Oh yes, another financial worry - Help me think outside the box? - Page 2

[simplemama32]

JSMa: I'm in agreement with violet, especially about the car. Including insurance and gas, you are paying $658 a month. For a car.

Have you checked the kelly blue book value for the car? You might be able to get more for it in a private sale than with a trade-in, though I'm sure it may seem like more of a hassle.

Try to think of it this way...if you pay for the car for two more years, that's almost $10,000 (just counting the car payment itself). Even if you end up owing the difference between what money you get for the car and what you still owe, I think you'll come out ahead. How much of a difference are you talking about...$2000? $8000??

If it's more like $2000, and assuming your parents would give you a break on the rent for about 6 months, you could save the rent money and have almost enough to pay the difference. Get another car...a used one, and one that has good gas mileage, and you will free up a LOT of money per month, which is what you need. Maybe even talk to your insurance company and see what they could do about lowering insurance costs.

I hesitate to mention this, because some people dislike him, but I strongly recommend Dave Ramsey. I'm not crazy about his personality, but his financial advice is extremely good. Maybe even call in to his radio show and see what advice he can give you!

[Phoenix~Mama]

Alright, I'll humor the car thing... say I magically somehow manage to get a car and with what's left on the other loan, it amounts to $200-$300/month car payment.

That gives me $100-$200/month to purchase groceries, clothes and take my kids to the doctor. It still isn't enough.

[simplemama32]

P.S. I drive a used car, a 2005 chevrolet. I've had it for two years with no problems.

So, I'm not saying buy a used piece of crap that's 20 years old. But do some research, and have a friend who knows a little about cars look any prospects over really well before you commit.

[Phoenix~Mama]

Originally Posted by simplemama32

JSMa: I'm in agreement with violet, especially about the car. Including insurance and gas, you are paying $658 a month. For a car.

Have you checked the kelly blue book value for the car? You might be able to get more for it in a private sale than with a trade-in, though I'm sure it may seem like more of a hassle.

Try to think of it this way...if you pay for the car for two more years, that's almost $10,000 (just counting the car payment itself). Even if you end up owing the difference between what money you get for the car and what you still owe, I think you'll come out ahead. How much of a difference are you talking about...$2000? $8000??

If it's more like $2000, and assuming your parents would give you a break on the rent for about 6 months, you could save the rent money and have almost enough to pay the difference. Get another car...a used one, and one that has good gas mileage, and you will free up a LOT of money per month, which is what you need. Maybe even talk to your insurance company and see what they could do about lowering insurance costs.

I hesitate to mention this, because some people dislike him, but I strongly recommend Dave Ramsey. I'm not crazy about his personality, but his financial advice is extremely good. Maybe even call in to his radio show and see what advice he can give you!

It's a $5,000 gap of what is owed and what blue book value is on the car.

And no, my parents will not give me a break on rent. They feel they have given me enough breaks and only charging me $300 for two rooms in their house is a big break already. And they honestly can't afford for me to not pay rent.

So, how on Earth am I supposed to come up with even more money a month pay off this loan on this car I traded in... plus another car loan on top of it??

How is getting ANOTHER bill a month helping me at all???

[simplemama32]

Originally Posted by JSMa

Alright, I'll humor the car thing... say I magically somehow manage to get a car and with what's left on the other loan, it amounts to $200-$300/month car payment.

That gives me $100-$200/month to purchase groceries, clothes and take my kids to the doctor. It still isn't enough.

OK, let me preface this by saying, I'm not trying to be a hard case about this...BUT

How often do you buy clothes? In this situation, where money is tight, I would nix all "extra", non-emergency, non-kid-related purchases. Yes, I understand you have a growing child and a baby on the way. But, in my experience, clothes expenses can be at the high end, or they can be very low. You have some wiggle room.

Does your insurance not cover well-child visits or partial for sick visits? I obviously don't know your medical situation, but how often do you need to go to the dr. (other than for well-baby checkups once your baby is here, etc.)? If there are other factors I'm not aware of, then please disregard, this, but if everyone is healthy, then I'm not sure I'd include dr. visits in a monthly budget.

I guess the point I'm trying to make is that an extra $100-200 per month is nothing to sneeze at, IMO. It's a start.

[~Charlie's~Angel~]

Why is your insuarance sao high? Do you have a bad record or something? I pay 80 a month, and that has a tow trailor on it! If I was JUST paying for MY car, which is a 2007 buick lacrosse, i would only be paying about 60 a month! Thats half what your paying for ONE CAR! Is it because your husband is on the policy? If so, your getting divorced, GET HIM OFF IT. Your legally seperated right? So you can do that. Unless of course the car is registered to him. Then you need to change that. But that right there is about 60 dollars added back to your budget.

[simplemama32]

Originally Posted by JSMa

It's a $5,000 gap of what is owed and what blue book value is on the car.

And no, my parents will not give me a break on rent. They feel they have given me enough breaks and only charging me $300 for two rooms in their house is a big break already. And they honestly can't afford for me to not pay rent.

So, how on Earth am I supposed to come up with even more money a month pay off this loan on this car I traded in... plus another car loan on top of it??

