Hemorrahaging Money

[Tymanip2]

I am a single mother of two teenage children, one in the 9th grade and one a freshman in college (thanks to a Pell Grant). I bring home about $850 (after taxes) every two weeks. My trouble started in November of last year. I found out that my ex-husband did not report all of his income on our taxes when we were married. Apparently, he totally ignored attempts to set up payment arrangements. Because I was the primary wage earner, we were advised by H&R Block to that I file head of household and claim him and our children as dependents. Because of that my wages were being garnished 15% each pay period. Things were hard but I managed to level my bills and maintain. Well in February of this year, I didn't get my federal tax refund because of this lien but I did get my state refund. Two weeks ago i got a letter from the state of North Carolina saying that they were going to garnish my wages 10% for the same reason. So, now I am losing 25% of my bring home!! In addition to my household bills, I am repaying student loans, a maxed out credit card and repaying the loan I took out against my 401K. I can't survive off of $352 every two weeks (that is what is left over after I pay my house payment of $487.50). Outside of living out of my car to eliminate ALL of my household responsibilities is there anything I can do to save myself???

I did file an Injured Spouse Claim with the IRS but I'm being told that it could take up to 6 months before a decision is made. I think I will be in the loony bin by September!

[toromos]

I'm not very knowledgeable about the legal issues, but I would see if you can get some sort of deferment for the student loan, or perhaps some reduced payment schedule. Is the loan through Sallie Mae? They've always been very accommodating with me in the past. Good luck!

[cicy33]

I noticed you said you had a minor child and what your income was but no mention if you receive child support? that would help at least with the expenses of your child. as far as the tax info I can't help you but there are ways to make a little money online that is free. I am not talking about 100's I am talking about maybe 40 a month here, 20 a month there. but that would depend on you. If you want the links email me at cicy35@yahoo.com and I will be happy to send them to you. I am not making anything off this, these are not affiliate links, just websites you can check out. (anyone else is welcome too)

[tulog]

You need to contest the garnishment. I am not sure the procedure for your state, but it would probably involve filing with the court a document stating that you need the garnished income for basic living expense, and listing your income and expenses. This should enable you to get an order from the court to prevent the garnishment at that level of money.

[FHA Loan]

I would be requesting a deferment of my student loans based on hardship. That credit card is likely going to be the killer. Consider finding a roommate... Getting a separate job. Husband should be paying child support which can be used to help pay your bills. If you have family members who are local, consider asking them for assistance or possibly moving in with them for a bit til you dig your way out of the hole you're in.

Sounds like a terrible place to be.

I wish you luck.

[maat55]

Make sure you are paying your basic living expenses first, house, utilities,cheap food. Next would be SL, if anything does not get paid it will be the credit card.

Do you have family to live with? Sell any unnecessary things, apply for deferment, Have your daughter in college be working.

[Tymanip2]

Thanks to you ALL for your suggestions/advice. Yesterday, I disputed the State Garnishment AND requested that my student loan be deferment. So we'll see how that goes...As far as child support for my 15 year old, No, my ex does not pay. I have filed, but he doesn't work, so it is piling up.

I had a long conversation with my son and told him that I needed his help. He is very willing to get a job and is looking, but I have to admit I feel so bad about that. Like most parents, I want him to focus on school not worrying about bills that aren't his. My family is about an hour away from where we live, work and go to school. I haven't asked them for help yet.

[maat55]

Thanks to you ALL for your suggestions/advice. Yesterday, I disputed the State Garnishment AND requested that my student loan be deferment. So we'll see how that goes...As far as child support for my 15 year old, No, my ex does not pay. I have filed, but he doesn't work, so it is piling up.

I had a long conversation with my son and told him that I needed his help. He is very willing to get a job and is looking, but I have to admit I feel so bad about that. Like most parents, I want him to focus on school not worrying about bills that aren't his. My family is about an hour away from where we live, work and go to school. I haven't asked them for help yet.

IMO, having your son help you will mold his character greatly.

[snshijuptr]

Your sons job will help him get a job after college. This is a positive thing for him. Plus he is an adult so paying his own way will be healthy for him as maat55 said.