Please make suggestions. I can NOT stand this anymore.

[DoomaYula]

Every month, we end up either negative, or with like $2 to spare before dh gets paid. EVERY.SINGLE.MONTH. Actually, twice a month, since he gets paid every other week.

We have $800 in cc debt, about $3000 in medical bills (no interest), and we own both our cars. So we only have a house payment.

Every so often I make a budget, but it scares the crap out of me because there's always more bills/expenses than money.

We've had a LOT of medical bills lately because I have pneumonia. I've been sick since May. I actually have an appointment with the pulmonologist tomorrow, but of course we have -13 in checking, and the doc will cost 30, and I have no clue how to pay. I do not want to use our cc.

Please make some suggestions, this is so depressing. I can already tell you that we (1) never go out to eat (2) rarely go out on dates and pay babysitters. Maybe once a month? (3) own both of our cars.

[loveandgarbage]

the first step to getting out of this situation is to know exactly how much money is going to come in, and exactly how much comes out for bills each month. this isn't exactly a budget, it's just knowing how much money you have leftover to buy food/gas/etc without it being an estimating game. i can't imagine trying to live responsibly without knowing this! we'd be in the red for sure every month if i didn't keep a close watch on things. i also suggest signing up for your bank's online system so that you can check your balance whenever you want.

[nd_deadhead]

Starting TODAY, keep track of every dollar you spend, whether it's on gas, groceries, toilet paper - everything. At the end of the month you'll have a much better idea of where your money goes and why there's none left at the end of the month. You might also see areas where you can quickly cut back.

When you are forced to keep track of every dollar, it can make you think twice about spending.

Some areas to look at: cable bill, cell phone or landline programs (can you cut back any of these?), insurance premiums - you can reduce your premium if you increase your deductible, pre-packaged food. Stock up on necessities when they go on sale, so you aren't forced to pay full price for toothpaste.

[Emmeline II]

There is a good free excel document that does the math for you; you could just enter EVERY purchase throughout the month. I can't find the link; hopefully someone will post it for you.

-Or-

You could get a program that allows you to download directly through your bank; I use YNAB. I keep up with the receipts but I'm not fully utilizing the other options.

[abomgardner417]

We have been in the same situation for much of the past two years. Here are things we cut out:

cable - not even basic cable, we just use an antenna now
no land line and cut our cell phone down to the basics - no text, no vcast, etc.
no paper towels
no toilet paper (family cloth)
no shampoo or conditioner
no laundry detergent
no deoderant
no extras at the store - no chips, cookies, no juice, soda, coffee, or tea
I called billing offices for our med bills and talked them into accepting $15 a month for now
I started selling some of my books on half.com
I'm sure this is obvious but no fast food, no eating out, no getting hair/nails done, no stopping for ice cream or coffee, basically we do nothing fun! But it's how we have to live right now.
Since you own both your cars do you have the least amount of ins on them, like Liability only?
Could you survive on one car? If you can then selling one car would probably pay off the credit card bill and some of the med bills.
Could you talk to the credit card co and ask them to lower your rate?
As far as your doc appt, it sounds like you'll have to use the cc unless you can find something to sell quickly.

Also, Budget for Windows helped me out immensely. It's an envelope budgeting system. It's much easier to keep from spending a few bucks here or there when you see you've already got those couple dollars earmarked for something else. I've gone from having no money in our account at the end of each week to keeping at least $500 in the account at all times using this program. But it took a couple of months to get there and a lot of consistency and discipline. You can download it free, but after 250 transactions you have to buy it. It's the best $30 I've ever spent!

I really feel for you cause I know how hard this situation is. We're better now but I fear once the IRS gets ahold of my dh for his back taxes we will be right back in the same place.

s to you...hang in there!

[hollyvangogh]

Originally Posted by DoomaYula

Every so often I make a budget, but it scares the crap out of me because there's always more bills/expenses than money.

I totally understand how this feels. Just keep doing your best. Don't give up hope. Be real, but try not to be pessimistic because that'll only make everything harder. Good luck!

[lalaland42]

If I was in this position, I would find a way to bring in extra income.

I hope you are better soon. Being sick makes this all worse I think.

[bobandjess99]

I agree with this. Once you write down your income and bills, if the bills are larger than the income, you have 2 choices.
reduce the bills
or
make more income

*if* your bills are already down as absolutely low as they go, no extras, nothing at all left you can cut out...then the only other option is more income.

now....its possible maybe you can pare down the bills more....its clear your lifestyle isnt extravagent, but is there ANYthing you can spend less on? if so, do it.
If not...you have to generate more income..this can be dh getting a second job, you getting a job, etc. Of course, there are sometimes costs associated with getting a job, so you would have to figure that in.
what dh and i do to make more money is I WOH part time, and we work opposite shifts, such that we do not need childcare. This means i actually keep the money i make. With 4? kids, you would need to do something like this as well, since childcare for 4 kids would kill any income you might make....right now we are considering adding a third job to the mix, in order to have more money.

If your normal bills are equal to your income, but its the "extra" nills, like medical bills, that are kjilling you, make the smallest arrangement you can, like $15/month, and then poay it OFF at tax return time next year.

[texaspeach]

find out where your money is going. go over your bank statement with a fine tooth comb. I went over ours and high lighted essentials in one color, extras in another, etc. I was surprised to find out where exactly our money was going. I should have done that sooner.

[nd_deadhead]

Originally Posted by bobandjess99

If your normal bills are equal to your income, but its the "extra" nills, like medical bills, that are kjilling you, make the smallest arrangement you can, like $15/month, and then poay it OFF at tax return time next year.

This brings up a good point: if you get a tax refund, change your withholding so that you get to use that money for yourself during the year, rather than give the government an interest-free loan. I try to adjust my withholding each year so I pay in a few hundred dollars - I HATE getting a tax refund!

[VisionaryMom]

It sounds like the only major bill you have is your mortgage. If you're in serious financial trouble, then you may have to look at selling the house and getting some smaller, refinancing, or taking in a roomate. Having $800 in cc debt isn't a lot, so your monthly payment on that shouldn't be much. I'd say from what you posted that either you're spending a lot in little charges or that your mortgage is more than you can afford.

How much are you paying toward medical bills each month? Can you look at getting a flexible spending account for healthcare? We put the max in ours every year, and it saves us a few hundred dollars a year. That's not going to help short-term, but it's something to consider for next year. Are you saving the receipts from doctor's visits and medications? If it's 7% or more of your income, you can deduct the expenses, which would help you when tax time rolls around.

[Sonnenwende]

You need to really look at the budget. Ignoring it because you don't like what you see will not make the problem go away. My husband and I had to do this and facing the music really straightened things out for the better for us.

We need a better picture of what your income is and what your expenses are though before we can really attempt to help. Sorry you are going though this.

[neetling]

I'm sorry E. That's why we're going home. My husband works 2 jobs and we still struggle. The pay is better back home and we're going to stay at my mom's for a while to pay off debt and try and save to buy a house.

I hope you get some relief (and feel better!) soon.