So, here are the facts and then I'll ask a question:
Stan makes good money, we have great benefits that a chunk of our income goes to, we pay a lot of taxes, we get a good tax return
It is expensive to live in Alberta, it's usually cheaper to buy than rent a home
our grocery bill, with household costs is about $1000 a month
Fuel is expensive, especially if you have to commute
We have 4 children, not sure if we are done
We only participate in minimal extra curricular activities, partly due to our location but the other big one is that it costs too much.
We don't have a mortgage right now and we aren't saving any money
How did we survive when we had a mortgage? Well, we didn't really. Much of our married life we have been able to get by with our normal living expenses but if something came up that needed to be fixed on our vehicles or house, we have had to borrow money. Because of this we have accumulated large amounts of debt every house we've owned. The plus side is, EVERY house we've made enough profit to pay off that debt, have a down payment and start again. Blessings, I know, HUGE ones. But we are tired of living like this. We want to stay out of debt, pay cash for everything possible, prepare for the future, the rain does come! We also want to let me stay home and be with the kids and honestly without more schooling, I can't earn too much anyway.
Because of the stage we are at, no mortgage, we are trying to figure out a plan for the next move. I don't want to buy another house because it seems as if we can't afford it but we can't live with in-laws, it just isn't good for family relations. so here's the question. Knowing our situation, would you live with in-laws until you could save up lots of money for a down payment, thus reducing your mortgage? Would you have your husband get another job and be gone even more? Would you get a job you could do that wouldn't take much away from your family life to help with the extras, saving, car expenses etc? Would you live in a trailer or old house that feels too small? Other things to consider: winters can be long, emotional issues are often there to deal with due to cabin fever, too many kids in tight spaces with nowhere to go. I'd love thoughts from readers, even if there are only a few of you!
Stan makes good money, we have great benefits that a chunk of our income goes to, we pay a lot of taxes, we get a good tax return
It is expensive to live in Alberta, it's usually cheaper to buy than rent a home
our grocery bill, with household costs is about $1000 a month
Fuel is expensive, especially if you have to commute
We have 4 children, not sure if we are done
We only participate in minimal extra curricular activities, partly due to our location but the other big one is that it costs too much.
We don't have a mortgage right now and we aren't saving any money
How did we survive when we had a mortgage? Well, we didn't really. Much of our married life we have been able to get by with our normal living expenses but if something came up that needed to be fixed on our vehicles or house, we have had to borrow money. Because of this we have accumulated large amounts of debt every house we've owned. The plus side is, EVERY house we've made enough profit to pay off that debt, have a down payment and start again. Blessings, I know, HUGE ones. But we are tired of living like this. We want to stay out of debt, pay cash for everything possible, prepare for the future, the rain does come! We also want to let me stay home and be with the kids and honestly without more schooling, I can't earn too much anyway.
Because of the stage we are at, no mortgage, we are trying to figure out a plan for the next move. I don't want to buy another house because it seems as if we can't afford it but we can't live with in-laws, it just isn't good for family relations. so here's the question. Knowing our situation, would you live with in-laws until you could save up lots of money for a down payment, thus reducing your mortgage? Would you have your husband get another job and be gone even more? Would you get a job you could do that wouldn't take much away from your family life to help with the extras, saving, car expenses etc? Would you live in a trailer or old house that feels too small? Other things to consider: winters can be long, emotional issues are often there to deal with due to cabin fever, too many kids in tight spaces with nowhere to go. I'd love thoughts from readers, even if there are only a few of you!
4 comments:
That's tough. It sounds a lot like how I grew up. Quite honestly my parents did about everything you're suggesting, except get a bigger house. I'll tell you what I liked best as a child....my mother being home even if that meant we ate beans and rice. My Dad around even though it meant I couldn't wear new clothing and our "big" shopping trip for the school year was $100 at the thrift store. Gas was always an issue so we didn't go much of anywhere. Our house was full of hammidowns and fixits. As a grown woman I would never live with my parents or inlaws. I'm far too independent for that. Some of my friends have elected that route, but you really have to consider real life in that situation. I would maybe suggest learning to like many different outdoor things....especially winter activities. I've found there's always people willing to sell their equipment cheaply. Anyhoo, hope you find the balance that works for you guys. It's tricky.
Things that would seriously cut down costs are growing/canning a large part of your food. (and the kids would have something to do and be learning life skills)..... Air-drying clothing (I've been doing this since Christmas and I'm amazed at the lack of electric bill)
This is a timely post for me. After being broke for seven years, my husband has had a lovely income for 1 1/2 years now. It has been so nice to not have to count every single penny, but I'm afraid I've gotten a little lax with my spending. It's time for me to show some self-restraint!
Firstly, I would never advise living with family--unless it is super short term (between house closings or something). It is hard on everyone. We have done the small house/trailer option and while it isn't ideal (and even super frustrating!), at least it is our own. Not having a mortgage is so freeing and makes it easier to live in the tight quarters. Having said that, I wouldn't plan on it long-term. Do it long enough to save up a sizable down payment or pay off extemporaneous debt, etc.
As to making money stretch, though I don't love everything he says, I love enough of it to recommend Dave Ramsey. We've lived by his money principles and it has made all the difference in our marriage. It takes determination, perseverance and team work. When I'm feeling weak, I'll call Justin and he'll say the words that help me (and I know this sounds silly, but it is what it is) not buy that rug. :) Enlist the kids, too! Ask them to help keep expenses low. When we've done that, they will ask for a gumball instead of a doll.
There are so many ways you can save money if you put your head and heart into it. Honestly, you just have to work with determination and stick to it. You can do it!!
It's so hard paying rent when a mortgage is cheaper. Drives me crazy. But it's not all bad to rent until you can pay off all debt and have a good down payment. I actually love living in a small place. It's not so bad.
I wouldn't recommend living with inlaws since you are kind of doing that and not saving any money.
I too like Dave Ramsey's rules. And for budgeting, I love YNAB. It's a great program and helps assigning every dollar a job. You can try it for free.
I always had a job, but I think sometimes you can save more by not working. But maybe there's something you would love that wouldn't take much time and bring in some money?
I'd love to live super close to everything so we could just walk.
Post a Comment