Most people can't afford everything they optimally need while minimising their risk, and so have to manage this by optimising as much as they are able within their paycheck. People with limited resources are going to hit a barrier somewhere, and spending your income is often going to be the least bad barrier to hit.
Not being able to afford basic necessities-in the most wealthy nation in the world-indicates something being broken.
Moreover, I was responding to OP, specifically the conclusion I quoted and these two statements: > Living paycheck-to-paycheck can be representative of good choices being made (and I'd guess it is, in most cases).
and
> Most people can't afford everything they optimally need while minimising their risk,
People who are excelling obviously endorse the status quo. But also many who are lagging also endorse it because they get to directly control their finances and think they will make it one day. To give an example, if the USA allowed individuals to opt out of Social Security, many would do so and then live out their senior years in penury.
I love anecdotal evidence