Is it getting harder financially or is it just me?

[North County Jim]

Since you identify yourself as a young parent and tithe 10% of your income, I’ll go out on a limb and say you’re LDS. It’s not uncommon for young LDS families to struggle financially. I would say that’s true for most twenty-something families with children and one income.

If you are set on one income and remaining in San Diego, I would recommend ratcheting down the budget even further to increase your savings and future homebuying power.

Otherwise, if you are LDS, I would relocate to Utah.

I’d also pay for my own internet!

[North County Jim]

Since you identify yourself as a young parent and tithe 10% of your income, I’ll go out on a limb and say you’re LDS. It’s not uncommon for young LDS families to struggle financially. I would say that’s true for most twenty-something families with children and one income.

If you are set on one income and remaining in San Diego, I would recommend ratcheting down the budget even further to increase your savings and future homebuying power.

Otherwise, if you are LDS, I would relocate to Utah.

I’d also pay for my own internet!

[blue_sky]

May I ask how you arrived at these numbers?

Here’s my take, having a family of 3 as well (note only 1 car, and it’s used and it’s 10 years old. I also deliberately choose to live close to work because I think commuting is a waste of my life)

1. You pay too much rent (We pay 1,400)
2. You pay too much for gas (We pay less than 100 / mo)
3. You pay too much for car insurance (We pay less than 100 / mo)
4. You pay too much for groceries (We pay about 500 / mo and buy almost exclusively organic.)
4. You’re paying your loan down very quickly.
5. You tithe. Please note that while it sounds very nice to give 10% of your income to your church it’s much more realistic for _you_ to phrase it as giving 100% of your savings to your church.

When I was at your salary level I was saving more than 3000 / mo, my rent was less than 800 / mo then. I’m _not_ normal I know 🙂

[blue_sky]

May I ask how you arrived at these numbers?

Here’s my take, having a family of 3 as well (note only 1 car, and it’s used and it’s 10 years old. I also deliberately choose to live close to work because I think commuting is a waste of my life)

1. You pay too much rent (We pay 1,400)
2. You pay too much for gas (We pay less than 100 / mo)
3. You pay too much for car insurance (We pay less than 100 / mo)
4. You pay too much for groceries (We pay about 500 / mo and buy almost exclusively organic.)
4. You’re paying your loan down very quickly.
5. You tithe. Please note that while it sounds very nice to give 10% of your income to your church it’s much more realistic for _you_ to phrase it as giving 100% of your savings to your church.

When I was at your salary level I was saving more than 3000 / mo, my rent was less than 800 / mo then. I’m _not_ normal I know 🙂

[AK]

Folks, $250/mo for car insurance comes out to $3000/yr which isn’t that unusual for a younger couple with two kids. Especially if one’s business involves a lot of driving.

I’d say that car insurance is way up there with housing costs as the #1 reason things seem to be harder on the current crop of 20-somethings. Car insurance wasn’t exactly cheap 25 years ago, but the cost wasn’t crippling the way it is today.

I do agree that you’re paying a few hundred bucks too much in rent. Ditto for groceries. And you need to earmark a few hundred bucks a month for a replacement car fund, to account for the wear and tear on your vehicles. They may be paid for, but they won’t last forever.

If that 10% tithe is truly voluntary, is within your means, and is being put to good use, I think it’s laudable in an age of selfishness and entitlement. If not … you may feel more ethically justified in cutting back once you have made some sacrifices in your own life.

I realize there are churches that criticize individual savings as a sign of “pride” and ask members to rely on the church in times of hardship. Funny how they end up borrowing money from nonbelievers like me when the church doesn’t come through. I also realize there are churches that require a 10% tithe as a contractual obligation of membership. I’m not sure what to think about that.

[AK]

Folks, $250/mo for car insurance comes out to $3000/yr which isn’t that unusual for a younger couple with two kids. Especially if one’s business involves a lot of driving.

I’d say that car insurance is way up there with housing costs as the #1 reason things seem to be harder on the current crop of 20-somethings. Car insurance wasn’t exactly cheap 25 years ago, but the cost wasn’t crippling the way it is today.

I do agree that you’re paying a few hundred bucks too much in rent. Ditto for groceries. And you need to earmark a few hundred bucks a month for a replacement car fund, to account for the wear and tear on your vehicles. They may be paid for, but they won’t last forever.

If that 10% tithe is truly voluntary, is within your means, and is being put to good use, I think it’s laudable in an age of selfishness and entitlement. If not … you may feel more ethically justified in cutting back once you have made some sacrifices in your own life.

I realize there are churches that criticize individual savings as a sign of “pride” and ask members to rely on the church in times of hardship. Funny how they end up borrowing money from nonbelievers like me when the church doesn’t come through. I also realize there are churches that require a 10% tithe as a contractual obligation of membership. I’m not sure what to think about that.

[Anonymous]

A tithe is a base of giving for those under Grace and not the law, it is an act of faith, you can always give more, and no Church except, Mormons and JW’s require giving.

