Could you put your hands on $2,000?

Parent Cafe
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<p>DH went 3 years without making a dollar (100% commission career). So we always try to keep a full 3 years living expenses in the bank. That means when he closes a big sale, a whole heck of it goes into savings.</p>

<p>We all realize how very lucky we are. DH is very good at what he does, but sometimes luck can play into it. Also, lots of people work very hard and are good at what they do, but their salaries make it impossible to have a deep savings pool to draw from. I’ve certainly lived the paycheck to paycheck and could not have put my hands on $2000 without borrowing from family.</p>

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<p>This whole thread is making me feel very blessed. And reminds me to make the most of what I have. </p>

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<p>vlad…give me better numbers then…realistic numbers.</p>

<p>laundry $3.00 a load… 2 loads a week …and another bedding load a month …9 loads =$27.00 and detergent</p>

<p>and hopefully he is not an athlete…</p>

<p>and no…he is not cutting his own hair…he will lose his job!</p>

<p>car insurance rates for 6 months by state …national median rate for a guy is $765 for 6 mo</p>

<p><a href=“http://www.insweb.com/auto-insurance/men-women-state-rates.html”>http://www.insweb.com/auto-insurance/men-women-state-rates.html&lt;/a&gt;&lt;/p&gt;

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<p>I’m frugal, but some of you are rather extreme. For those with comfortable incomes, life is too short to be that obsessive over nickels and dimes. You can’t take it with you. Remember that. I have family members (now deceased) who were so obsessive about saving that they really didn’t enjoy life. I also have other family members that are keep up with the Joneses types. Moderation in all things is my motto. We save plenty, have minimal debt (no credit card debt), don’t obsess about every nickel and dime we spend, and “waste” money on occasion. But we also have a good income, so I recognize our good fortune. Unfortunately, not all are as blessed. But for those that are, its not worth it in my opinion. </p>

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<p>2 loads a week sounds like way too much. I do about 3 loads a month total. We’re talking about just his own laundry, right? </p>

<p>I cut my own hair. I’ve always cut my own hair. Why will he lose his job if he cuts his own hair? He’s not a lawyer or investment banker or anything. I’m not sure the general opinion on this, but it’s always seemed to me like going and getting your hair professionally cut (for a guy, it’s different for a girl) is just for rich people, and this guy isn’t rich.</p>

<p>Car insurance is like $40 a month, and utilities (excluding internet because you’re counting it separately) is like $50. Unless he’s living alone and is the only one paying for internet, $50 sounds pretty high but I don’t know what the prices are everywhere. Here I’m paying $13.50 or something like that for my share. </p>

<p>Also sounds like this guy should try to find a cheaper place, but this is very location dependent. </p>

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<p>Both my daughters spouses/ boyfriends cut their own hair.
Its pretty easy to do if you have clippers & a mirror.
I cut my own hair too! </p>

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<p>My daughter’s actual expenses/month, despite paying quite a bit more for rent, add up to much less than that. I will note that a) she has 95%-employer-paid health insurance, b) she commutes by bicycle and doesn’t own a car. </p>

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<p>My hair is layered. I don’t even want to think about how badly I’d mess that up. </p>

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<p>My hair is layered, I admit I also have been a licensed hairstylist.
It grows unevenly, thicker at the nape & the forehead, plus wavy. Optimally, you need to cut it wet and then recheck when dry.
All that time is very expensive, and its more fun just to do it myself.</p>

<p>One thing that many hairstylists will do, is show you how to trim your own bangs and to style your hair to have more time between cuts.</p>

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<p>Same for me, in that I pay way more than $450 a month for food and drink, but my monthly expenses have generally been around $1800-$1900, despite the fact that I do have a car. My health insurance isn’t quite 95% employer paid, but it’s it’s 80-something%. </p>

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<p>$150 a month for utilities??? I wish! My electric is about $50, and more in the winter when the furnace runs. Water close to $20 (the city uses water bills as a revenue and tacks on extra fees), oil is a $250/month budget plan. Sewer bill is $30 and trash collection (mandatory township bill) is $25.</p>

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<p>Okay, a single guy is not living alone in a house. Mr. Hypothetical should be in an apartment with room-mates. Utilities may be included. And, he doesn’t need renters insurance. LOL.</p>

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<p>Plus, at $25/month your budgeter is going to have to save most of the year for a winter coat and a pair of boots. God forbid he needs some new underwear!</p>

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<p>Maybe public transportation is the way to go for this hypothetical person making 30K/yr. And agree. Roommates. Hopefully their 30K/yr job provides health insurance. And a washer/dryer in the apt saves a lot off that budget. Most places where I and my kids live have them in the apt or rental house. And people apparently use way more detergent that is necessary to do laundry.</p>

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<p>“And, he doesn’t need renters insurance. LOL”</p>

<p>Flossy, many landlords require their tenants to have renter’s insurance, because their (the landlords’) insurance companies won’t insure them otherwise. </p>

<p><a href=“http://renters.apartments.com/can-a-landlord-require-you-to-have-renter-s-insurance”>http://renters.apartments.com/can-a-landlord-require-you-to-have-renter-s-insurance&lt;/a&gt;&lt;/p&gt;

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<p>Renters ins, isnt usually too expensive and especially if you are going to have roommates and your stuff will be exposed to many more people than just your own friends, I think it is a very good idea.
Not to mention risk of catastrophes like fire or flood.
Living in an apt, increases that risk over single family housing.</p>

