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How has the recession personally affected you? - Page 3

post #41 of 108
My DH works for Bank of America... job security is a bit of an issue at the moment.
post #42 of 108
We own a small business, 11 employees plus the two of us. So far everyone is still getting 40 hrs a week, that will probably change this summer, but we are holding on as long as we can! Prices keep going down for our product, and demand has plummetted, so we will have to stop producing as much b/c of the drop in demand. Without getting into specifics, I would say we will be working 4 day weeks most of the summer, and I hope it picks up by fall!
post #43 of 108
post #44 of 108
Originally Posted by Azuralea View Post
We've always lived frugally...

How has the recession impacted us?

Well, I definitely notice prices of consumer goods. And I definitely felt like I needed to get back to work sooner (among other reasons not related to the recession) after being a SAHM.

I felt like the combination of the recession, job insecurity, and the fact that I'd been out of the labor force for a while put us in a tricky position if something happened to the one job that was supporting our household at the moment.

So, now we have two jobs and I feel better about that. We have a back up in case something happens.

We've always been frugal, but I think that the recession put more attention on the need to be...so we're doing some things in addition to what we've always done.

But I do think spending is still important so that we don't shut down the economy more. I believe in stimulating the economy as much as I can.
post #45 of 108
Originally Posted by mandib50 View Post
our investments were hit so hard.
Yeah, I forgot to add that. We don't really have investments other than retirement, but I know from our retirement statements that we have less (probably like almost all people) than we had a year or two ago.

We've taken a hit on that.

I try not to think about it, though, because it's happened to everyone and our retirements are long term funds and long term goals.

Let's hope things rebound.
post #46 of 108
Originally Posted by That Is Nice View Post

I try not to think about it, though, because it's happened to everyone and our retirements are long term funds and long term goals.

Let's hope things rebound.
that's the thing ... i haven't even looked at where they are at right now cuz i know they are way way down. it will come back eventually .... i feel so badly for people who were about to retire and have lost so much and can no longer afford to retire
post #47 of 108
My dh has had a salary cut. Also, he is 50% salary/50% comission, and comissions are way, way, way down. So, a pretty major pay cut.

Our house has lost a tremendous amount of value. So much so that, when we had it on the market, we had hundreds of lookers, and no offers. Based on current comps, we owe about 150% of what it's worth. This is big to us, because my dh got transferred to our dream town, and he had to turn it down after commuting for a year. Financially, it would have killed us.

He took a demotion with an hour commute, happy to have any job. But, it's been really, really hard for him, and his psyche has suffered a lot. A whole lot.

My brother isn't getting 40 hours a week any more, and my step-dad was laid off (the business went bankrupt).
post #48 of 108
*Crossing my fingers* we haven't been THAT affected. Yes, food and gas kill us just like everyone else. We had two VERY difficult months where we barely scraped by (dec and jan) BUT those two months are always difficult for us because of the nature of DH's business (tile installation). He is super busy now, and has some really big jobs lined up. We don't have any investments, so that wasn't an issue...

Now we just have to save and be prepared for if and when he runs out of work again. It is kind of nice though, with him being a sole proprietor- he doesn't have any overhead really, so he will never "go out of business" he just won't have work, and during those times he uses his skills to do other stuff around town- paint, construction, etc.

We've been lucky. So far.
post #49 of 108
really hasn't affected us much yet. I mean, we don't have investments yet. Our ING account rate went down, but thats about it. DH is a union welder, so we're laid off but thats normal...a couple months on, extremely on, and a couple off. No one I know has been terribly hit so far. A few don't look at their 401k balances and such for the time being, but all are surviving just fine thus far. I think one of my cousins lost his house, but he bought high and was speculating so that happens.
post #50 of 108
DH is in real estate so we have had major cash flow issues - can't replace our car so we are down to one, had to move back to the house we were trying to sell and my 401K is down and the budget is s t r e t c h e d. The bills are piling up.
post #51 of 108
Oh yeah, I forgot about our 401K. We're young still and I'm not too worried about it, there wasn't that much money invested in it.
post #52 of 108
cheaper housing prices!
post #53 of 108
Hasn't affected us so much, although our 401 took a mighty hit, at least 30%. OTOH, short term investments have done ok. Our house has lost about 5-10% of its value, but we aren't planning to sell so that's not a big deal. DH's raise got cut back, but we expected and planned for it. His ofc has had rounds of layoffs and is in the process of union busting, but he's seems pretty protected, knock wood. I feel pretty blessed at this point, yet fearful, and we're def preparing for the worst.

