CLARKONOMICS: There's a new report out about the difficulty that we're having handling everyday expenses. About 10% of baby boomers can't meet the most basic daily expenses. That translates to millions of people being so broke that they have to rely on family, friends or charities to make ends meet. The grown kids of baby boomers are having even more trouble. In 4 of 10 cases, the parents have to provide money for their children to pay bills.

Yet, overall, we're wealthier than we were a generation ago. The problem came when we started taking on too many obligations of every kind. We bought larger homes even though the average family size has been getting smaller. With cars, we've managed to snatch defeat from the jaws of victory by purchasing overly fancy vehicles. The average car purchase in the Unites States is just under $27K, and that's before interest on a loan and taxes. But you can buy a vehicle so much cheaper if you don't load it up with extras. And nowhere in the Constitution is it written that you need to get new wheels every 3 years!

So be realistic about your obligations. Are you stretched past the breaking point? Analyze every bill -- cable, satellite, Internet, cell phone, etc. -- and see where you can trim. For example, cable and satellite are not more essential than food on the table. Perhaps you can cut back on your programming package. Think about ways you can make little nips and tucks.