Can't dig out of hole, what do we do?

[hamchan]

Without knowing exactly where you live, the rent sounds reasonable. Rent on a two bedroom would be comparable here in Seattle.

Almost everything else you are paging is insane though. We pay $75 a month for our cell phones through Ting, and that includes plenty of data usage. We don't do anything to reduce data use except use WiFi at home.

My husband and I have 1 teenager and we are spending $450 a month on food right now, including any eating out we do. We live downtown where grocery prices are typically much higher, and we eat chicken breast and quinoa and lots of fresh produce. We definitely aren't eating Kraft dinner. We just eat beans or lentils a few times a week, and make most things from scratch. We also take a bus a couple times a month to a cheaper grocery store for certain things, and buy produce that is in season or normally inexpensive (carrots, bananas, etc.) Both of us work outside the home more than 40 hours a week, and we all eat a LOT. My husband is a heavy weight lifter and I have a very physically active job, and my DD is a teenager, so I'm sure you can imagine. I cannot even imagine what we would have to be eating to be spending 800 a month per person on groceries.

[snafu]

Adding to what's been said...you can't afford to use CCs. How much interest did you pay in 2014? You wife has a hum dinger SL @ $ 467. per month, bringing in zero income you need her onboard drastically reducing every expense. $1,272. for medical insurance... and nearly every line item so much higher than your income can support. You need to start a serious job search, you can't afford your current job.

[Green43]

OK apparently I am WAY out of touch, where do you work that you can pay $2500/mo in RENT? This is normal? That is $30k a year? I realize that the cost of living is higher in larger cities and especially Ca, but that is over 4x what I pay for a nice house and 2 acres of land and I OWN my house..JM$.02

[JoeP]

Sounds like a case where small expense increases and new expenses were simply passed along as part of life, and never challenged because you were able to make the payments.

[hamchan]

OK apparently I am WAY out of touch, where do you work that you can pay $2500/mo in RENT? This is normal? That is $30k a year? I realize that the cost of living is higher in larger cities and especially Ca, but that is over 4x what I pay for a nice house and 2 acres of land and I OWN my house..JM$.02

You'd be hard pressed to find a three bedroom townhouse in my area for less than that. We pay $1220 for a very small one bedroom, and we got a really good deal on it. A 500 sq ft one bedroom averages $1500 here.

Yes, the rent is high, but incomes are higher also.

[Green43]

You'd be hard pressed to find a three bedroom townhouse in my area for less than that. We pay $1220 for a very small one bedroom, and we got a really good deal on it. A 500 sq ft one bedroom averages $1500 here.

Yes, the rent is high, but incomes are higher also.

In either case it is clear he cannot afford to continue living at the current standard and at 3k in the red per month changes are coming one way or another.

[ANewHorizon]

Yeah um, your wife is out of touch with reality here. There is NO way that the lowest she can get is $8/person per meal. With 5 of you that is $40/meal! What are you eating, steak and asparagus with shallots every night?
You say everyone has severe allergies, are these allergies to food? Women with family allergies learn online how to prepare food safely from scratch. This way the allergies are eliminated, and there is a cost savings.
Your wife said Annies costs more..umm it still can't cost more than $2/package, and non-brand name gluten free pasta is dirt cheap.
Even IF you had to eat non-sale meat, organic fruits and veggies, and store-bought organic bread, it would be impossible to be expensive enough to hit $8/person/meal.

And Sprint is over FOUR HUNDRED DOLLARS? Easy solution: get rid of the phones. Your wife needs to realize that you guys CANNOT afford that, so it is not an option. You can get lower end smartphones on other carriers - such as page plus, net10, boost, etc - and those cost like $10-20/month per person. Those phone costs are absolutely unacceptable in your situation.

Then your internet/cable/phone is over $200/month?? Unacceptable also. You CANNOT afford it. You don't need cable, you don't need a landphone. Internet itself can't cost more than $70-90/month even in a high cost of living area. Your family will live without cable.

It seems to me that the VAST majority of your insane expenses are because of a) trying to live above what reality states and b) you both not being willing to get rid of something out of touch with reality.

If you or your wife aren't willing to make some changes, you might as well just give up now and dive headfirst into debt because you will never get ahead.

[hamchan]

In either case it is clear he cannot afford to continue living at the current standard and at 3k in the red per month changes are coming one way or another.

I agree, but the rent is about the only expense he listed that sounds reasonable given their income and location. They could probably make up for the shortfall by cutting grocery expenditures alone.

[disneysteve]

I agree, but the rent is about the only expense he listed that sounds reasonable given their income and location. They could probably make up for the shortfall by cutting grocery expenditures alone.

Absolutely. Their rent is not their problem. It's about 28% of income which is reasonable. It's the other stuff (food, maid, etc.) that is insane.