,510
Points
1,090
This oughta help with their recruiting crisis…

They don’t currently require a high school diploma to enlist (i’m not sure how important that really was anyway, if someone is reasonably able to learn. I mean, we literally have to teach recruits how to tie their shoes, sooo…)

And now prospect recruits can look forwards to food stamps, too?


Where do I sign??
 

dimsum

Army.ca Legend
Mentor
Reaction score
5,510
Points
1,260
I mean, we literally have to teach recruits how to tie their shoes, sooo…
I'm not sure of the context - like how to tie the ladder-lace shoes (like on Oxfords and parade boots)?

Because that's not a common thing and wouldn't be surprised if most people don't know how to do that.

But if you mean literally tying a bow, then yeah...

Or, do what the Aussies do and issue RM Williams Craftsman boots as parade boots:

1663150591484.png
 

KevinB

Army.ca Myth
Subscriber
Reaction score
10,359
Points
1,140
This oughta help with their recruiting crisis…

They don’t currently require a high school diploma to enlist (i’m not sure how important that really was anyway, if someone is reasonably able to learn. I mean, we literally have to teach recruits how to tie their shoes, sooo…)

And now prospect recruits can look forwards to food stamps, too?


Where do I sign??
FWIW the HS diploma waiver vanished a week after it was introduced.

Most Military pay structures where created on the assumption that the lower level enlisted and officers would be single.
The idea of them being married with dependents was never contemplated.

But as I mentioned above, the rate of inflation on household staples has vastly exceeded other inflation rates.
However you still see a slew of new cars with a lot of financially struggling new troops. So for a lot of the issues they are semi self inflicted, as they hadn’t left any saving cushion for a rainy day.
 

Colin Parkinson

Army.ca Legend
Reaction score
4,893
Points
1,160
The cost of living and housing inflation is across the board, I suspect there is only so much the military can do to ease that pain for their members. Even with my pension, side work and my wife working, we are cutting back. Haven't bought Steak in almost a year, hell even stewing beef is $22 a kilogram. I know my cousin that raises cattle, does not see any benefit in the price on the hoof.
 

Remius

Army.ca Fixture
Reaction score
4,248
Points
1,090
FWIW the HS diploma waiver vanished a week after it was introduced.

Most Military pay structures where created on the assumption that the lower level enlisted and officers would be single.
The idea of them being married with dependents was never contemplated.

But as I mentioned above, the rate of inflation on household staples has vastly exceeded other inflation rates.
However you still see a slew of new cars with a lot of financially struggling new troops. So for a lot of the issues they are semi self inflicted, as they hadn’t left any saving cushion for a rainy day.
Your last part is true.

I think we are seeing financial illiteracy exasperating already precarious situations.

.
 

Furniture

Army.ca Veteran
Reaction score
1,862
Points
1,110
That is a problem in all sectors, very few kids get any education in how to manage money, either from their parents or the schools.
Financial institutions aren't helping either. I get an email every month telling me my PC Financial card has been approved for a higher limit, so every month I go into the app and turn it down.

Banks are throwing around loans like there's no tomorrow, which is going to lead to serious problems if interest rates keep climbing.
 

Halifax Tar

Army.ca Veteran
Reaction score
3,397
Points
1,260
Financial institutions aren't helping either. I get an email every month telling me my PC Financial card has been approved for a higher limit, so every month I go into the app and turn it down.

Banks are throwing around loans like there's no tomorrow, which is going to lead to serious problems if interest rates keep climbing.

That's the point. The goal isn't to have you pay off your debts, its to get you to keep extending them and making the minimal interest payments.
 

Humphrey Bogart

Moderator
Staff member
Directing Staff
Subscriber
Reaction score
6,472
Points
1,360
The cost of living and housing inflation is across the board, I suspect there is only so much the military can do to ease that pain for their members. Even with my pension, side work and my wife working, we are cutting back. Haven't bought Steak in almost a year, hell even stewing beef is $22 a kilogram. I know my cousin that raises cattle, does not see any benefit in the price on the hoof.

