How is your PERSONAL economy?

[Tree0164]

We are doing ok. I do worry about my husband's job because they have laid off a number of workers in the last couple of months. He feels that his job is safe-let's hope. I do find myself tightening up a bit because he is in sales and the commission checks have been less than last year. However our budget does reflect hills and valleys. I use the extra for sinking funds such as paying our water bill, insurance, etc.

I know this past holiday weekend we stayed close to home-rather. We did some nice meals at home and invited friends over for margaritas and chips rather than going out to eat.

[StressLess]

It's very weird, in a good way. I keep "waiting for other the shoe to drop." We've been a one-income household for eight months now. We're paying our own health insurance, we're paying a little [Edit: extra] against principal on our mortgage each month, we take money out of savings for emergencies and then go back to building it up again. I've bought a new computer and upgraded to DSL from dial-up. Our only debt right now is the mortgage and about $28 on the credit card, for slacks I'm not sure I'll keep.

OTOH, I'm getting more careful about how I drive, and trying to waste less food. (It's hard to use up fresh things in a two-person household, before they go bad.) I've started keeping track of food and gasoline expenses in Quicken again, and so far it looks like we aren't spending any more than we were two years ago. We've just downgraded some of our purchases to make up for higher prices. For example, frozen juice instead of cartons, Aldi saltines instead of Toasteds, and so forth. I do still try to buy low-fat dairy products and whole-grain things whenever I can.

Also, I'm waiting for a veterinary and a medical thing until I know we have the cash on hand. Surgery to remove a bothersome lipoma on our dog's leg, and a colonoscopy for me.

Being we have the high deductible insurance, I'll have to spring for most if not all of the colonoscopy bill. I remember seeing old movies when I was a kid, where they talked about saving up for operations. It sounded so old-fashioned and backward to me, that someone would live with a medical problem for months or years while saving up for specialists, tests or treatments. And now I'm doing it!

Something weird IS going on in the economy, and we've definitely been affected, but so far we've been able to adjust enough to handle it.

[savingmama]

These are the effects I think the economy have had on our family personally:

Positive effects:
-One of the benefits of the economy is that our mortgage lender offered us a refinance with no closing costs. We were able to save 1.125% a year on our mortgage rate.
-With the stock market going down, I see that as a benefit for us. Since we have just started building our retirement plan a few years ago and have no plans for retirement for 35+ years, stocks being down right now means we are buying stocks "on sale". And even with the economy the way it is, it has not made a difference to amount we put toward retirement. My husband's work automatically deducts 10% for retirement and then matches about 13.5%.

Negative effects:
-Increase in gas prices has caused me to try to limit my driving so I stay on budget. Also with extra income I make a percentage now go to adding to my gasoline fund.
-Increase in cost of groceries. I have added a little to this fund. I just continue to shop the way I did before. Look out for bargains and stock up!
-Savings rates have gone down so I don't get as much interest every month
-In the area around us there has been a lot of layoffs, so the housing market has taken a hit. Currently we are planning on being in our home three more years, so we will see how the economy is in a few years when we have to sell. Fortunately we didn't buy 0 down on our home, so we have equity to lose when we sell, verses having to cough up the money out of pocket.

No effect:
-Even though the economy job market right now is shaky, especially the area I am in, we don't have to worry about my husband losing his job. He is in a surgical residency and unless he does something illegal and lost his license to practice, we are good.

[gamecock43]

I'm hanging in there. There are alot of large life changes taking place in the next year (wedding, maybe,hopefully buying a house..we will see) and our normal lifestyle is very turbulent (FDH plays independant baseball and so job security is low, paychecks are very minimal). Sadly, it seems that the costs that are associated with this lifestyle are rising. We move (change states move) at least twice a year (3x this year and its only June) and it seems that rent is going up, and gas is really hurting us. I am moving from FL to MN next week and just get overwhelmed picturing the amount of gas that will be. So historically we have always lived within our means, and we will continue to do so...but this year might be the first year that we dont break even on the year. Costs associated with this lifestyle might outweight the paychecks.
To top it off baseball season is reaching the halfway point and once sept comes FDH will once again try to line up 'off season' work, odd jobs to get by until the season starts again. That pay very unpredictable and hard to count on. I like having a small cushion to get us through the off seasons, but so far for the season we are in debt on the credit cards to pay for moves, gas ect and though I am expecting to have them paid off in 2 paychecks...we are just behind. (compared to where we normally are at this point of the year) This season money-wise has been much tougher than past years.
For the 1st time in many years I am feeling a strong need to get a job- but that means staying behind in our home base state for the season and not seeing DFH for months at a time. The cost of airfare to visit, getting a proffessional wardrobe (you mean jeans and tanks are unacceptable, I've been wearing them everyday for years) and paying rent on 2 locations might not make that a viable option either. I have been delaying doing the numbers. I keep telling myself that we will catch up someday.
To add insult to injury- I normally feel secure about the long term future by $$ we dont touch invested in the stock market- its been in a nosedive. And the money we saved for a downpayment has been in a money market for the past few years and the monthly interest payment has dropped from nearly $200 down to about $40.
So on all levels, Im worried. Long term retirement stocks are doing poorly. Shorter term savings are not earning much interest, and immediate paychecks are not getting us by anymore.
Sorry so long, I guess Im more worried than I realized. now I'im bumming.