How is getting ANOTHER bill a month helping me at all???

Oh, hugs...I know this has to be such a tough spot to be in. And it's small comfort for me to even say that, right?

I get a little over-zealous when it comes to financial situations, because I've been very close to where you're at, and had to dig myself out...and it was a very long road indeed.

All I'm saying is that you might want to at least consider crunching some numbers with the car/car loans. Or talking to a financial advisor...many offer a free consultation, just like lawyers do.

Hugs, and hang in there, okay?

[~Charlie's~Angel~]

Mite I also ask what those loans are for? Obviously not a house. Was it something your STBX wanted? If so, I would suggest adding to the divorce decree that HE pays those off.

[SquidMommy]

I don't want to pile on, but that car payment debacle has GOT to go.

I bought a used car in 2003 from a dealership. There's no public transportation where I live (south of Ann Arbor, despite my info-location), so the car was non-negotiable. However, the dealership I bought from included a used-car warranty and also inspected the car before I bought it, PLUS they included a CarFax report. It's now 2010, I've had only basic maintenance performed on the car, and it's pushing 90k on mileage.

The most expensive thing to break?

The heat shield (a big sheet of metal on the undercarriage of the car) after I hit a snowbank when I was run off the road in the winter: $150, dealer repair. Had I not been run off the road, the only "expense" my car would have cost me in the YEARS I've had it would be oil changes. My car payment was $142.22/mo. Really, you can downgrade that car. If it's a choice between $400 of medical care for your kids or $400 for the Mega-Gas-Eater Auto of Doom...how is that even a choice?

[Phoenix~Mama]

Originally Posted by Barbie64g

Mite I also ask what those loans are for? Obviously not a house. Was it something your STBX wanted? If so, I would suggest adding to the divorce decree that HE pays those off.

The one was for his car... and it doesn't work that way. We were married and it's considered our debt equally. Already asked lawyer about it. It is what it is.

The car insurance does include his car, which he is paying for as part of that $175/month.

Mine would be around $85 or something with him off it. I have a clean record. I don't know why it's that high. I have a 2005 Hyndai Sonota But I've had it quoted elsewhere and it came to the same price.

[Phoenix~Mama]

But my car isn't a major gas eater... that's how I'm only paying $30/week in gas. It gets very decent gas mileage.

I have very poor credit! I'm not going to be able to get another car for much less.

[A&A]

You need a cheaper cellphone. Buy a TracFone........it's the cheapy phone they sell in dollar stores.

[~Charlie's~Angel~]

Well the only other thing I can think of is filing chapter 11, loosing your cars, but also the loans your paying. Save up some cash for a few months with the money you save and buy a clunker. In the meantime, carpool. Dont have any other peices of advice.

Except one, I forgot to also mention you are paying to much for your cell phone if it is bare basics. My bill RIGHT NOW is 65.21, that is 450 anytime minutes, free mobile to mobile, 500 texts/pics, free mobile to mobile text. If i had less minutes and no texting package, it would be like 55.

[mysticmomma]

Hey mama , where in PA are you? Can you PM me? Also, you should be evaluated for all aid, not just childcare. Maybe you qualify for FS or WIC? Gross monthly for WIC is 2,822. And if are on MA you automatically qualify regardless of income. MA income for YOU is $2,823. for your child it's 2,030. So even if YOU don't qualify for MA and she does, she will still qualify for WIC. That can easily be an additional $100 in groceries. Your Ex's 175 shouldn't count as income to YOU.

[happysmileylady]

Ok, so the car-you are $5k upside down? How much do owe now? Could you get a loan for the $5k, sell it, and buy a used car off of Craigslist or something for cash? If you owe say $10k, and you replace that with the $5k loan for the difference, that will at least lower the payment. Any bill lowered is a place to start. Also, once you have a paid for car, and one that's worth less, that will lower your insurance. And as far as a car repair-you scrimp and save for a small emergency fund, that's what you use to fund those car repairs. But like another poster mentioned, you aren't getting some sort of clunker either-you are looking for the cars that seniors purchased two years ago and now can't drive because they went into the nursing home and their cars are still in great shape. You are looking for cars that hs seniors got for their sweet 16, and then have to sell because they got in trouble. Cars that are still in GREAT shape and aren't any more likely to breakdown than what you have, but the owners are desperate to sell, for one reason or another and are taking basically anything.

The phone, you mentioned you still have a year and a half on the contract, that's a long time. Is there any way that you can come up with the early term fee, and then go pre-paid or work to locate a cheaper plan. I totally understand needing a cell phone, but again, trying to lower the bill will help.

Your daycare totals...wow. That's like $170 per child per week (you will have two in daycare you said, right?) That just seems like a LOT to me. I know that different areas have different averages for that sort of thing, but man, I only charged $100 per week when I was doing daycare. And I was FAR from the cheapest (also far from the most expensive, I was smack in the middle) in my area. Are you absolutely sure you can't get that any cheaper? If you can even get that down to $140 a week per child, that's another $240 a month for your budget.

Also have you checked around for private charity assistance on the child care? Sometimes church daycares and such have financial assistance for people in this sort of situation.