Trying to predict the future when it comes to economic performance and the markets with any certainty is basically impossible. We can make educated guesses but unforeseen events like wars, natural disasters, political upheavals, pandemics, etc can upend even the best made plans.

That being said, there are a few principles people can apply that can help people de with a lot of the negative effects of inflation + cost of living increases:

1. Avoid unnecessary debt
2. Always ensure positive cashflow
3. Diversification of assets

Your last part is true.

I think we are seeing financial illiteracy exasperating already precarious situations.

.

Financial illiteracy is everywhere, changing this though is basically impossible. 90% of the general population lack the discipline to do so and will never have it.

99% of people make financial decisions based on emotion. It's a feature of our system.

That is a problem in all sectors, very few kids get any education in how to manage money, either from their parents or the schools.

Most of the parents also know nothing about money. A large number of people seem to not understand how Interest or debt works, even rudimentarily. They also don't understand how assets appreciate or depreciate in value over time.

I work with a bunch of people, all of whom are making $100k+ a year. They all drive big trucks, have a bunch of toys, etc. The company runs an Employee Ownership Program where you contribute 6% of your paycheque towards shares in the company and they will give you .33 cents for every $1 you contribute. It's literally free money.

I would say less than 25% of the people I work with actually contribute to this plan. When you start doing some number crunching, the numbers they are leaving off the table and the compound interest gains is astronomical.
Financial institutions aren't helping either. I get an email every month telling me my PC Financial card has been approved for a higher limit, so every month I go into the app and turn it down.

Banks are throwing around loans like there's no tomorrow, which is going to lead to serious problems if interest rates keep climbing.
Banks generally classify customers/clients into 4 different categories:

1. People who will not make their payments and will end up in a consumer proposal/bankruptcy situation:

Banks try as best as possible to avoid lending to these people and have lots of tools at their disposal to identify who they are.

2. People who will only ever make their minimum payments and will be in a revolving credit situation their entire life:

Banks love these people because they make the most money off them. They will be in debt for their entire life and when they die, the banks will get a cut of their Estate. These people are the primary targets for Banking services.

3. People who always make their payments on time:

Banks will lend to these people no problem but they don't really care about them as much because they don't actually make much money off them.

4. People who not only make their payments on time but also game the system:

Banks hate these people, they take advantage of every promotion the bank offers (taking free money on offer). Have multiple credit cards which they frequently switch and cancel. They count the points they earn and keep detailed records of everything they do. These people make money off the Bank and offer nothing in return. The banks hate dealing with them.


The banks generally know which category a person falls into and targets them accordingly. This is all backed up by increasingly sophisticated AI and Data Analytics.



As for loans and the current predicament WRT housing. When interest rates were at their lowest, the banks were using 5.35% as their stress test for whether a person qualified for the mortgage or not.

We are approaching that number and will more than likely cross it; however, the banks won't be in trouble from this for one big reason:

CMHC rules

The vast majority of people put the minimum down payment down when they buy a house and as such, they require CMHC Insurance which is underwritten by the Federal Government.

In order to opt out of CMHC, you need a minimum of 20% downpayment which most people can't afford. Interest rates for a CMHC Insured Mortgage are generally lower than a Mortgage with a higher downpayment because there is actually less risk to the Bank.

The Federal Government is going to be the one footing the bill for these foreclosures and the Banks are going to be completely off the hook 😎
 

daftandbarmy

Army.ca Relic
Reaction score
14,737
Points
1,160
FWIW the HS diploma waiver vanished a week after it was introduced.

Most Military pay structures where created on the assumption that the lower level enlisted and officers would be single.
The idea of them being married with dependents was never contemplated.

But as I mentioned above, the rate of inflation on household staples has vastly exceeded other inflation rates.
However you still see a slew of new cars with a lot of financially struggling new troops. So for a lot of the issues they are semi self inflicted, as they hadn’t left any saving cushion for a rainy day.


1663373345690.png
 
Top