America’s middle class is being systematically eviscerated. When the Federal Reserve pumped trillions of dollars into the financial system during the pandemic, most Americans didn’t realize what that would do to them. That money certainly made the wealthy a whole lot wealthier, but it also dramatically increased the cost of living for the rest of us. So now inflation has been rising much faster than paychecks have, and the cost of living has become exceedingly oppressive. In fact, last year we witnessed the largest decline in real median household income in more than a decade…
The official tally is in and it is brutal: Americans suffered the biggest drop in household income in 2022 in a dozen years.
Real median household income was $74,580 in 2022, a drop of 2.3 percent from the prior year, the Census Bureau said Tuesday.
This is the biggest drop in household income since 2010, when it household income fell 2.6 percent. That means it is worse than the pandemic decline of 2.2 percent. It is the fourth worst year in records going back to 1985.
In 2010, the U.S. economy was just coming out of the horrible recession that we had just experienced in 2008 and 2009.
Those were not fun times.
And the times that we are moving into will not be fun either.
We are being told that “high inflation” is the primary reason why real median household income is falling…
The declines were driven by high inflation. The measure of inflation that is used to calculate real income rose 7.8 percent, the worst inflation since 1981.
1981 was a long time ago.
But at that time, the U.S. economy quickly recovered under the leadership of President Ronald Reagan. We will not be so fortunate this time around.
Our leaders flooded the system with giant mountains of money, and almost everyone cheered as they were doing it. But now we are paying the price.
Recently, a “Gen X mom” named Jessica McCabe made headlines all over the world when she posted a video on TikTok in which she expressed how frustrating it is to watch her adult children deeply struggle in this economy…
“I am so tired of feeling helpless as a parent,” McCabe started off the video. She acknowledged that her son was 25 and her daughter was 28 and explained: “I thought by teaching them what I learned, which is you work hard, you get a good job, you’re gonna get the things in life that you need, right? Worked for me, why wouldn’t it work for them?”
Unfortunately for all of us, the rules have changed. What worked in the 1980s and 1990s simply does not work today.
In her video, she acknowledged that struggle is a part of life, but she also said that it is just so disheartening to see her kids “get further and further down” no matter how hard they try…
She continued: “I see them struggling, and before my generation comes at me, yes, I understand struggling as a part of life. We all struggle, but there’s a difference between struggling and drowning. So we struggled, and it was tough. But you know what, we made it. We knew there was a light at the end of the tunnel with our struggle. It seems like kids today, no matter how much they struggle, they just get further and further down.”
Sadly, this is the reality of life for most Americans today.
More than 60 percent of the nation is currently living paycheck to paycheck, and former Ford CEO Mark Fields just admitted to CNBC that someone needs to make more than $100,000 a year just to be able to afford a new vehicle these days…
The former Ford CEO said that a consumer has to “make over $100,000 to afford a new car.” As a result, the price of vehicles is starting to come down, which is leading to an inventory correction.
“Vehicles are getting older, they need to be replaced.”
Americans are keeping their vehicles longer than ever, and that is because most of us simply cannot afford to replace them.
As I have discussed previously, Americans are increasingly turning to debt to help make ends meet from month to month.
Credit card debt surged dramatically during the second quarter, and this is starting to become an enormous problem…
American households now have an average of $10,170 credit card debt, as record numbers say they are worried about being cut off from access to loans.
Data from the New York Federal Reserve shows nationwide credit card debt swelled by $43 billion in the second quarter of the year – the second largest increase on record.
Of course there is a limit to how much debt that U.S. consumers can take on, and financial institutions are starting to say “no” a lot more often…
Meanwhile a separate survey by the Fed revealed 60 percent of respondents found it more difficult to access credit – the highest level since the data series began in June 2013.
I warned my readers that the flow of credit would start to get tighter and tighter.
And now it is happening.
Right now, so many formerly middle class Americans have been pushed into what I call “the impoverished class”, and many that were formerly poor now find themselves pushed out into the streets.
In fact, according to the Wall Street Journal we have witnessed the largest increase in homelessness ever recorded this year…
The United States has seen the biggest ever spike in homeless people living on the streets – as preliminary figures showed a record 11 percent increase in one year.
There are nearly 600,000 rough sleepers across cities and towns in America, and the jump from 2022 to 2023 so far is the highest since the government started tracking the data in 2007, according to the WSJ.
Places like Oakland and San Francisco in California have become hotbeds for homelessness, as people living on the streets are like ‘drug tourists’ who arrive to have easy access to narcotics.
So please don’t believe anyone that tries to convince you that the economy is doing just fine.
It most certainly is not.
Homeless encampments are popping up like mushrooms all over the nation, and many communities are not pleased about this at all.
For example, just check out what has been happening in Austin, Texas…
Shocking footage has exposed the scene in an Austin park filled with liquor bottles, needles, Narcan and junk ‘as far as the eye can see,’ as a homeless encampment continues to grow.
The videos were of the West Bouldin Creek Greenbelt were posted on Monday by activist Jamie Hammonds, who reports from the Texas capital on the X page @DocumentingATX.
‘Another Greenbelt destroyed here in Austin… nothing but trash and junk as far as you can see… this is absolutely horrible,’ Hammonds said, adding that the encampment was at least the size of a football field, and you could smell it ‘even before you enter the greenbelt.’