[zooracer]

hmmm,
seems like pretty much everyone is doing just fine, thank you very much.

As usual, the media is very effective at pushing those trigger emotions...the most sensitive of which is, fear.

But, reality is often nowhere to be found in or around the news studios

We are also fine. We ARE in the process of downsizing vehicles...paying much more attention to mpg.
Bicycles are impossible where we live.

Life goes on and this country WILL recover.

I will take this opportunity to encourage everyone to BUY AMERICAN

[MonkeyMama]

Well, I have to add the economy has been hit hard here. The layoffs are hitting massively here. I personally feel extremely odd woman out when talking to my friends in their 20-40s. Most of them have been living paycheck to paycheck for years, and are being laid off. Throw in losing their homes to foreclosure too...

A lot of businesses closing down in our neighborhood as well. Though we certainly live in the thick of the housing bubble. (I can't help but wonder if a lot of these businesses were financed with home equity - probably so).

I do admit I am rather suprised at the optimism on this thread. (Or maybe not. Preparedness means less to be afraid of).

[disneysteve]

Originally Posted by zooracer

hmmm,
seems like pretty much everyone is doing just fine, thank you very much.

As usual, the media is very effective at pushing those trigger emotions...the most sensitive of which is, fear.

But, reality is often nowhere to be found in or around the news studios

Originally Posted by MonkeyMama

I do admit I am rather suprised at the optimism on this thread. (Or maybe not. Preparedness means less to be afraid of).

MonkeyMama - I think it is a couple of things. I think zooracer is right and the situation really isn't as bad as the media is making it out to be (what else is new). As for the optimism on this thread, you are looking at a select group of people who choose to be responsible with their money and live below their means. In that situation, economic forces simply don't impact us that much. We just ride the tide and know that we'll benefit from the eventual recovery.

[LuxLiving]

I agree, disneysteve, that because we as a group try to live below our means that gives us an edge.

With the push of a couple of keystrokes we could pay off our house out of our MM fund and w/our current level of expenditures be able to live on under $10,000.00 a year, which our retirement money could provide for a goodly number of years (not adjusted for inflation purposes). And that's for four adult people living in a nice, heat/cooled home. Would it be easy or living 'well'? Doubtful. Hubster would have to quit work as we couldn't afford a lot of gas, or car insurance, but he's close to retirement anyway.

Yearly
3720.00 utilities including cable tv & internet & landline
660.00 house taxes
1000.00 house insurance
3600.00 food which is an increase over what I spend now!
_______
$8980.00 which would leave 1,020.00 for clothes, gifts, & any taxi rides, plus medical & dental expenses. Not ideal, but in my mind it helps me as a woman who hasn't worked outside the home in a good number of years a bit of comfort level thinking that I could possibly get a job to keep a roof over our heads & the wolf of hunger from our bellies if push came to shove.

Shanks mare would have to be put to footing it though!

That he keeps working helps us pay for life insurance on him, health insurance for the two of us (the boys pay their own), and we get to travel some and have money for some of the niceties that life has to offer. Two nice paid for recent vehicles currently sit outside, with money put back to replace them. I'm feeling okay. Not elated, but Hubster did just recently get a raise. Maybe a bit 'antsy' but that's thinking the entire U.S. economy is a house of cards that could implode upon itself and take everyone down with it. Thanks alot you fear mongering media types!!

Oh yeah, my 2 1/2 acres would have to go back to a jungle motif as I couldn't afford to keep it mowed, but yeah, in a crash situation, we'd be okay.

For now, I'm like many of the rest of you here. I try to keep mindful of our spending habits and cut the corners where I can. Gas has been a pain in the bohunkis this month though. However today I see that gas in our neighborhood has dropped by 2 cents a gallon! Ehh, for this, I should be thrilled??? Not!

**The reason our taxes and house insurance are so low is that buying less house than the realtors say you can afford thing!

[cicy33]

I think also the reason why we are seeing that so many of us are okay is because we are on a saving money place. Lots of people are not looking at it the way we do or being careful the way we all are. So there are lots of people that are hurting very badly and the media is not totally wrong. We are the ones that are going to be okay when gas does hit $5 and $6 per gallon cuz we are learning how to cut other areas, whereas these other people will just whine and not know what to do.

[LivingAlmostLarge]

Cicy33, you hit it on the head. It doesn't hurt as much when you are used to living lean. When you are used to nicer stuff it sure does hurt.

