HENRY's Susceptible in this Recession

The latest BusinessWeek magazine highlights HENRYs (High Earners, Not Rich Yet) which are families that earn $250K - $500K per year, but who are vulnerable to the economy due to the lack of job security given their high earnings. These families have seen their costs for child daycare, private schools, and paying college expenses for their children increase dramatically along with the increase in the AMT tax. Due to these high costs, these families have not saved susbstantially to be self sufficiently wealthly in an economic downturn making their earnings very vulnerable to today's recession. The impact of these high wage earners to the overall economy is still uncertain, but even this group of high wage earners is getting squeezed today.

Hardly anyone has been immune from the current credit crisis and its effects on the economy.