How do we get through the economical crisis?

Question

With the cost of everything rising and the paychecks not getting bigger, what are we supposed to do? I still hear people giving advice to have 6 months or so of living expenses in the bank, but everyone I know who has done this, is now using it all up.

I'm tired of "experts" saying in articles that Americans are living too far beyind their means. Well...we were within our means until the past year or so.

My DH drives 60 miles each way to work. He works 11.5 hour days 5 days a week, plus 5 hours on Saturdays. He has to drive that far because there's no job closer that will pay him what we need to survive.

Gas is outrageous, school lunch is rising, food cost is rising. The money is flying out of our bank accounts at an alarming rate. What are we to do?

We can't just get rid of our cars, and houses, and cell phones. We've signed contracts for utilities that would cost us to cancel. What do we do?

Answer 1

The entire first world is living beyond its means and we have to reduce our expectations somewhat. We don't all deserve to own houses, we don't need to drive big vehicles, we don't need cable TV, wh don't need designer clothes, etc. In your case look into moving closer to where the job is located. Or get used to living with a lot less.

I have always driven thrifty cars and tried to live as close to work as possible. I educated my daughter that designer labels are for fools. We live in a rented house ans shop at places like Wal-Mart, Ross and thrift stores. I make a good income and the money instead goes into her education so she can make a better than average living.

Answer 2

The simple answer is just to keep living.  Since you didn't give any specific information about your situation (income and expenses), it's hard to give you any real, applicable help.  However, there are ways to cope.  You may not be able to get rid of a lot of "stuff", you can constantly look for other ways to cut back.  If you have car payments, consider selling one car and buying a cheap, reliable car with the money you got from selling the car.  This would eliminate a payment and potentially save some money on gas.  Consider cutting out cable or at least cutting back on it.  Most people don't have time to watch even half of the channels that they pay for.  Also, think about part-time jobs.  You didn't mention that you worked.  Even if you could bring in an extra $100 a week, it would make a huge difference in helping your money stretch.  Coupon clipping is also a great way to save a lot on your grocery bill.  Evaluate how much you pay for insurance.  Many people can save money by changing insurance companies and making sure that they are not over-insured on things like car insurance.  The only way to make it work is to make sure that what you bring in is more than what goes out every month.  That looks different for everybody because no situation is the same.  Good luck.

Answer 3

Below are just five examples of spending areas that combined reap a cool $10,395. These ideas won’t all apply to your household, but they should give you some ideas.

Food

You can easily save 20 percent on your grocery bill by matching coupons with store sales and stockpiling what you buy. So, you buy the exact same products, just at ideal times.

For eating out, could you get by with $150 per month if you planned more home-cooked meals? Here’s the accounting, using figures from the Consumer Expenditure Survey:

Food at home: $4,833 to $3,866. Savings: $967

Food out: $3,700 to $1,800. Savings: $1,900

Total food savings: $2,867

Insurance Most people can knock off 20 percent from home and auto insurance premiums just by raising deductibles, comparing prices and getting the discounts you’re entitled to.

Also, term life insurance premiums have plummeted over the past decade. A man who got a policy in 1994 for $1,300 a year could "refinance" to a new policy and be paying nearly half that.

Home and auto insurance: $1,600 to $1,280. Savings: $320

Refinancing term life insurance: $1,300 to $700. Savings: $600

Total insurance savings: $920

Phone Having all the bells and whistles, including free long distance, on both your wireless and home phone is overkill for many people.

In fact, some people might be able to ditch their landline phone altogether and use an Internet-based phone service.

One of the cheapest ways to go is using MagicJack, http://www.magicjack.com, which costs just $40. The price includes a simple device that hooks to your computer and a year’s worth of service.

If you’re a light user of wireless, say less than 300 minutes per month, try prepaid service, especially if you have dozens or hundreds of minutes left over every month.

You might be able to reduce your cost to $30 per month, taxes and junk fees included, instead of the average $85 per month.

Landline: $600 to $40. Savings: $560

Wireless: $1020 to $360. Savings: $660

Total phone savings: $1,220

Monthly memberships Go through your check register or credit card statement and examine all the recurring monthly charges.

Then be ruthless about cutting them, especially if you rarely use the service. In the future, opt for pay-as-you-go, unless you’re an avid user.

$70-per-month gym membership: $840

$20-per-month movie rental membership: $240

Total membership savings: $1,080

Daily habits Daily habits are the most insidious because the expense is so small but compounds so quickly.

Cut an $18 case of beer a week, a $7 case of bottled water a week, a $4 latte every work day and a $5.50 pack of cigarettes a day.

Beer: $936

Bottled water: $364

Latte: $1,000

Cigarettes: $2,008

Total daily habit savings: $4,308

Answer 4

DONT WORRY TRUST ME THIS COMPANY IS WORTH IT MY SISTER HAS A GREAT COMPANY THAT SAVES YOU MONEY BY GETTING A BETTER PLAN IN TECHNOLOGY YOU ALREDY USE FOR LESS OR SHE CAN HELP YOU MAKE MONEY . DONALD TRUMP SPONSERS US AND HE IS THE RICHEST MAN IN U.S ITS REALLY WORTH IT AND IF YOUR INTERESTED I CAN EXPLAIN MORE TO YOU LET ME KNOW

Answer 5

I don't really have an answer to this question, but it sounds like something I have been asking in my head also in a daily basis.  If you get any good advice, be sure to pass it on ;-)