How is the recession

**Scattymum** · 04-01-2009, 04:00 AM

affecting you?

we are slowly starting to feel the effects, DH has had cutbacks at work ( canteen, car allowance less on call etc) and has been asked to take a 5% drop in wages, combined with the extra tax and other bits and bobs we are paying from Novembers budget we are about 300Euro a month worse off and thats going to get worse as we have another budget on Tuesday which is looking like it may be harsh.

was just wondering what changes in your lifestyle you have noticed?

**Bournecrazy** · 04-01-2009, 06:01 AM

when it all first started sales at work were lower than normal, but its just as busy as it always is, which is good. I dont go out shopping as much as i used to, the last time i went was in Jan.

I dont think its affected me to be honest as me and my DBF have just gotten a mortgage in the last 6 weeks, which is something i know a lot of people are having problems getting.

**Siebrie** · 04-01-2009, 06:08 AM

At work they're no longer hiring staff, and they're laying off about 1 person per week (the office has about 110 employees). The coke and fruit juices have been removed from the company fridge, the bowl of candy has been removed from Reception.

We did get a salary increase, but only because in Belgium they have obligatory wage-indexation. So we had no company-salary-increase. Work was slow for the last 4 weeks, but is picking up again.

We're saving. We did not spend that much anyway, but we're spending less. Dh will start his IT-training soon, paid for by the Job Agency on condition that he does not have a job :-) They had just made the entering threshold higher, because there are so many people applying for this training.

**britbunny** · 04-01-2009, 07:19 AM

It's not hitting us personally yet but I think it's coming. DH works in local government and his wages are linked to inflation, so if we do go into the dreaded deflation his wage will go down. So we're cutting back on the spending now and socking a little extra cash away - not that it's earning much interest. For my part I'm working on the storecupboard and getting small jobs done around the house so we never have to rush out and spend on things. We're also going to overpay on the mortgage, it's our only debt so to get rid of that "risk" would be great.

A few of our friends have lost their jobs which is really upsetting for them. A few charity shops nearby have closed down so I'm a bit worried that mine will be next, I know the charity have laid off a couple of people from the officeso who knows. We're also having a lot of people in trying to haggle down the prices in the shop so I think it's biting hard around here.

**onencgirl** · 04-01-2009, 10:07 AM

It hasn't much changed for me yet. But, if my position is downsized like they say it will be then I won't have a job come next school year.

And of course they will wait til Aug. to let us know probably. So in the meantime I'm trying to stockpile as much as possible.

**tiff** · 04-04-2009, 05:54 PM

It hasnt changed that much for us yet, but I can see worse times coming. Food and energy bills are higher and petrol is on the increase. We have made a massive dent in our debt since January, almost cleared our large overdraft and will move on to our only credit card. Havent been clothes shopping since before Christmas whereas at one time I used to go in town every Saturday.

QM · 04-04-2009, 06:28 PM

DH will get a smaller work bonus.

Other than that, nothing much other than people often talking about a recession and cutting back.

**sunshine** · 04-04-2009, 09:10 PM

The "other hospital" in our city has started laying off workers. Ours hasn't yet, thankfully. . . but overtime has pretty much dried up for any shift/day of the week.

the price of goods has skyrocketed, so we simply don't buy, unless it's an absolute NEED.

we're enlarging our gardens, so we can stockpile for the upcoming year, donate to the food pantry and elderly, give as gifts. . .

**dinah** · 04-04-2009, 09:42 PM

at this point we have not been affected by the tough times too much. i work for the govt so my job is stable. husband has a job...but he's not enjoying it and is having a difficult time finding new work.

**MomToTwoBoys** · 04-04-2009, 09:46 PM

We're not actually feeling the effects of it. We are being more mindful about our spending and we're stimulating the economy in much-needed sectors, like grocery and transportation. We're not exactly cutting back on things, but at the same time we're not being more frivilous with spending.

DH isn't seeing any overtime as of yet, but it may change pretty soon. If they don't see a rise in productivity, DH has hinted at suggesting that they do freight forwarding for companies who ordinarily haven't before.

