What can we possibly do now?!?

Question

My husband lost his job back in February of this year. We went from making almost $50,000 a year to a job where he makes $13.00 an hour. We had no idea that he was going to lose his job, but his company got bought out and then they got rid of him. It was a total shock. So we had gotten used to living according to that income. We have $2500 a month now in bills, and after taxes we only bring in $1800 a month. I have been staying at home with our one year old son. I can't work because I end up only really making enough to pay for daycare. We live in Maine and it is so hard to find a good paying job, heck, right now it is hard to find a job period. We just feel ourselves sinking very very quickly financially, and we don't know what to do anymore. Has anyone been through similar situations before? If so, what did you do? How did you rise above it?

Answer 1

I think you probably know what the answers are, but I'll spell it out:  Keep trying to increase the income and decrease the expenses.

Get used to living on less, and do it quickly. Cut all optional costs, not just the ones you think are frivolous.  (150 channels of cable is not a necessity.)  If you're renting, start looking for a cheaper place.  If you own, if Maine isn't one of the hard-hit areas for real estate prices (I don't remember offhand), then consider selling your house and renting for a while.

But don't stop looking for a new job.  If your husband was once worth $50K, he can be again.  It may take a while, but don't let yourselves be discouraged.  There are signs that recovery from the recent economic downturn is on the horizon (no promises, of course!)

Also, if Maine's economy is tough, seriously consider moving.  Not all areas of the country are suffering the same pain.  There are several areas in the South (including parts of Texas) where you can barely tell there's anything wrong with the economy.  Unemployment in my area is less than 5%.

Best of luck.

Answer 2

I'm so sorry, I know that is an extremely difficult situation. The first thing you have to do is get your monthly expenses down. That means eliminating everything that isn't essential. Cancel the cable TV if you haven't already. If you have two cars, sell one. If you have a car payment, sell that one too and buy something cheaper so you have no payment. If your house payment is more than you can afford you need to look into downgrading. In this market it may not be practical, but you'll still need to have a look. This may all sound extreme, but you already know you can't pay out more than you bring in. For really good, solid, financial advice, check out DaveRamsey.com. You don't need to buy his plan, but check out one of his books from your library if you can and look over the information on his website. You absolutely can do it, you just have to have faith, and you have to be willing to make a lot of changes. I wish you the best.

Answer 3

first of all you should look into all the assistance that is available to you. WIC is a good program and they will pay for milk, cheese, peanut butter, and misc other items from your grocery bill.  Look up your local office.  You may also be able to get help with daycare, I think to find out about that you would need to contact social services, they could give you a coupon for reduced rate or a voucher for free daycare.  Worth a shot, then you could get a part time job if nothing else.  You just have to keep your head up, keep praying and get by day by day. This too shall pass.....also, did he apply for unemployment?  If not he should qualify even now for at least some of what he was making before.  Look into that if he didn't all ready try it.  The gov just approved 13 xtra weeks in some states.  Good Luck!......i also agree with the relocation thing. I used to live in Ma and just couldn't cut it. Now i live in SC and pay 700 a month for an adorable townhouse im renting. (i was paying 1000 for a tiny 2bedroom apartment back home)

The wages aren't great, but if hubby could find a job before you relocate it could be worth it for you guys.

Answer 4

There are subsidy programs which will help you with daycare for your child. You could also do as my husband and I do - alternating shifts. I leave for work when he gets home so he does the daytime kid activities and the lunch and all that and I'm dinner and night activities.

You may want to consider relocation....especially if your husband is qualified for a job in which he'll make more.

And don't fall for a scam. SAHMs who want to stay with their kids are the prime target of these get rich internet dealies.