Anyone Else Feeling The Wrath Of The Economy???

[ceceevie6]

My DH worked at a furniture store as a Sales Manager. He was on salary. This February, they told him that due to the economy problems, they needed him to go back to just being a salesperson at another store. This meant that he would be on straight commission. No salary whatsoever. You know where this is going...everyone is holding on to whatever $ they have, so not alot of people are buying furniture.

The only silver-lining on this story is that they felt so guilty about demoting him, they offered to pay for his medical & dental benefits. That saves us $1300/month! It's a good thing because we wouldn't be able to afford it otherwise. I am praying that things don't get so bad that they have to stop his benefits.

I work at a wonderful company part time(approx. 22 hrs). I wish I could go full time, but daycare for 2 around here is ridiculous. It almost wouldn't be worth it. So I just work as many hours as possible, thank goodness my job is so flexible.

To add to my sob story, we have an interest only mortgage for the next 4 1/2 years. We aren't able to afford to pay anything towards our principle. And we have NO equity in our house because we bought a the highest time, and already have a home equity loan. I am trapped in my house. If I had any equity, I would sell and move the fam in with my parents to save money. But we can't.
For everyone who is having a difficult time.

 

[Magic Mom]

And we have NO equity in our house because we bought a the highest time, and already have a home equity loan. I am trapped in my house. If I had any equity, I would sell and move the fam in with my parents to save money. But we can't.

Could you rent it out and move in with your parents?

 

[DawnM]

No cutbacks or layoffs for us yet. We don't count on DH's bonus though and it is found money as far as we are concerned, so if they cut it out it won't hurt us too badly.

I am not working but could go back to work if we need it. I am credentialled as a teacher and a guidance counselor and could find work in one of those around here.

DH is a tax accountant and his job is actually looking for 2 more people in his office so I am hoping that this trend will continue.

Dawn

 

[Belle1962]

Dh is getting out of the Army in 4 months and since he's been deployed overseas he hasn't been able to job hunt at all yet, but he will be starting next month. He has some pretty marketable experience, but we have 5 kids and I am really scared that he won't find a job.

Is your DH looking at federal jobs, not just private sector? He should have veteran's preference when it comes to hiring which may give him that extra "nudge" over other candidates. Not all Agencies are as veteran friendly hiring (and some go out of their way to circumvent the veteran's preference rules) but it's a thought. Also--depsite any rumours you may hear --he will NOT get rich working for the govt but will have some pretty good benefits.

Check out http://jobsearch.usajobs.gov/veteranscenter/ and www.usjobs.opm.gov

 

[eatatmidnight]

We started feeling it last year. Our income was 18 percent less than 2006.. We still have what we need though.

 

[ceceevie6]

Could you rent it out and move in with your parents?

Thanks for the idea, but unfortunately we couldn't do that. We would need to charge a lot for the rent, and we couldn't get it in this area. I would need like $2600/month to break almost even!

 

[momof3littlelilos]

Yep. We're feeling it, too. My dh used to get a company car as a benefit and that was taken away at the end of last year whent he company was bought out. New employer gave a less than ample pay raise instead of the car. Having to get a new car for dh put a strain on our finances. My hours are less and less these days as well. I make decent money....as long as I'm at work. I'm a dental hygienist and we're feeling the pain at the office with so many people not having insurance any longer or not being able to pay their copays. No patients = no pay for me. So, another pay cut there. And, of course, the rising cost of anything and everything.......

That's one of our fears and it might sink us if it were to happen. DH is a cable guy, and if they take away the "take home" of company vehicles I don't know if we could afford our current budget plus getting him to and from work.
As it is we hardly go anywhere in our mini-van because of the increases in gas prices. I wish we had a Zipcar closer to our home. I'd give up the min-van, the payments, and the insurance in a hot minute

 

[pandora174]

My DH is a mail carrier...no more OT for him either! He used to get about an hour a day...really adds up!!

