Budget Help? - Page 2

[Phoenix~Mama]

Wow! Thanks! That is interesting, because I have scoured the PA domestic site and it had read quite differetly at that time. It has basically about say H made $1000, and he had to give 50% to first family (only doing this for easier math sake) So then his income would technically be $500. Then if his second family were to get 50% also, it would be from the $500, leaving him $250.

Originally Posted by Aridel

I would consult a lawyer on the child support regulations. I know there are lawyers and custody agreements that don't follow the guidelines, but PA state law says that all families should be equal; support should not be reduced due to your child being from a second family, though they will avoid taking so much he can't live off the rest, as judged by them.

Here is the site with the relevant laws, and examples to explain them. It was linked to from the PA state child support site.

Some relevant quotes, bolding mine:

Rule 1910.16-7. Support Guidelines. Awards of Child Support When There are Multiple Families.

(b) When the total of the obligor’s basic support obligations exceeds fifty percent of his or her monthly net income, the court may consider a proportional reduction of these obligations. Since, however, the goal of the guidelines is to treat each child equitably, in no event should either a first or later family receive preference. Nor shall the court divide the guideline amount for all of the obligor’s children among the households in which those children live.

One of their examples involves support for children from a second marriage:

Example 2. The obligor is sued for support of three children of a second marriage. There is already an order in effect for two children of the first marriage. The relevant monthly net incomes are $1,000 for the obligor, $0 for the first spouse and $500 for the second spouse. The guideline amounts for each family are $229 for the two children of the first marriage and $422 for the three children of the second marriage for a total support obligation of $651. Since this total obligation leaves the obligor with only $349 on which to live, the order for the three children of the second family is too high. However, reducing the order for three children while leaving the existing order intact would give preference to the first family, contrary to the rule. Therefore, both orders must be reduced proportionally.


I am not a lawyer, but they seem to say pretty clearly that you would not just get whatever is left over after he pays CS for his elder daughter.

Honestly, I wouldn't worry about how he is going to live on his income, or where he will live - he needs to figure that out. Take care of yourself and that wonderful little girl!

[doubledutch]

stop the 401(k) contribution, with a goal to resume contributing in 1 year, 2 years, whatever. but stop for now. that's $158.40 per month that you need.

adjust tax withholdings. you are currently having a total of $840 withheld each month. some of that is your 401(k) contribution, and either $50 or $100 is loan repayment (i was confused about whether it's $25/wk or $25/bi-weekly paycheck). that means you are having another $580-$630 withheld which i'm thinking may include insurance premiums? so maybe $250 or so in taxes and social security. you'll still have ss withheld, but could bring home another $100 per month or more by adjusting the tax withholdings. you need to do this.

do not tell dh about changing your 401(k) contributions or tax withholdings. under any circumstances. do not tell him, and don't let your paychecks hit a joint checking account.

that's a great rent deal, and you could definitely stay there by splitting the rent, electric and heat with a single woman or another single mama. in the mean time, call the heating oil company and find out whether you can get on a "budget" plan so you pay, like, $100 every month toward heat instead of $0 in the summer and several hundred each time you fill the tank. also change the filter every month and do anything else you can to save on heat, like adding plastic film to the windows. if you kick dh out and send dd to full-time daycare, you will be able to turn the heat down during the day, which saves money too.

i actually see your budget being totally workable. you earn good money. you just need to make some adjustments and find a roommate. also stop taking financial responsibility for dh and your parents. you're paying for his car? then it should become your car, or if it's in his name, he needs to get a loan and pay you so that you can repay your 401(k) loan.

[doubledutch]

budget after adjustments and ditching the car with the loan:

salary: $2050
roommate's rent & util contributions: $450
total income: $2500

daycare: $800
car ins: $80
gas: $120
rent: $700
heat: $100
electric: $100
groceries: $300
savings: $300

not including child support. maybe you can't rent out two bedrooms for $450, utilities paid, but i would think you could.

[Phoenix~Mama]

What do you mean by changing the tax witholding? I think I have it at 2 right now, I think the max I can go would be 3, wouldn't it?

[doubledutch]

you can set your withholdings at whatever you choose. you can have your employer withhold too much money so you get a refund (what you're currently doing), you can try to have the exactly correct amount withheld so that you only get back / pay in a few hundred dollars at tax time, or you could have no taxes withheld and put the money in a savings account to earn interest, and then majorly pay in at tax time (if you were so inclined, and if you were to owe major taxes). whatever you tell your HR department to do, they will do it.

i just filled out a w4 pretending to be you, considering your situation filing your 2010 taxes as a single mom. i got 6:
1 for yourself, if no one can claim you as a dependent
1 for being single and having just one job
1 for your number of dependents (dd)
1 if you will file as head of household
1 for having at least $1800 of child care expenses
1 for the number of children eligible for the child tax credit

[doubledutch]

i just re-ran the irs withholdings calculator and it said your federal income taxes due for 2010 would be a bit over $1500, or about $60 per paycheck if you are paid every other week. that is with the limited information i have about you, and with stopping 401(k) contributions. if you continue your 401(k) contributions, that will lower your tax liability, but not by much - i think it's better to put that on hold for now.

[doubledutch]

Originally Posted by doubledutch

budget after adjustments and ditching the car with the loan:

salary: $2050
roommate's rent & util contributions: $450
total income: $2500

daycare: $800
car ins: $80
gas: $120
rent: $700
heat: $100
electric: $100
groceries: $300
savings: $300

not including child support. maybe you can't rent out two bedrooms for $450, utilities paid, but i would think you could.

i'm not trying to beat a dead horse, but i just thought of this again and wondered if you could make it without a roommate. let's say your income is $2050, no roommate, so we need to eliminate $450 in expenses from this budget. first, i don't even know if you do pay $1200/year for heat and electricity, but even if you currently do, you would be paying less with only two people living in your house, and the house being empty five days/week. maybe those each drop down to $75/month and you've saved a total of $50 there. unfortunately, you would also have to drop the $300/month savings plan. that leaves a remaining $100, which you may be able to shave some off of groceries, and maybe make up the rest with some supplemental income? like, babysitting one night/week, or a sunday morning paper route y you can take dd on - or maybe your income after stopping 401(k) contributions and adjusting tax withholdings will make up the difference. of course there's also the possibility (and eventual reality) of child support. i just wanted to come back and see if this could work without having to find a roommate, if that is a hurdle for you.



i really believe you can give him the boot. if you found a roommate, you would be able to kick him out immediately and not have to wait until you can unload the massive car payments. you can do this.