“If you’ve been watching the debates you might have heard there’s and Asian man running for President who wants to give everyone $1000 a month, and all 3 of those things are true.” — Andrew Yang, Presidential Candidate and Entrepreneur. Author of the War on Normal People.
“if you know anything about me, I run a blog called The Little Dollar, designed to help people better understand money and how to take care of their money situation. My goal is to make money simplified.” -John Butrick, Online entrepreneur and blogger, Accounting and Business student.
So, what is the Freedom Dividend?
Andrew Yang has been talking a lot about various topics to get more media attention, as he polls around 2–5% in polls, he sure has a very different approach to how to fix problems in the country.
Yang is the candidate who is worried about AI and technology becoming the way of the future and displacing millions of jobs. He has travelled across the nation and seen what automation and robotics has done to displace American workers. Yang is an entrepreneur like myself and sees things from the future in a way. Although automation is happening right now.
So, Andrew got down to thinking like any fine entrepreneur would and came up with a starting point to help American families ease the struggle when it comes to job loss or displacement. He introduced.
Well he didn’t introduce it, he just rebranded it to the Freedom Dividend. This is seemingly a fairly radical idea yet its not. Alaska provides a universal basic income paid out from petroleum.
Universal Basic Income is being tested and run in many nations as well; Canada, Finland and even the United Kingdom. There seems to be backing behind this. Even the talks in America are getting off the ground fast.
Andrew Yang is the one Asian American candidate in the 2020 democratic race, who advocates for Universal Basic Income. He is an entrepreneur and former corporate lawyer.
Andrew has ran a non-profit called Venture for America, a cause that helped young college graduates start and run businesses in various states; Pennsylvania, Michigan, Wisconsin, Iowa, Ohio, etc. This was after he worked in the corporate world as a lawyer for 5 months. Most entrepreneurs seem to feel boxed in when it comes to corporate work.
Recently after Donald Trump was elected in 2016 the nation changed deeply for its citizens. Nobody really believed he would become president. Trump was a business man and most believed a failed one at that.
Despite what you believe about Trumps politics you cannot deny he is a real estate mogul and star for investors to seek to.
Most liberal leaning voters then sought to double and triple down on how the campaign was racist and misogynistic. Comments about how Trump mocked a disabled reporter, comments about being sexually explicit with his own daughter or women that held less power in societal dynamics.
Then the YangGang developed.
Voters from those who didn’t vote, (this is me, I was that illuminati guy, don’t judge me too much ha-ha), Liberals, Conservatives, Moderates and Trump voters came together to form a coalition based around the love for Andrew Yang
Andrew Yang has the support behind him to move further through the debates and possibly win the nomination.
You might be wondering why Andrew Yang has pushed for the Freedom Dividend too. With job displacement most Americans will be wondering how they will getting their bills paid. As of right now 70+% of Americans are living paycheck to paycheck.
You may be looking at your finances and wondering how to actually budget. I write a lot about this in my blog The Little Dollar.
Income- You may have a job with $2000 a month coming in.
This is a general budget I am building up for the purposes of this post. You can see something like 15/hr. with this money. Provided you work full time.
Expenses- You might be paying some generic expenses as well. They might look like this.
– Rent $800
– Car payment $180
– Health insurance $50
– Car Insurance $40
– General items (toiletries and various household items) $35
– Food and Groceries $200
– Savings $200
– Debt repayments $400
This of course is optimal, Lets look at something less optimal for that income.
– Rent $1150
– Car Payment $200
– Health Insurance $140
– Car Insurance $100
– Household items $40
– Food and Groceries $300
– Savings $0
– Debt repayment $70
This could be you in a more expensive area, with a more expensive car. You of course may have rougher health. Need to pay more for car insurance due to having a fancier car. Food and groceries go up as you might eat out more and you are paying down the minimal amounts on your student debt.
You are not saving. Even in the optimal budget you are not saving enough if you start at age 30.
Most budgets are tough to do when you are setting so many goals.
Now Imagine you had to make this budget only making $8 an hour. Let’s explore this budget.
Income- $1100 a month.
Expenses- (Good Luck)
– Rent $350
– Car payment $110
– Health Insurance $60
– Car Insurance $50
– Household items $30
– Food Groceries $250
– Fun budget $150
– Savings $0
– Debt repayment $0
This can be the budget of a person living in a low-cost area but living a not so exciting life. They have lower costs of course but they are stretched thin. The fun budget is for going to the carnivals or just any random item. Imagine if you had children. These budgets do not account for children.
These budgets all have flaws but are doable. Its why those in poverty manage to get through life without dying. The poor people are in fact the most resourceful of the population.
I am going to go off the worst budget I wrote. $8 an hour and thin stretched but this time I will add a kid.
Income $1100 a month from job, $1000 a month from Freedom dividend.
– Rent $350
– Car Payment $110
– Health insurance $30 (Lowered due to Medicare for all package Yang advocates for)
– Car insurance $50
– Household items $50
– Food and Groceries $450
– Child expenses $300
– Fun budget $150
– Savings $300
– Debt Repayment $300
– Left over ($10)
This budget leaves the person in the same house and car. Some cheaper insurance as costs are lowered and having extra money relieves stress due to cause health related issues. Food and Groceries will go up as you eat more with children, along with paying more on child expenses. You also have money to save and tuck away for college expenses or retirement, along with paying down debt you owe back.
The abundance mindset is what has separated so many failing money managers from ruins to making it happen. When you read most personal finance articles you learn it is not about how much money you make, but how you think and view money.
I have to deeply agree with this. Even as somebody who has been poor and in very dangerous money troubles. The mindset you bring to money is very powerful.
This is also something Andrew Yang talks so deeply about but he recognizes that the average American does not just have the mental fortitude to have an abundance mindset when they are facing paycheck to paycheck months, massive amounts of debt and lack of job security.
When you think about what humans are most concerned about it is the security of their lifestyles. Without that they are irrational and scared.
Having an abundance mindset is set to take risks, grow and try new things. With the Freedom dividend, you will see how an extra $1000 a month gives you the freedom to try new things.
To learn more about Andrew Yang and his Presidential Campaign check out Yang2020.com
To learn more about budgeting and starting an online business to combat the current money system check out my blog at thelittledollar.com