[Daylily]

I'm feeling the crunch but it is self-imposed since I am aiming for the max 401(k) contribution of $15,500 this year.

The gas and food bills hurt, but we're okay since we live below our means. It doesn't help though that DH is self-employed and drives 40,000 miles a year! Really high gas outlays here.

[zooracer]

gas may get cheaper here soon.
barrel of oil costs are possibly going to be heading downward over the next couple or several months.

[cptacek]

The gas prices are hurting us. I am spending ~ $500 a month in gas to commute and my DH will be spending ~ $2000 in diesel for the farm every month in June - September/October, depending on the weather.

I am also trying to sell my house and I haven't had much interest in it, so that is hurting us as well. If I can sell it, it would save us $1000 a month (I can rent a room for $100 from a co-worker for the three nights/four days I am at my job).

[Pitman]

Adjustment is the proper word for what most members have done with slump in the economy. Most members on this site, pay alot of attention to thier finances, so when the word recession or god forbid depression pops up in the media every five seconds, members know now is the time to tighten the belt.

Personally, my economy is pretty stable, with gas prices well into $4 mark, I'm really not driving often as much as before besides going to work, and the bank. I'm still saving for college tuition coming up, even though I borrowed $400 from myself to go to Miami this past weekend, which was well worth it. The only real hit is the grocery shopping, no matter how much coupons we cut, I'm still paying 10% more on food, that in the previous months.

[aida2003]

Originally Posted by cptacek

I am also trying to sell my house and I haven't had much interest in it, so that is hurting us as well. If I can sell it, it would save us $1000 a month (I can rent a room for $100 from a co-worker for the three nights/four days I am at my job).

Where will you live the other 4 nights? I am guessing you've got a primary residence and you try to get rid of the 2nd house, right?

[cptacek]

Originally Posted by aida2003

Where will you live the other 4 nights? I am guessing you've got a primary residence and you try to get rid of the 2nd house, right?

Correct. I actually get to live with my husband those 4 nights!

[Secret Stash]

My own personal finances are in shambles. I switched from a full time position to a part time position while I finish up nursing school (finish aug 08) so just continuing to manage everything is getting difficult.

[aukxsona]

How are we?

Better than I expected. We have 350 saved in the emergency fund. One of my jobs just gave an ultimatum, full time or quit. It happens to be the best paying one. I am in the process of making the switch. My husband's job however, is laying off. He is one of the lowest on the totem, so we are waiting.

Our car still does not run, so for now it's car pool fees mostly. Groceries are too expensive. I still have to watch like a hawk. I am planning a huge garden and have some of it finished. The housing issue doesn't affect us because our home was paid for in cash, because I knew my income is variable. I owe too much in student loans, but have been working on that.

I think we will be okay. Our neighbours are all on disability or retired. The ones that aren't live in trailers and usually only rent. We are the odd ones in our community. As such, since they have less commitments and a more stable income, they complain about the yard etc.... I don't think my yard is a priority, but I guess housing prices are a concern to them.

We have quite a few avenues to keep a pay check coming, and enough for a weeks transition time. The more I save, the longer that transition time will be.

[cantretire]

Originally Posted by cicy33

I think also the reason why we are seeing that so many of us are okay is because we are on a saving money place. Lots of people are not looking at it the way we do or being careful the way we all are. So there are lots of people that are hurting very badly and the media is not totally wrong. We are the ones that are going to be okay when gas does hit $5 and $6 per gallon cuz we are learning how to cut other areas, whereas these other people will just whine and not know what to do.

I think you have a point here. This is a site where people have or are coming to grips with financial reality. Most of us here are doing OK or are getting there.

I'm not doing too badly, but I'm nervous all the time. I hear about layoffs in my industry all the time. I heavily overworked and want to find a new job, but there aren't any. Many people have been out of work for a long time and have to settle for low paying survival jobs. Gas, food and heating prices are killing my elderly parents so I'm trying to help them, sometimes without them knowing it. Rents are high so I hope my elderly, ill, landlady can hang on for a while.

I have a pretty good EF now, so I've relaxed somewhat, but I'm very worried about what I see around me. Disaster can strike and hurt even if you're prepared. It's getting harder for me to pay my debts and still save.

[Fizgig]

I'm feeling pretty good. Yes, rising food and gas prices have added another $50-75/mo to my expenses, but I was living way below my means anyway, so it's in the noise and doesn't affect me much. I can see how someone paycheck to paycheck or with a long commute could feel the pinch.

I work on a government contract that's in place until the end of 2010, so for now my job is secure. I do wonder what will come after that, but more from concern about personal career satisfaction than about money. I love my job and hope the next one will be as gratifying. I'm educated with a strong career track record, so staying employed shouldn't be too hard.

The EF is in place, my expenses are only 2/3 of my (take home) income, and my job is secure. So, yeah, my personal economy is doing fine.