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<p>My oldest had a crisis not long ago when his car needed a major repair $3K was the estimate at the dealership, and it was not something our mechanic wanted to do. He did not have the money, as he recently moved out of our home when a roommate opportunity arose. He had not built up a short term emergency fund, and I 'd warned him that all he needed was one disaster, and he barely got through a month on his own (again) before this happened. He managed to work it out without tapping us or his 401K, but he’s really feeling it right now and without friends and contacts, it would not have happened. His roommate had gone to trade school to be a mechanic, then decided he did not want to do this, but had contacts there, that did the job (oh, I just hope it was done properly) for half the price. Roommate paid full rent for April too, and DS is working extra hours, and is rolling over his old 401k to his current place of work which will give him 60 days use of those funds. which he’ll need to pay the full rent in May. He’s scheduled to have the money replaced by mid July. But his forehead is furrowed and things are very tight for him. It does hurt me terribly to see this, but he has to learn how make it on little as he does not have a high paying job. This is his 4th move out of our home to try to make it work on his own with a roommate as he HATES living here. I don’t think it’s good for him to live here, as he leans too much on us when he does.</p>

<p>Much of my husbands family lives hand to mouth, and we’ve bailed them out numerous times when taking the consequences would have set them back terribly. We did so only when other alternatives were exhausted. So I certainly see famiilies who can’t get a hold of $2K.</p>

<p>We lived some lean years too, and we always lived in a place where we could put away money and didn’t start loosening up on some spending until we each had about 6 months leeway when we were both working. That meant living in some seedy places, not so clean and a bit dangerous as well. Even so, when we first had the kids, and moved into something more upscale and well located for children, we had very little extra after paying the essentials. That was our lot for a long time, but we always put money away, bit by bit. We just didn’t have much of anything, though with the kids, we did make location of where we lived a priority. SO we did have $2K to spare, a nice place to live, but very little for any discretional spending. We planned out our car gas even; it was that tight, and just couldn’t spend money. I’m not a shopper, not is DH and my kids did not seem to care, but I don’t know anyone personally that went out and spent less than I did those years, and that included by DH’s family that found themselves needing bailouts. I got everyone’s throw aways that i knew. That was how we could afford private school for our kids and a lot of their ECs. </p>

<p>We are upper income now, but even now I don’t have much extra each month. I have some things I want but something comes up each month that needs to be addressed. Headlight out in one car, new tires needed, garage door engine is broken, dish washer needs repair, right now. Yeah, I wanted to buy some plantings for the yard, but we’ll keep it simple and green yet another year. Paying a tutor for son’s ACT even as I am working with him, and that’s been a tremendous drain, plus had to get drivers licenses, eye exams, passports renewed. The list never ends. I don’t know how most people do it. </p>

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<p>Sax, that ‘s my son’s budget you listed. Not off by much. He does have an HSA and a 401K and he has both pretty well funded from past years and puts in for full match even now, so most medical expenses are covered for him. Lucky he has good eyes and teeth, because that could be a killer He got a card for a complimentary cleaning and check up for this year. Nothing last year, and the year before I paid for teeth to be cleaned and checked. His food budget is about half what you have, as he does pack his own food, and eat at home–bakery outlet near where he lives, means a loaf of good bread for a buck. He also mooches food from me. Doesn’t pay for furniture or clothes, has cable., no rent insurance, and does spend about $20-50 a week on entertainment but knows all the freebies, cheapies and has a lot of people he knows for that. Has a paid off car and no student loans, is taking a class at the local college that job reimburses him for if he get a B or above. Borrows the books. Does laundry here at my house. Also “shops” my house and friends’ for needs, so he doesn’t buy much of anything but groceries and necessities. It was a tough go for him, by the way, to stop eating out He was spending ten bucks for breakfast before earning a penny for a while with the lattes and breakfast sandwiches and drinks (water, soda, gatorade,etc) That was only one meal and liquids. He now carries a water bottle that he refills, and coffee mug/w lid that he fills up when he gets to work. Took him years to figure out that if he wanted to have any discretionary income for anything else, he could not eat out but very occasionally. That he does not drink much alcohol and doesn’t smoke makes a huge difference. He says a lot of his peers have maxed out credit cards, no money at all for ahything and they still eat out everyday. Most of them cannot seem to learn to pack a meal, shop and apportion food. </p>

<p>He cannot seem to keep a short term savings fund. Spends it as fast as he accumulates it, though he has been good about the 401K. </p>

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<p><<<<
Cigarette smoking and alcohol consumption are two that I see quite often. I know of a number of people all making near minimum wage who would probably have about $2000/year more in disposable income if they didn’t smoke or drink.
<<<<</p>

<p>It bothers me to see anyone smoking, especially those who have very limited funds. My cousin and her H quit smoking last year and each day, she put the money they would have spent in a can. She recently posted pics on her facebook of the fab vacation they just took using that money. if she were low income, she’d at least have that saved. she’s affluent and has lots of savings, so that wasn’t her goal. seeing how much they were wasting on cigarettes was amazing.</p>

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<p>@sax‌ </p>

<p>You are assuming that all these folks are living alone. That same hypothetical person could share an apt and split rent, utilities, etc. the idea that everyone should make enough so that they can live all by themselves is not practical.</p>