Looking for input.

[maat55]

Disclaimer: Earlier in this thread I had mentioned that Dave Ramsey leans toward not tithing while getting out of financial hardship. I do not wish to imply that he advocates this or that he personally avoided tithing during his financial hardship. He has mentioned many times that he is faithful in tithing and the the tithe is one of many acts of faith.

He has mentioned many times that tithing is not the deciding factor in your salvation or prosperity.

[scfr]

Sell the truck & keep the car. Better yet, sell both vehicles and buy a used one that's less than $5K. If neither are working, they can certainly get by with one vehicle, and if your daughter elects to stay home they can get by with only 1 indefinitely. (If she needs the car to run errands one day a week, then when her husband gets work she can drive him to & from work on one day a week.)

I don't recommend dropping the health insurance with 2 babies, unless the Indian health aid would replace what they currently have.

Would you ever consider giving one of them a job in your business?

Christmas: The babies are too young remember that they didn't get any toys or cute gifts. Make your gifts to them this year either practical ones (diapers, groceries, etc) or cash.

[cptacek]

Why can't she get a job? If her background is "better" than his in this economy, she should at least try to get a job and let him stay home with the kids. He can still look, and if he finds one better, she can quit. Not the optimal situation, but the baby is 4 months old, and she can pump if she is still breastfeeding (? don't know if she is or not).

Is the house such that they can rent a room to someone? Even if for 6 months, this could help out. I know having another person in your house when raising a family isn't the best situation, but losing the house it probably worse.

If they get rid of the cars and buy two beaters, the car insurance costs can go down.

When it snows, is he out shoveling sidewalks? Is he doing anything except playing x-box?

[maat55]

I'm not discussing their situation other than through this thread. I will not be able to answer any personal question. I do have a couple of number adjustments, income information and a possible scenario of gifted money. I do not know if he is keeping up with the thread.

The house payment is 767.00
The health ins. is 310.00

He has recently acquired a job until the first of the year working at a department store(do not know the income)

And he may be gifted anywhere from 1-3k this christmas. The question is: what do you do with say 3k extra funds for christmas and 2k funds from a return, under his current situation?

I have given him my opinion, i'm interested in yours.

[jpg7n16]

The best thing is to use it to get out of the vehicles, if he hasn't already.

Getting rid of the cars, gets rid of the loans, which gets rid of the payments, which puts less strain on his monthly cashflow - enabling him to support himself longer on a lower budget.

So if he were somehow able to do that, it'd clear up a lot for him.


Either that, or take some class(es) to get certified for something he has experience doing? This might open up more job opportunities, and raise the income. I mean the income's the main hurdle he's looking at. Though you said he was over-qualified already, so that might not even help.

The safer bet is the cars.

[maat55]

He and I had debated what to do with a 3k gift. He wants to put it towards paying down the credit card, I suggested he keep it aside to pay expenses to avoid using the credit card until he had a longterm job that covers his expenses, then I would hold out 1k and use the rest to pay down the card.

His suggestion has merit due to it lowers his interest expense of about 110.00 currently. But I disagree because it leaves him vunerable to an emergency that a credit card cannot cover, a house payment might be needed, a car payment might be needed, he may have his credit card balance dropped and it sets a bad habit of relying on credit as an emergency fund.

[ThePennyHoarder]

Maybe they could volunteer some of their time to make up for not tithing??

[maat55]

Maybe they could volunteer some of their time to make up for not tithing??

Tithing is not on the table for discussion. It is merely a legitimate element in the expenses.

[jpg7n16]

He and I had debated what to do with a 3k gift. He wants to put it towards paying down the credit card, I suggested he keep it aside to pay expenses to avoid using the credit card until he had a longterm job that covers his expenses, then I would hold out 1k and use the rest to pay down the card.

His suggestion has merit due to it lowers his interest expense of about 110.00 currently. But I disagree because it leaves him vunerable to an emergency that a credit card cannot cover, a house payment might be needed, a car payment might be needed, he may have his credit card balance dropped and it sets a bad habit of relying on credit as an emergency fund.

Half and half?

I think you can find some middle ground, like the $1k held out solution then.

Assuming the line of credit on the card is still available for him to borrow against if needed. The cash could go to the mortgage payment if needed, and food/lights/etc. could be charged to the card.