**frugalwarrior** · 04-04-2009, 10:43 PM

Were in Detroit. Neighbors have disappeared over the winter. I heard some bizarre statistic that every 12 seconds someone moves out of Detroit. The estate next door has been empty for 2 years. People are closing businesses right and left. My favorite resale shop just closed. Everyone wants to turn in stuff not buy. Another resale shop said they can't accept anything more until at least next week because of volume. They say if you include part time/underemployed/a people who gave up seeking were at 22% unemployment here. My husband lost $18,000 and 2% of his matching 401k fund this year. He travels M-F to different states to work. I have to deal w/ everything else. We are luckier than many. We only have 1 car for the first time ever. We play this sick game as we drive somewhere (empty house/occupied house.) People just disappear like alien intervention. My friends work for G.M.,Delphi and other auto suppliers. Everyone is afraid to spend. The pawn shops are full. A lot of the used cars have been shipped to other states so there aren't the deals youwould expect. Store have a lot less merchandise. The roads are much clearer on Saturdays. No one is in the mall on weekdays and few on Saturdays. Teenagers are having a hard time finding a job because women my age have taken the fast food jobs. I plan to grow a large garden and I hear that from a lot of others. I've noticed people living in travel trailers in other (friends and relatives) peoples backyards. People out a little further are getting chickens. Flint (30 miles N.) has many boarded up businesses incl. the G.M. dealership. Pontiac (10 miles S.) has gone bankrupt and been taken over by the state.(also bankrupt). I don't think my house would sell even if I filled it with choc. and offered it cheap. My home has lost about $70,000 value. I haven't worked in 2 years since I got downsized. My neighborhood is filled with people I don't recognize (renters who rent houses from neighbors who couldn't sell and had to move on, people who previously wouldn't qualify to live here but people are desperate). Alot of times they skip out after having trashed the houses and stiffing the owners for rent. When my husband is home he works 15 hour days out our basement. I have to bring him food. He doesn't have an office anymore. Kinda strains the family life but we have food and our home. It's the worst here. Other places barely are feeling it. My husband goes to Ohio and he says its very different. We need wind technology to come in but I won't hold my breath.

**Scattymum** · 04-06-2009, 04:27 AM

sounds like it has hit your area hard frugal warrior

((Hugs))

The town i live in has certainly had some closures and people i know have been laid off, Dhs job is *safe* enough although like i said there have been work cutbacks - we were used to him having an on call overtime every 2 months and its now down to every 6 months which will make a big loss in our income each month. Like others we are just cutting back and not buying anything unless needed, Im thankful we have our debts paid off now which has made a massive difference. I myself have started shopping in northern Ireland - the prices are so much cheaper and its well worth travelling up every month to do a big shop, doesnt particulary help the ecomomy here in Ireland but it saves a ton in my pocket.

Britbunny? question - you say you are overpaying your mortgage? how do you go about doing that - ours is on a fixed rate ( up in sept thank goodness - we should really see a drop

) and we pay by DD every month, do i just ring them up and send them an extra payment every so often?

**britbunny** · 04-06-2009, 05:38 AM

Hi,

DH just nipped into the building society and just asked them what the options were, what we could overpay without incuring any fees and all that caper, then he just made an arrangement with the guy there to add the extra to our DD each month. It is simply an overpayment, we haven't changed the mortgage or anything like that.

Thankfully we are on a fixed rate too. A couple of years ago when our first fixed rate ended we decided to switch from a 25 year to a 10 year fixed rate. People told us we were mad at the time but I'm glad we did it. The interest rate is still only 5.15% so not too bad really.

**Scattymum** · 04-06-2009, 06:56 AM

cool, I shall ring up the mortgage lender and see what we can do, our fixed ends in sept but we are going to fix it again, at least then i know exactly what is coming out each month, by overpaying we should shave a little bit off the term of the mortgage - i think we have 20 years left on it and id like to get that down now we have payed off everything else

**Bournecrazy** · 04-12-2009, 06:00 AM

me and DBF are going to do that with our mortgage, it is DD for 328 a month so we are going to up it to 350 i think a month on the DD, when we got the mortgage i asked about over payments and the guy said told us just to change the DD payment and it wouldnt be a problem. I have a 40 year mortgage so i want to over pay and re-finance after 5 years.