How do we get through this financial struggle?

Question

My family is currently receiving medical assistance through Medi-Cal in California. We are in our early 30s with a 4 and 7 year olds. I have two children that have medical issues since birth. We only have one income in the household and just barely qualify for this medical assistance. The only problem is with this only one income we are struggling financially and just barely get by(basically pay check to pay check like many others I know). We budget pretty good but not enough to save or even qualify to live at a better place with California's 3 times the rent rule (which is extremely hard by the way). By now you could say it's pretty easy to solve just have the other parent work fultime. Actually it's not, our two kids were born with the same medical issues. One is currently receiving the treatment and should be done within a year (so we can only hope). The other is being seen and in the system but has to wait two more years to get hers started. So roughly around 3-4 more years for everything to be ok with the kids (again so we can only hope). See the problem is if we have another parent get a job it would make us not be qualified for medical assistance within the state. Even if she worked part time it would disqualify us from receiving the much needed medical assistance. Not only that but even if she worked fultime and then to get medical insurance with a family our size is around 800-1000 dollars a month. Which means that one of the fultime jobs is really going to be bringing home a part time job's pay because of the high cost of health insurance, not to mention with all the copays. With that it is not even sure if the new insurance will continue treatment with our children's medical issue. The assistant that Medi-Cal has provided has been phoenominal and I am grateful to the people including tax payers that has made this happen. I've never wanted to be on assisted living but we desperatly needed help. It's just right now everything is being paid for medically with our children's medical issues and sometimes I think it would not be wise to get a another income coming in because we have already got the ball rolling on receiving treatment for the kids. It has also been two yrs since we'v been on California's medi-cal and to disrupt the kids medical would be a big mistake. But at the same time we both want to be able to provide a better life for all of us and to get out of this financial struggle along with living in a much better area to raise our kids. So any advice would be great from the experience or even the observers. Thank you very much ahead of time.

Answer 1

Well it seems like you have a budget so that is a start.  How many cars do you have?  Are you paying car payments?  You eating out?  Are you living with-in your means?  Also, maybe you could get a at home job where you stuff envelopes or something (daycare), I don't know just throwing out ideas....

Answer 2

I understand where you are coming from. If you both had a job you would not truly improve upon your living because the cost of health care and child care would quickly eat that second income away. I am going to have to agree with a poster above me who said something about online school. This way she can improve herself to a point that she can get a higher quality job than what she could right now and still be at home with the kids to take care of them. She can get financial aid to have college covered. And by the time she gets a good job, she will be able to work without fear of the high medical cost because medicaid will have already taken care of it.  It will also help both of you feel better about having to use the medicaid because instead of feeling like you are taking advantage of the system, you can feel and actually be improving yourself. Instead of your conscience telling you "the state has to pay my bills; she's not working," it can be "the state is helping me through a rough patch while she finishes school for our whole family"

In the mean time (because 4 years can feel like an eternity when you are struggling) write and follow a very strict budget. Budget every penny to one of these categories: Living expenses, transportation expenses, outstanding debts, savings, luxuries and spending money. Try to avoid credit at all costs. The interest will kill you in the long run. Instead try to save for big ticket items and pay off any debt you have. Also look into all your expenses and see if there is anything you can cut down or eliminate. Shrink your phone package, sell your car and buy a more affordable one, move to a more affordable area, cancel or at least downsize on cable or cellphone packages, don't eat out, buy generic, shop bargain and dollar stores, buy in bulk. There are many ways to save you just have to be creative so that you can find exactly what works for you. Make sure you write it all down so it is easier to see, manage, and remember. Good luck and follow that budget.

Answer 3

It definetly looks like you are struggling, my suggestion to you is to look at other states where you can get the same care for your children illnesses besides California.  CA is a very expensive state to live in.  So you may think the posibility to move to a less expensive city to live in and get another job maybe that pays a little more.  You can make it with one income and your wife while still at home can take online courses and become a self employed person if she wants to work part time from home.