I.O.U.S.A the movie and the Need to Set Money Aside Today!

In our search for new material to write about, we came across a movie that is called “I.O.U.S.A the Movie.” It is a movie that examines the rapidly growing United States national debt and its consequences for the United States (as a nation) and its citizens.

But as history have showed us, if the United States slips into a recession the rest of the world will follow. What happens in the U.S will also affect the rest of the world, that’s why the message of the movie is in fact a message for everyone!

The movie explains in layman’s terms what the problem is of having such a huge national debt and what the consequences are for their citizens. One of the consequences is the financial crisis we are now in (they already predicted it in the movie before 2008), but is painting a picture of the future that is much worse (at least if nothing is done to address the problems.) Some statistics they mention in the movie:

In January 2009 the US Federal debt will be over $10 TRILLION
The US federal fiscal hole will be about $56 TRILLION
That’s $184,000 for every American

Watch the 30 minute version of I.O.U.S.A the movie (the whole movie is around 80 min. Buy at their website, it’s worth it!)

What does the United States as a country need to do?

A quote from the movies website:

“Stop digging our fiscal hole; reform Social Security, Medicare and other entitlement programs to reflect Americans’ longer lifespan and economic realities; constrain other spending growth; reform our tax system while generating more revenue; engage in comprehensive health care reform; increase national saving.”

Most of all you need to take ACTION NOW if you don’t want to give the problem of large national debt to your children.

You can download a free guide “A Citizen’s Guide to the Financial Condition of the United States Government” at http://www.iousathemovie.com/download/ . You can also buy the complete version of I.O.U.S.A the Movie and find much other information about this subject on their site.

What You Can Do As Individuals
One of the things they suggest as a solution is increasing the national savings. So what can you do?

Establish a personal budget and stick to it.
What major milestones do I need to prepare for (e.g., education, family, retirement)?
When do I see myself retiring and how much do I need to save and invest in order to retire at a comfortable level that can be maintained over time?
Become more responsible in decisions to spend and use credit, save for the future and invest savings wisely.
Teach children the importance of planning, saving, budgeting, investing, and making responsible use of credit.