As the economy continues to crumble, things are going to get even worse. And as things get worse, the middle class will continue to shrink.
It is almost as if we are all playing a really bizarre game of musical chairs.
With each passing day, even more spots in the middle class are being removed from the game, and the ranks of “the impoverished class” continue to grow larger and larger.
Sound off about this story on the Economic Collapse Substack.
Michael’s new book entitled “End Times” is now available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here. Article cross-posted from The Economic Collapse Blog.
Why Bullion Beats Numismatics and Collectible for Your Safe or IRA
Precious metals continue to attract Americans seeking reliable ways to protect their wealth amid inflation, geopolitical risks, and stock market swings. Whether stored in a home safe or held inside a self-directed IRA, physical gold and silver deliver tangible value that paper or digital assets often lack. Yet investors must choose carefully between bullion—pure bars and coins valued mainly for their metal content—and numismatics or collectibles, where rarity, history, and collector demand heavily influence pricing.
Advisor Bullion serves as a dependable source for straightforward, high-quality bullion. The company specializes in physical gold, silver, platinum, and palladium, emphasizing transparent pricing and products that deliver maximum metal content for every dollar spent. This approach makes it ideal for both personal holdings and retirement accounts.
Bullion consists of refined precious metals in standard forms like one-ounce coins (American Gold Eagles, Silver Eagles, Canadian Maple Leafs) or bars. Their value tracks closely to the current spot price of the metal. A typical gold bullion coin trades near the live gold spot price plus a small premium. This structure keeps costs clear and predictable.
Numismatic coins and collectibles add substantial value from factors such as age, rarity, minting errors, or historical significance. A pre-1933 U.S. gold coin or graded proof piece can carry premiums of 30%, 50%, or even 200% above melt value. While this appeals to hobbyists, it creates complexity. Pricing depends on subjective grading, collector trends, and auction results instead of daily spot prices.
For investors focused on wealth preservation and retirement security rather than building a collection, bullion often delivers better results.
Lower Costs and Better Liquidity for Home Storage
When keeping metals in a home safe or private vault, liquidity and efficiency count. Bullion offers clear benefits:
- You acquire more actual gold or silver per dollar invested. Numismatics divert a large share of your money into rarity premiums and massive sales commission, reducing your metal exposure.
- Selling bullion involves tight bid-ask spreads, so you recover nearly full spot value with minimal fees. Collectibles require finding the right buyer and may sell at a discount if demand for that specific item weakens.
- Bullion prices remain transparent and update with global spot markets. You can track gold near current levels or silver accordingly and know exactly where your holdings stand. Numismatic values are priced by the Gold IRA companies with hefty margins applied.
- Standardized coins and bars store efficiently and divide easily for partial sales. Rare coins often need protective slabs and controlled conditions, adding hassle and expense.
- Bullion enjoys worldwide acceptance. A 1-oz Gold Maple Leaf or Silver Eagle sells quickly to dealers anywhere. Niche numismatic pieces may appeal only to limited buyers, slowing liquidation when speed matters.
In times when quick access to value becomes important, bullion’s simplicity stands out.
Stronger Fit for Precious Metals IRAs
Precious metals IRAs continue gaining traction as investors diversify retirement portfolios beyond stocks and bonds. IRS rules permit certain bullion products in self-directed IRAs if they meet purity standards (.995 fine for gold, .999 for silver) and are held by an approved custodian. Eligible items include American Gold and Silver Eagles plus many generic bars and rounds from recognized mints.
Numismatic and most collectible coins generally face heavy scrutiny from custodians due to valuation disputes and elevated markups. These higher premiums mean less actual metal ends up working inside the account.
Bullion avoids these issues. Its value links directly to verifiable spot prices, which simplifies reporting and lowers the risk of regulatory challenges. More of your IRA contribution purchases real metal instead of dealer profits or speculative upside. Over time, owning additional ounces that appreciate with the metal itself can create meaningful outperformance compared with high-premium alternatives that deliver fewer ounces.
Regulatory guidance from the CFTC and state securities offices repeatedly cautions against aggressive sales of expensive numismatics or “semi-numismatic” coins for IRAs. For retirement planning, transparent bullion from established providers reduces risk and aligns better with long-term goals.
How to Get Started with Bullion
Begin by clarifying your goals. Are you protecting savings in a safe, or moving part of a retirement account into a precious metals IRA? Focus on the number of ounces you can acquire at current prices rather than chasing marked-up collectibles.
Diversify sensibly: use gold for core preservation and silver for its blend of industrial and monetary qualities. Mix coins for easier divisibility with bars for lower per-ounce costs on larger buys. Arrange secure storage—whether at home with proper insurance or through professional facilities.
As economic uncertainties linger and faith in conventional assets erodes, bullion continues proving its worth as a dependable store of value. Its direct approach avoids the hype that sometimes surrounds collectible markets and keeps the focus on the metal itself.
For investors prepared to strengthen their portfolios, Advisor Bullion supplies the expertise and selection needed to acquire high-quality bullion efficiently. Whether building personal holdings or integrating metals into an IRA, their emphasis on transparent, investment-grade products helps secure more ounces today that support greater financial security tomorrow. In a complicated financial landscape, bullion’s clarity and reliability make it the smarter foundation for protecting what matters most.