Wanted: People who earn $50,000 a year OR LESS and have 2+ kids

[Greebo]

One question for you :

If you earn $50,000 a year or less and have 2 kids or more, how much per year do you put into savings?

Why am I asking?

Someone has told me that they think someone making $50,000 a year with 2 kids CAN NOT save $5,000 a year in this country.

What do I want? Simply to prove them wrong.

And I know this is the place to do it!

[Mom2-3]

Interesting. I don't fit the profile, but I will be waiting to hear what others do to save. I always love some more things to try

[lparker]

Don't fit either, but

50,000 - 25% payroll deductions - $1,000/mo health ins - modest 600/mo mortgage + 2500 in taxes + 800 ins. - a modest 3,840/year in car payments, tags, & ins - $6000 for food leaves about $5160.

So, with no out-of-pocket med expenses or recreation, that leaves $160 for clothes and $5,000 for savings.................

I don't think those numbers are hypothetical.

Whoops, forgot utilities..........guess it's hard to do.

[bumplett]

we fit this profile.

it's very possible for us to save $250 up to $500 per month; depends on the month & depends on what we have going on that month.

soooo - based on $250, that's $3000/year

ooooor $500/mth, that's $6000/year

so we hang out somewhere in the middle.

It's VERY possible - and it takes a bit of a sacrifice, such as not having all the bells & whistles that we don't need anyway -

[bumplett]

let me add: we don't have car payments, so I'm sure those that do - that would make a huge difference!

and we still have enough left over for fun - FUN doesn't always have to be expensive!

things that we do to keep money going into savings:

no cable
store brand groceries
coupons
I give the boys haircuts at home
no car payments
basic phone/no bells/whistles
if I can do it myself, I do it myself.

all the basic ideas that we share on FV daily Nothing fancy -

oh, and we have no debt except the house.

[jas]

Don't fit the profile either, but would think with two kids if they were in daycare it would be very difficult to save that much. From people I know with kids that they have to put in daycare it can run close to 1000.00 a month.

When our kids were younger and of daycare age I stayed home (well I still do) What I would have made from working and more eating out, work clothes ect. It didn't make much sense for me to work outside the house. Just on the daycare cost alone.

[rudypoo98]

I don't fit that mold either but I get $7,200 a year matience from ex husband to live on and I can save over $2,000 of it a year.I have to pay property taxes,house, and car insurance.Everything that other people pay,I qualify for food stamps and medicade that I don't get.If I took it I'd have to spend more than I do to keep qualifying for it since your only allowed to have $2000.I have 6 grandkids that I buy xmas and birthday presents for usually on clearance.
I would rather go without things to have money in the bank for whatever comes up.I might need roof work done on my house in a few years, so I'd rather have the money to fix things.
Friends and relatives give me deer meat that I've learned to like and my neighbor has always gave me stuff out of his garden so he won't have to cook or can it.He also has fruit trees that he brings over buckets of apples and pears from.I had my own garden until I got where I couldn't do it from having asthma,alergies and other health problems.I've tried for disability but like the woman who's husband can still use his arms and legs was denied.Mine said I have no life threatening illness that I will die from in the next 12 months,so denied.

[2ndGenGranola]

One question for you :

If you earn $50,000 a year or less and have 2 kids or more, how much per year do you put into savings?

Why am I asking?

Someone has told me that they think someone making $50,000 a year with 2 kids CAN NOT save $5,000 a year in this country.

What do I want? Simply to prove them wrong.

And I know this is the place to do it!

What do you consider savings?? Plain old bank account or any form?? We do not have a plain old bank account but we do put into a fund for retirement and life insurance etc.

It is hard work.

We do not have cable.
We do not go to sporting games or concerts.
Fairs are a rare occasion.
I cut everyone's hair...including my own.
I do my own fingers and toes
We haven't shopped at the mall in nearly 7 years (Aug 03 when my youngest was 1 month) Mall shopping IMO is on of the biggest money drains.
I do a lot myself - cook, clean, repair,yard...I'm more of a handyman than most men.

IMO another money drain is not knowing the difference between wants and needs. That will stop a lot right there. More people should cut off the cable, get out of the chair and do their own yard/house work. If they did that, they could save the cable money AND the gym money.

[craftypam]

I am not doing this today as my sons are grown, but for many years I lived on that and sometimes less. I had 3 sons who did not wear name brand clothes. We did not go on vacations. We did not have cable. We did pay our own health ins. My dh had a seasonal job. We NEVER leased a car. We never drove new cars. Always bought very used cars and drove them until they died before getting another one. AND my bank account was always around $10,000.

It really depends on how much material things you choose to live on.

I didn't answer the question about how much I put in savings because it varied on what was left over after paying bills. I did always choose to have a good size bank account because of my dh seasonal job and I stayed home with my sons.

[danni]

Last year we made $22,000 and we have 4 kids still living at home, so we qualify. Last year we put a total of $2500 into our RRSP's and TFSA's. We also had our BEF of $1000, but then used it and just finished rebuilding it again. We mostly focus on paying down the debt right now but are still saving at the same time.

Seven years ago I was a single mom of 4, making $28,000/year, 2 kids were in school and 2 in daycare full time. At that time I was saving $350/mth.

It is totally doable, you just need to decide what your priorities are. I could easily go back to work and more than double our income, but we feel that having me home with the kids and homeschooling is more important. Dh could find a job that paid more but his job now is one he loves and he has time to spend with the family.
Even though we didn't save the full $5000 we have come close and with our income, I feel we are doing pretty good.

[jas]

Last year we made $22,000 and we have 4 kids still living at home, so we qualify. Last year we put a total of $2500 into our RRSP's and TFSA's. We also had our BEF of $1000, but then used it and just finished rebuilding it again. We mostly focus on paying down the debt right now but are still saving at the same time.

Seven years ago I was a single mom of 4, making $28,000/year, 2 kids were in school and 2 in daycare full time. At that time I was saving $350/mth.

It is totally doable, you just need to decide what your priorities are. I could easily go back to work and more than double our income, but we feel that having me home with the kids and homeschooling is more important. Dh could find a job that paid more but his job now is one he loves and he has time to spend with the family.
Even though we didn't save the full $5000 we have come close and with our income, I feel we are doing pretty good.

sounds like you are doing a great job!

[craftypam]

I also think you are doing a fantastic job danni; keep up the good work.

[Wendy99]

We earn in the $30,000's and with a combination of falling off the wagon (the biggest oops) & totalling our car we were not able to do that. HOWEVER before we fell off the wagon and totalled our car we were well on way there!! Once we rid ourselves of the debt, once again, we will be on our way again, but it won't be this year. Although today was pay day for dh and me so I did calculate my 10% and paid our savings account first. I know 10% isnt a lot to some people, but it is to us Then I paid all our bills ahead ahead of time, put some money in the sinking account (which is really working for us) and planned out the rest of the money til next pay. I believe it is doable to save $5,000 a year if your on that income and debt free, right now it wouldnt be possible for us.

[krbshappy71]

Having raised two kids on an income below poverty level for the past 16 yrs, I would just like to say LEMME TRY!!!

I could make more, I could save more, its all about choices.

[bumplett]

Hope we are helping you prove your point Greebo