Needing some input on this budget. We are way overspending every month and have eaten away at our savings (mostly unavoidable since my dad was really ill last month so we did a ton of traveling back and forth to where he lives, which cost $$$ but we are both okay with going into short term debt when family is ill and needs us). Our only debt right now is maybe $5000 total across 3 credit cards (about half of that will be paid off at the beginning of this month- but we've NEVER carried a balance on a credit card, this is the first time we haven't been able to pay it all off), dh's car and the house. Basically we went from me working somewhere between part time and full time to not working at all when the baby was born. It's cut out a large chunk of money, but we didn't cut out any spending to compensate.
DH's paychecks, after taxes, health insurance, FSA money, etc are taken out is around $1350 every other week (for budgeting purposes I just did $2700/month and on the 2 months where he gets 3 paychecks the money can go to things we haven't budgeted for).
I get approximately $350 in child support each month, with an extra $50 every month to try and pay off his arrears. So I just budgeted the $350 and when I do get the extra $50 it's going in our savings, which we depleted paying for ds's medical bills because my PITA ex refused to pay them (hence he went into arrears and they are now taking $50/month to try and pay them off).
Our total income to work with is $3050/month.
$770 house (this also includes home owners insurance)
$148 cell phones (this is non-negotiable- we don't have house phones and dh uses his cell phone for work so we can't reduce the minutes or anything, otherwise we end up paying more for going over in minutes)
$40 to the kids savings accounts ($20 in each kids account each month)
$27 gym membership (this is for dh, me and dh's dad)
$15 on dh's WoW game
There is also $325/year on DH's life insurance, $300/year for my life insurance and $250/year on car registration (though that will hopefully go down because dh plans on selling his "play" car).
So the monthly expenses that are automatically taken out of dh's bank account (all those listed above), plus the yearly expenses I listed above (divided by 12 months) is $1817/month.
Here's what I budgeted....
food/grocery- $400 (we had been spending around $600/month on grocery)
gas (both our cars)- $300 (and this will really be pushing the limit, not sure we can do this)
eating out- $70 (this is really going to be hard for us- we had been spending around $300/month on eating out!)
household (TP, soap, etc)- $30
clothing (mostly for the kids)- $20
entertainment- $20 (of which $8 is on netflix)
car/house maintenance- $40
travel- $100 (this will be really hard to stay in this limit because I have to travel back to Michigan every other month for ds's visitation, it's not an option. It costs around $100 in gas each time. If we have to get a hotel then that's around $50/night. Plus food on the way there and back)
legal fees- $75 (I currently owe around $600 to my lawyer, and it will continue building because she's still working on some stuff for me, but she'll let me pay it off little by little thankfully)
pool membership- $400/year, $34/month (I want to let this go for the year, dh refuses because he already made a verbal commitment to do it and he wants to honor it- it's in his parents neighborhood and they might help pay for it but we need to plan for them not to help just in case).
Total monthly budgeted money is $1109.
$1109 (budgeted money) plus $1817 (other monthly expenses) is $2926 total expenses. That leaves $126 wiggle room IF we can stick to our budget. And our budget doesn't include things like gifts (b-day/christmas), ds's field trips, etc.
Is it possible?