Has the Recession changed you?

[LuvOrlando]

So DH & I are budgeting out the year right now. We have some extra money coming in from different sources and are in the midst of sorting out what we're going to do, or not do, how will we save, what will we pay off, and what we will spend. So as we slide our entire life under the microscope I realize that our mindset has changed, probably irrevocably.

I was just wondering if anyone else out there is changing their behavior?

 

[ICF]

only in the sense that I'm investing more now then last year...buy low!!

 

[Colleen27]

In some ways. We're thinking more about the enjoyment we get out of our spending, and cutting out the things like fast food runs that we did out of habit/impulse but didn't enjoy. We're also stepping up our efforts to minimize out expenses as much as possible, though that for me is the silver lining of the current economic situation - in the market of even 2 or 3 years ago, we wouldn't even have thought about a larger house because it would have delayed our goals of being mortgage-less. But in this market, it actually accelerated our ability to do just that.

 

[barkley]

yup-we finaly gave up on dh finding a job in his field and with the absence of any kind of jobs in our area figured there was no better time for him to go back to college. he'd always planned on shifting directions in his field but we figured it would entail getting another degree part-time while working. with no jobs on the horizon it makes no sense to not use the time he's got on hand to go full time.

our mindset financialy changed back about 5 years ago. we experienced a personal 'recession' when i became disabled. like most families we were used to living (reasonably-not excessivly) based on both our incomes-when i became disabled it was longer than our savings held out before i was able to get my ltd pay to kick in and then my pension. from that point on we decided to budget based on one person's income-and the lower of the two cuz you never know what can happen. it was'nt easy and we ended up changing our lifestyle drasticly-sold our home (luckily before the market crashed) and managed to pay off all our debt, sock some into savings and put a substanial enough down payment on a new home (in a much lower cost of living region) that makes our monthly fixed bills reasonable (it's those pesky ones that inflation messes with like utlities/food/gasoline that drive me crazy). so i think in some respects while we are cutting back just like everyone else we know-it's not as drasticly or at least does'nt feel to us like it (as compared to others we know who are realy feeling it).

 

[aprilgail2]

Everything is about the same here- haven't changed anything other than upping the amount I put in my 457 because right now its buying low and hopefully going to go back up high. My pay increased in Jan so I just took that whole raise and am putting it into my 457 instead of in my paycheck.
We are finding hotels and travel is down in cost from last year so we may get an extra vacation week away this year-I just booked a week in myrtle beach for much less than I was thinking it would cost.

 

[DisneyBamaFan]

No - I have lived my life this way since my youth...

 

[Colleen27]

I didn't answer the poll, BTW, because none of the answers really apply. We're not spending less but we're spending differently, on things that matter more to us.

 

[Mrs.Toad]

No. We've always been big savers, pay off credit cards each month and don't waste money on frivolous things, anyway, so we're continuing to do so. We're still taking family vacations and spending normally, and will continue to do so unless and until dh loses his own job.

 

[DawnM]

We got out of debt, other than the mortgage, before the economic crisis. We have agreed NEVER to have CC or car loans again. We had a student loan too, and I can't say we will never do that for our kids in the future, but we would like not to.

We use cash for everything (or pay off CC monthly), even Disney trips. We also do very frugal Disney trips and can do a $1500 trip for a family of 5 including transportation, dog sitting, and food.

I find what I want (like a Disney trip) and it becomes a game to me as to how cheap I can do it and still enjoy it. We do Burger King on Wed. because they have .99 kids' meals. The kids don't care if I spent .99 or the regular $3.20 for their meal. I have even been known to get an additional "set" of kids' meals through the drive through and save them for another night.

Our only issue right now is that I would love to sell this house and downsize, but I am not even sure we could sell right now.

Dawn

 

[Nancy]

I didn't answer the poll either because I could fit into more than one thing.

So I am paying down debt and also spending less. Cut down on my grocery budget and no vacations planned this year, not even a long weekend.

 

[DisneyBamaFan]

...Our only issue right now is that I would love to sell this house and downsize, but I am not even sure we could sell right now.

Dawn

There are a lot of Americans thinking the same thing. I would be willing to bet that builders will have to seriously change their building strategies to meet this changing need when the economy ramps back up. The McMansion is now out of vogue...

 

[DawnM]

Well, we do not have a McMansion.....thankfully.

But this is more house than we need.

We do not live in a subdivision where all the houses look alike. We have some land and the area around us has boomed so much that they built a new school and it is the "BEST" school in the area, so this area is now considered highly desireable. I don't care about that, but it does well for our property.

I would be interested in putting the house up for sale and just seeing if there is interest at some point. We aren't in any hurry to sell, and DH's job looks pretty secure, so we are in a good place that way. I also think that if there are insentives for first time buyers and low interest rates, we may be better off.

Dawn

There are a lot of Americans thinking the same thing. I would be willing to bet that builders will have to seriously change their building strategies to meet this changing need when the economy ramps back up. The McMansion is now out of vogue...

 

[barkley]

i was talking to a friend whose a cpa and does taxes. she remarked that prior to the housing crash it seemed like every california return she did had a common thread dealing with capital gains-but now with the housing crash and the economy in general she's seeing in both her california state returns and her federal returns in general a common thread of capital losses and more unemployment income as compared to actual wage stubbs, less people with mortgage interest deductions because they've lost their homes, greatly reduced charitable contributions-and what she found very worrysome among her senior citizen clientele-greatly reduced medical costs (it's not that they are in better health it's that they can't afford to be getting the medical attention they need ).

 

[Pin Wizard]

I don't see...Yes, I am much grumpier...on the list. That would be my choice.

 

[The Mystery Machine]

Where is the "other" because there has to be an other. None of the answers apply to me either.

We are recovering from a move and have a kid going to college soon, plus paying off debt.

I guess the #1 thing that has really changed is that we are no longer charging. Believe me, it is a good thing.

 

[Bluestars]

No, it hasn't changed me. Thankfully, my husband and I have secure jobs and are in a good position financially. Some of my family members have lost their jobs though and have been hit hard.

 

[JARNJ3]

I am spending way less, and trying to pay down my credit card.

 

[wall*e2008]

I have been thru recessions before and learned from them. I am basically the same now. We have not CC debt, still contribute to our 401Ks, still save, still vacation and still believe that this too will pass.

 

[MeghansMommy]

Yes it has, though we changed our behavior when we saw signs of it last year. We have a lot of student loans and a business loan and I am doing everything I can to get it paid off as quickly as possible.

We should be doing that anyway, but this recession is a true kick in the pants to get it done more quickly.

 

[MAKmom]

It has not effected us at all. We are in the Philadelphia area.