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It is not uncommon for people today to become nostalgic for the past, especially when it comes to comparing it to their current financial situation. For example, in that time, it was much less expensive to buy a home, get a college degree, or simply go to the grocery store.
What are other financial problems that did not exist in the past that are huge financial burdens in the present? Money expert Dave Ramsey shares on his website, ramsey solutionSeven money problems that didn’t exist 50 years ago. He also shared his recommendations for how to fix these financial issues if you find that you’re currently dealing with these.
Lack of guaranteed retirement fund
Ramsey particularly highlighted pension plans as guaranteed retirement money. According to the article, in 1960, 41% of private sector employees were covered by pension. However, over the decades, many companies have been unable to maintain this model due to the long life span of retirees and the many more years they need to receive these benefits.
Today, Americans are in charge of funding their retirement, which can be quite a pressure when you take into account the dwindling Social Security trust fund. The good news is that there are many accounts you can open and withdraw the maximum amount annually, such as a 401(k) or Roth IRA, that help you save quickly and consistently for your retirement.
massive identity theft
Do you know that today in 2025 a case of identity theft has come to light 22 seconds And it is still expected to grow by the end of the year? Over the past decade in particular, cases of identity theft and fraud have been on the rise and victims of fraud are said to lose an average of $500.
The more digitally dependent society becomes, the more difficult it becomes to avoid falling victim to a scam. Here are some other scary statistics:
- The Federal Trade Commission (FTC) received a total of 5.7 million fraud and identity theft reports this year alone, of which 1.4 million were identity theft cases.
- One of the biggest areas of identity theft scams is benefits fraud.
- The average loss for victims in fraud cases is approximately $500, with total losses estimated at $10.2 billion.
What can be helpful, as Ramsey Solutions suggests, is finding smart ways to protect your finances. You can purchase identity theft insurance to protect your bank accounts and cancel credit cards to reduce hacking attempts.
expensive health care
It would be better if you were more worried about getting sick or injured rather than whether you can take care of yourself. However, privatized healthcare in the US costs people thousands of dollars each year – even if they are insured. It is estimated that the cost of health insurance for a family of four varies considerably, but can range from $2,000 to $35,000 per year depending on factors such as location, plan type, income, and whether the plan is employer-sponsored or individually purchased.
If you’re worried about potentially getting into financial trouble over health care costs, a post on Ramsey Solutions recommends taking these helpful steps:
- Save enough money to have a fully funded emergency fund with at least three to six months of expenses.
- Explore high deductible plans, as this can help lower your monthly premiums. If you’re interested in changing plans, talk to an insurance professional about it.
- Put the money you’re saving each month into a health savings account (HSA). It helps cover deductibles, co-payments and other health care expenses like dental appointments or contact lenses.
universal credit card
Today, credit cards are in more places than our physical wallet. They also have a place in the digital wallets stored on our smartphones and can be found in apps like Starbucks and Uber, where our credit cards are programmed as payment.
If you really want to eliminate credit card use, Ramsey Solutions’ post recommends closing them. You can also eliminate monthly charges and protect yourself from future debt by saving enough money to buy the things you want with cash.
excessive debt
How much debt does the average American have? In 2025, the average balance, regardless of age, is in the thousands. The average salary for Gen Zers at age 20 is $9,593, while the average salary for 35-year-old Millennials is $78,396. And 50-year-old Gen Zers have an average debt of $135,841.
If you have debt, the best thing you can do is pay it off in full. The post on Ramsey Solutions recommends using the debt snowball method to pay off your balance, starting with the smallest amount of debt and moving up to the largest amount.
high cost of living
Virtually every aspect of life, from the price of homes to the cost of cars and overall transportation, is significantly more expensive now than it was 50 years ago.
What can be done to tackle these costs? According to a post on Ramsey Solutions, cutting back on major expenses is a helpful strategy to combat the high cost of living. If you live in a big city with reliable public transportation, or find roommates to rent an apartment with, you may be able to sell your car.
lack of budget
Although it has been more than 50 years since credit cards were invented, many consumers are still considered dependent on credit for their spending needs. Not everyone has or sticks to a budget every month.
The best thing to do is to get back into the habit of budgeting. Even though it may seem old-fashioned, budgeting allows you to keep track of your spending and clearly understand how much money is coming in and how much is going out each month. If you’re having trouble saving regularly or getting into debt, it allows you to pinpoint problems and make adjustments.
Caitlin Moorehead contributed reporting to this article.