Archive for December 2nd, 2008
Surviving on One Income
December 2nd, 2008 | 
Author: Our current economic crisis is causing many companies to eliminate positions and placing many families in dire financial positions. Are you someone who recently found your family having one income instead of two? Or maybe your income has been slashed to the point that you don’t if you’ll survive? Does your future seem bleak right now?
I hope I can help. I’m starting a blogging series on how to survive on one income. This series will be practical and detail how my husband and I survive when our income is less than $1000 (and sometimes lower) a month.
The blogging world has some great mom’s out there who tout living on one income. Some even say it is easy. When your income is dramatically cut, possibly down to poverty level, overnight, it isn’t easy. I know. I’ve been there.
Over the past 5 years, my husband and I have been hit hard but also blessed immensely financially because of his on-going disability cases. At this point, there’s only two of us (unless you count all our furry, four-footed children) and we’ve adjusted to living on a low income. Adjusting may be more traumatic for a family with children.
How do we handle the notice that our income is literally disappearing before our eyes? As soon as we know that our income has been reduced, we stop all spending. We live on what we have. Eating out of the pantry and freezer for a few days until we can evaluate the situation helps immensely.
I’m a logical person. I like knowing all my options before choosing. I think of what my choice will mean etc. My husband is the perfect opposite. If allowed, he’ll choose in the heat of the moment without thinking of consequences / future.
When you are hit financially and find yourself struggling to make ends meet, don’t make irrational decisions. If you tend to react without thinking, find someone who can help.
Making irrational decisions or even poor decisions may hurt you farther down the road. Choosing to put all your Christmas purchases on a credit card may seem like a good solution now. But it will only make 2009 harder. Do you really want to get a 2nd or 3rd job just to pay for Christmas? Buy within your means. Shop for the best deals. It may not be the exact gift you wanted to give, but if the price is right, buy it.
Last year, we spent $200 on Christmas for 18 immediate family members ranging in ages 2-70. That’s all we could afford. No credit. Paid in cash. Do the math – that’s an average of $11 / person. And we purchased quality items from Sears, JCPenney, Black and Decker, Pfaltzgraff and other top stores. No big box stores. (Only one item wasn’t on sale that we bought.)
Next we’ll talk in depth about the first step to surviving on one income – evaluation.
Series posts: Introduction, Step One: Evaluation, Step Two: Creative Adding, Step Three: Creative Stretching, Step Four: Shopping Strategies
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