Did domestics (I haven't ever heard that term, is that what your state calls their public assistance department?) run the numbers for WIC for you? Those numbers are likely to be different for income limits. What about TANF? Although the issue there is that TANF might take the CS for repayment, that would be something you would have to look into. And just like there are private charities for that you might check out for child care assistance, you can look into local food pantries for food. Have you talked with our parents about a grocery budget for the household? Pehaps they can help you work out a way for the entire house to buy enough food with less money, with coupons, bulk shopping, home cooking etc.

[newmommy7-08]

Saw this from the new messages link but check w/ Public Assistance on medicaid. You may qualify for it, may not, but at the least your kids should qualify for PAChip which means no dr. copays, deductible, or prescription payments depending on the plan. If you qualify for the pregnancy medicaid it will cover you now for the next year. Which should help w/ your own dr. visits and medication coverages. This is available to you EVEN w/ existing private insurance.

You most likely don't qualify for WIC, in pa is 33,000 a year and under for a family of 3, but if you get medical assistance you will get WIC automatically.

[mysticmomma]

What does he pay in CS to dd1? Who has insurance on your dd? He'll also be responsible for half of daycare costs too. using this calculator I put in 1900 for his income, 300 for his dd1 cs, 2000 for your income and 1300 for daycare costs paid by you. I get a cs estimate of 1000.

[violet_]

Yes, getting a cheaper car may be a pain in the short-term, but it will help you a lot in a little while. How long until it's paid off? If it's not paid off soon, then it really is the case that you'll need to get a cheaper car.

I drive a 2002, and while I may have the occasional expensive repair or maintenance cost, it's maybe a grand a year (usually much less though) instead of a grand every two months that a car payment would be.

Also, on the phone -- if you're still under contract, can you at least get a cheaper plan? $75/mo is pretty outrageous. I would be surprised if that's the cheapest plan they have. Could you use your parents' home phone for outgoing calls, at least, to save minutes and lower your rate plan?

[~Charlie's~Angel~]

Originally Posted by mysticmomma

What does he pay in CS to dd1? Who has insurance on your dd? He'll also be responsible for half of daycare costs too. using this calculator I put in 1900 for his income, 300 for his dd1 cs, 2000 for your income and 1300 for daycare costs paid by you. I get a cs estimate of 1000.

If I remember correctly, her ex pays 500 a month to DSD. I put in him making 18 bucks an hour and her making 17, with health care costing her 195 a month and daycare costing 1400 a month, and it gave me 1232 a onth for CS.

Seriously JMSa, I know your a details kinda girl, but something is NOT ADDING UP somewhere.

[Phoenix~Mama]

Originally Posted by mysticmomma

What does he pay in CS to dd1? Who has insurance on your dd? He'll also be responsible for half of daycare costs too. using this calculator I put in 1900 for his income, 300 for his dd1 cs, 2000 for your income and 1300 for daycare costs paid by you. I get a cs estimate of 1000.

Currently he is paying $320/month to his DD1. (he just got this lowered so he could pay my DD a more fair amount)

He has the insurance on DD and myself right now, which is giving him a break in CS.

I checked with my lawyer, and yes, he would be responsible for childcare in addition to child support... however! if that surpasses 50% of his paycheck, I won't get the full amount. They can't take more than 50% of his pay. (but they have no problem taking more than that from me for daycare )

Anyway, so I wil get less than 50%, as some percentage of that 50% needs to go to DD1. I really doubt I'd see close to $1000 from him, let alone that.


As for daycare costs... that is what it costs in this area. I have another thread around here about my shock when I was calling around and getting prices. This center offers the cheapest rates of the more than a dozen places I called. Including usual lower costs places, such as the YMCA and college daycare sites. I will not find lower than the rates I have.

Originally Posted by violet_

Yes, getting a cheaper car may be a pain in the short-term, but it will help you a lot in a little while. How long until it's paid off? If it's not paid off soon, then it really is the case that you'll need to get a cheaper car.

I drive a 2002, and while I may have the occasional expensive repair or maintenance cost, it's maybe a grand a year (usually much less though) instead of a grand every two months that a car payment would be.

Also, on the phone -- if you're still under contract, can you at least get a cheaper plan? $75/mo is pretty outrageous. I would be surprised if that's the cheapest plan they have. Could you use your parents' home phone for outgoing calls, at least, to save minutes and lower your rate plan?

I only have about a 1.5 years left to go to pay off my current car. I may be able to do it sooner depending on how much I get back on the tax return. So that is another reason I am skeptical about getting another car.

I think there may be a plan that is one step lower, but I already come close to going over my minutes. It's generally not feasible for me to use my parents phone as their land line is my Dad's business phone. They each use cell phones.

I tend to use a lot of minutes while at work because I work in a cubicle and I have to go outside and use my cell for any privacy, which I've been doing a lot recently to work with the lawyer and talk about medical things going on with me. The only times I can reach places is during the way when I'm working and I'd rather not spread my buissness around the work place to 20 some odd people who sit near enough to hear me.

This could be a potential to look into next year, as hopefully I won't have to make as many personal calls during the day anymore.