My BIL & SIL are both mail carriers for over 20 years & there is absolutely no OT & they used to count on that so they are hurting. My DH 2 best friends, one was layed off & can't find a job (he repairs printers) & his house is in pre-foreclosure & his other friend who was a realtor just lost his house in foreclosure. While I am in Insurance and ok so far my DH who is self employed (handy man stuff) & he has lost about 80 % of his work so basically he is a self proclaimed stay at home dad now . Luckily my salary has gone up but we have cancelled our vacation last year when usually we have 2 a year. MAYBE we'll do something this summer but Disney is priced out for us now until things pick up. I have cut out eating out & going to the movies. We eat in or barbecue & rent a video. Lots of palying at the park or the backyard. & I consider myself extremely lucky compared to alot of our friends, family & neighbors who are really hurting.

 

[dvcgirl]

My DH worked at a furniture store as a Sales Manager. He was on salary. This February, they told him that due to the economy problems, they needed him to go back to just being a salesperson at another store. This meant that he would be on straight commission. No salary whatsoever. You know where this is going...everyone is holding on to whatever $ they have, so not alot of people are buying furniture.

The only silver-lining on this story is that they felt so guilty about demoting him, they offered to pay for his medical & dental benefits. That saves us $1300/month! It's a good thing because we wouldn't be able to afford it otherwise. I am praying that things don't get so bad that they have to stop his benefits.

I work at a wonderful company part time(approx. 22 hrs). I wish I could go full time, but daycare for 2 around here is ridiculous. It almost wouldn't be worth it. So I just work as many hours as possible, thank goodness my job is so flexible.

To add to my sob story, we have an interest only mortgage for the next 4 1/2 years. We aren't able to afford to pay anything towards our principle. And we have NO equity in our house because we bought a the highest time, and already have a home equity loan. I am trapped in my house. If I had any equity, I would sell and move the fam in with my parents to save money. But we can't.
For everyone who is having a difficult time.

Ouch....this is a rough one. Are you underwater with your mortgage? If so, how much? I'd be looking to refinance that mortgage.....yesterday. If you can't do that or afford a fixed mortgage I'd sell it.

With property values likely to drift down a bit more and then staying flat....with that interest only loan, the amount you owe will go *up* during those 4.5 years. And with a DH on commission only....in furniture sales....which are likely to tank even further as this recession deepens....well, I'd honestly be acting like my house was on fire.

I would not sit there and lose equity for the next 4.5 years.

 

[Mel6197]

We cancled our summer trip, Im working a job, DH is working 2 jobs, Granny is babysitting to help us out.

And tonight DH goes to Who Wants to be A Millionaire to Test to see if he can get on a game show...

Told him to mention that we love disney since they are the parent company..



Cross your fingers! Id love it he actually got to be on the show...

 

[LadyTrampScamp&Angel]

I'm so sorry guys, hopefully this will pass sooner rather than later.

We have been very fortunate as far as work concerns, keeping my fingers crossed, but so far so good.

High gas prices has had an effect on my discretionary driving and I've started driving a car that gets about 30 mpg when I can. I have an 18 year old Miata, since I have two kids to ferry around I can't always use it, but I now drive it more when I'm alone.

I see the effect on our 401k but that's a long term investment so I don't plan to sweat that a lot - yet.

Just last night I was telling DH that there seems to be a lot more crime being reported in our area, buglaries especially. I think there's a correlation between tough times and crime also.

 

[grlpwrd]

Well, let me preface everyone and say that my husband is a design engineer who works by contract (versus salary). He gets paid plus a per diem to cover living expenses. Even if he signed a contract with the company, he has been laid off in the past many times so there has never been any stability in his line of work. I really am used to "low times" and we've survived numerous layoffs. This has been a way of life for me since 1998 which is when he decided to go "contract." I also grew up financially poor so I am used to it anyway.

Good times, bad times - makes no difference to me lol - we always try to live below our means. Yet it is different now when sometimes price dictates whether we spend or not. I worry, you know?

His job is stable now, fortunately. He's been working in Baltimore for 2 years and has overtime. For the past 5 years he has worked for companies with government contracts. I think this has been a big part of his job stability.

I have been a WAHM for a while because of my husband's job (I am never overconfident that he won't be laid off again) and because we have expenses (ie braces, college expenses for me and my kids, retirement, etc.). I have been selling on ebay for 10 years, Craigslist, and sometimes etsy. I have also rejuvenated my other business ventures and I also have trademarked one of them. I am just trying to amp it up a bit because it's rough now.

I'm so sorry guys, hopefully this will pass sooner rather than later.