My ILs have lost so much of their retirement it isn't even funny, and my father has too. My mom is doing much better, thanks to correctly timing the SFla real estate market, but she's dipping into her principal now due to the dearth of safe investment choices.

Am I the only person wishing they'd raise interest rates? I don't mean to be a downer, but I don't see anyone's 401 coming back in this lifetime. If I'm down 30%, the stock market needs to go up about 43% for me to break even, let alone gain. I don't see it happening.

My mother was telling me she's been investing in the market for 30 years and between bubble and bust, she's just about broken even. She'd have done better to leave it in a savings account. But as we all know, unless you save a lot of money and have very low living costs, 5% will most likely not be enough for retirement, or at least the sort of luxury dream retirement we've all been lead to believe hard work and thrift will provide.

So for me, we've been affected, but I think the bigger changes are ahead.
post #54 of 108
Originally Posted by shayinme View Post
The one bright spot is that my FIL who is pretty comfortable and had always planned to leave my husband a chunk of cash upon his death realized that we could use help now so he paid off our mortgage. : That means that despite having less income we are actually making ends meet which if we had the mortgage would not be possible. Since taxes and insurance are doable now without the actual mortgage.
Wow Shay, that's fantastic! : I know you've had a rough go of it this last year, it's so nice to see something good happen for you.
post #55 of 108
My dh is a owns apartments and houses and a lot of people can't afford to pay their rent, so we can't afford to pay our bills. This is a mill town and the mills have moved to Mexico so there are just no jobs around here. I was really hoping that we would finally get to take a vacation this year, but I don't think that will happen.
post #56 of 108
We're mildly concerned about my DH's job security and VERY concerned about my dad's. That's all so far.
post #57 of 108
I feel pretty guilty even posting, but things have really been well for us. Last year we paid off all but one of our student loans and mortage - all with money from my business. We have not other debt now. I think I will take a bit of a hit on my business this year, but think we will be ok with that. Then my IL's gave us a nice gift of money to use as a savings buffer allowing us to purchase our dream home...which we got at a GREAT deal due to the housing market. DH have a very stable job and actually got a big raise and bonus. We do have to sell our old house, but we have enough in savings and extra income to cover that expense while we wait it out. Our area has been pretty stable through this whole thing, and I sometimes feel like we are living in a bit of a bubble.
post #58 of 108
Dh's company instituted a 5% pay cut and gutting of the 401K match.

I'm getting offered more college courses (I teach part-time), but I can't take on more than 6 per year, and the pay is lousy

My publishing/editing work is down 80%.

We have seen our house drop around $30K in value, but we don't care because we're here 20+ years and we view it not as an investment, but as a home.

401K dropped 20%. It was only that much because I shifted investments in early 2008 when I kept reading about problems.
post #59 of 108
Net worth, including retirement and house value, hit the skids.

I work for the state. Our legislature is in session for another couple of months. The budget decisions will determine how many of us get to remain employed past June. I'm sweating bullets.
post #60 of 108
So far, only in theory. We took our money out of mutual funds and put it down on our home just as it was starting to lose money. Our home is losing value but not as much as other areas of the city, and we don't plan to sell. We've just paid my parents back for the money they loaned us for our down payment, so we're just even right now - no debt, but no savings.

My company's biggest client is on the verge of bankruptcy and there's a staff general meeting on Wednesday. Everyone's expecting layoffs. I think I could still see the positives if it were me though. My mom might have cancer and I would have more time to be there for her and take care of DD. We could live on DH's job for the short term without going into debt if we are very, very careful.
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