MTE. I am a finance major and historical data shows that we are just going to have to ride this wave out. Good luck to all!

 

[momto2girls]

No, we are very fortunate in that our income will go up this year. DH works in a very recession-proof industry and he has no chance of being fired.

I recognize how blessed we are and I hope that the economy turns around so that everyone's situation improves.

 

[eliza61]

We're pretty fortunate that Dh's industry is about the only one making a profit nowadays (he works for a major oil company) so he's still getting decent raises and bonuses. We use to get a big break on gas but they did away with that perk and I work 42 miles away from home so gas prices have really hurt.
The problem is like every where else the cost of living has gone up a heck of a lot more than his raises. So it's taking any extra to just break even. Weekly food bill to feed two teenage boys is probably the same as the gross spending of a small country.

 

[kwnancy]

MY DH is in his final year of nursing school -- so we have to 'hang tight' for another year.

Our medical insurance, thru my employer has gone from $500 per month for DH and DD, (mine is covered) to $1156 per month for DH and DD. Thank god is only for a year. After the year, DH will be employed as a nurse and DD will graduate college, and also be employed as a nurse.

So, if we can survive this next year we should be in pretty good shape.

 

[disney's daughter]

I think some people don't realize how valuable health insurance is. Even though we are a small business, up until five years ago, we paid 100% of Blue Cross (which includes prescriptions, eye, and dental) for our employees...including their wife and kids...We pay for 75% of it now. Our insurance rep keeps telling us the other businesses aren't paying that much, but, some of our employees have been with us for 30 years...some 15..and some 10....and they are just used to it....and expect it.

 

[extremesoccermom]

One person in our office was laid off. She was low man on the totem pole and had only been here 5 years.
DH is a mechanic and it has been real hit and miss. Most people are not wanting to put a lot of money into repairs. He has not gotten a full paycheck in 3 weeks.

 

[madge]

I balanced the checkbook last night ... and for the first time, I really felt like the cost of gas is making a difference in our spending. Until March, DH had been driving 100 miles/day (round trip) to work. He now drives approx. 40 miles/day. He's gone from getting gas 3 times a week to 3 times every two weeks. With the cost of gas what it is, the savings isn't as significant as we would like it to be. I have many more entries in the checkbook for Superamerica (my generic entry for gas spending, LOL) and a lot fewer for Target. Most of our spending has been gas & food. I'm a careful shopper, so my food shopping habits haven't changed too drastically. We've had a lot of school-related expenses this month.... field trips, my oldest son's cap & gown, announcements, etc. They weren't unexpected expenses, it's just another thing. LOL.

I'm hoping to see our bottom line improve through the summer months. When school is out, I'll be driving significantly less. We;ll be swimming, hanging out closer to home. We won't have the costs associated with school, extra curricular activites, etc. The trade off there is higher grocery bills and having the supplies on hand to keep the pool clean.

We've joined Costco, so I need to figure out the best way to maximze that membership (it's about an hour away, so I won't be making a weekly trip) combined with coupon shopping at the local grocery.

We know we're lucky, DH has job security. We just keep doing the best we can, make cuts where we need to, and try to maintain some sort of balance in our day to day life.

 

[momof3littlelilos]

MY DH is in his final year of nursing school -- so we have to 'hang tight' for another year.

Our medical insurance, thru my employer has gone from $500 per month for DH and DD, (mine is covered) to $1156 per month for DH and DD. Thank god is only for a year. After the year, DH will be employed as a nurse and DD will graduate college, and also be employed as a nurse.

So, if we can survive this next year we should be in pretty good shape.

That's crazy! If we paid that much for premiums I don't think we could afford the co-pay to see the Doc!

 

[crisi]

We just "sold" our small business because we were losing money on it every month because expenses just kept skyrocketing and we literally couldn't afford to keep it going. I say "sold" because the people coming into it paid pennies on the dollar. It is usually the 2nd and 3rd owners of small businesses that do well with it.

My neighbor does that for a living - he is the second owner. He buys a small family business that is losing money for pennies on the dollar. Now because he got a bargain on it, its profitable. He then uses years of experience to make the company into a nice little business (which includes laying off people the original owners felt responsible for in some cases, but also includes more marketing saavy, putting in technology he has put in before). In two or three years, he sells the business with a mid six figure profit - often to a much larger company.