I stayed home with my three kids and we tithe. We just had to live frugally. We have done that well and not so well sometimes. Your budget looks very typical for someone with your income and in your circumstances. We have a very devalued dollar thanks to easy credit, and if we don’t quit approving every spending program for the Federal and state government we will continue to have the super high taxes we do. That is what is really eating you and others who make over 60K alive.

Tightwads that tell others not to give, although are well meaning, are so selfish and cheap it is hysterical. You always manage to live in the better neighborhood and drive the better car, while you supposedly can’t afford to give to charity. Your checkbook reveals where your faith is. Keep your cheapness to yourself.

If someone making 90k with one child cannot give 10% to charity, our country is in trouble.

[Anonymous]

A tithe is a base of giving for those under Grace and not the law, it is an act of faith, you can always give more, and no Church except, Mormons and JW’s require giving.

I stayed home with my three kids and we tithe. We just had to live frugally. We have done that well and not so well sometimes. Your budget looks very typical for someone with your income and in your circumstances. We have a very devalued dollar thanks to easy credit, and if we don’t quit approving every spending program for the Federal and state government we will continue to have the super high taxes we do. That is what is really eating you and others who make over 60K alive.

Tightwads that tell others not to give, although are well meaning, are so selfish and cheap it is hysterical. You always manage to live in the better neighborhood and drive the better car, while you supposedly can’t afford to give to charity. Your checkbook reveals where your faith is. Keep your cheapness to yourself.

If someone making 90k with one child cannot give 10% to charity, our country is in trouble.

[blue_sky]

“You always manage to live in the better neighborhood and drive the better car”

Um, what? I said I drive one 10 year old car, I live in an apartment WAY below my means. Why? Because I have people to take care of, not just my immediate family.

Furthermore, there are a lot of ways to give. I give blood, and I give away almost all of my material possessions to good will. Why do I not give money? Ironically enough, because I once worked for a fundraiser company for a charity and saw first hand how much of what people were giving us was wasted. So I don’t do that anymore.

[blue_sky]

“You always manage to live in the better neighborhood and drive the better car”

Um, what? I said I drive one 10 year old car, I live in an apartment WAY below my means. Why? Because I have people to take care of, not just my immediate family.

Furthermore, there are a lot of ways to give. I give blood, and I give away almost all of my material possessions to good will. Why do I not give money? Ironically enough, because I once worked for a fundraiser company for a charity and saw first hand how much of what people were giving us was wasted. So I don’t do that anymore.

[contraman]

RealEstateFan,

Do you have any scriptural basis for the statement that the tithe was meant to be a means of giving for those under grace? Just wondering? Also, if you could show me a place anywhere in the bible where money was given as a tithe I would like to see that scripture also…thanks…

In short, just because someone doesn’t tithe to a corporate church setup doesn’t mean they are not givers…..

Sincerely, Contraman

[contraman]

RealEstateFan,

Do you have any scriptural basis for the statement that the tithe was meant to be a means of giving for those under grace? Just wondering? Also, if you could show me a place anywhere in the bible where money was given as a tithe I would like to see that scripture also…thanks…

In short, just because someone doesn’t tithe to a corporate church setup doesn’t mean they are not givers…..

Sincerely, Contraman

[Anonymous]

I’m sorry to hear that. I have been dis-illusioned by crooks before too.

I guess my point is this

For MFJ – over 60K the tax rate is 25 %, CA tax is probably around 7% at 60k, then Fica and Medicare about 8%. That alone is 40% % not including other taxes out there. It is easily about a 50% tax burden for middle income earners.

Taxes are the problem of making ends meet, not giving.

The only loophole for Joe average that the Feds and Banks have come up with is Interest on Home Mortgages. Gosh, who benefits there. They also tax interest and dividends to savers. Surprise, there is a negative savings rate and most “common homeowners” don’t really own their homes, but have a great big loan on a property they live in.

[Anonymous]

I’m sorry to hear that. I have been dis-illusioned by crooks before too.

I guess my point is this

For MFJ – over 60K the tax rate is 25 %, CA tax is probably around 7% at 60k, then Fica and Medicare about 8%. That alone is 40% % not including other taxes out there. It is easily about a 50% tax burden for middle income earners.

Taxes are the problem of making ends meet, not giving.

The only loophole for Joe average that the Feds and Banks have come up with is Interest on Home Mortgages. Gosh, who benefits there. They also tax interest and dividends to savers. Surprise, there is a negative savings rate and most “common homeowners” don’t really own their homes, but have a great big loan on a property they live in.

[Anonymous]

SDHH,

I hear your pain man. I also make 90K a year am married and we have one child. 12 years ago I thought that working hard in school and having a good work ethic will make me prosperous- now after working for 9 years in industry I realize that hard work will only get you by- but that’s OK. We are also trying to save for a house etc. So for what it’s worth hear are a few words of encouragement/advice:

1. You got to get sacrificial with the savings. We cut back on everything. We make it a point to just eat out once a week at a modest restaurant. And go to the movies maybe 3 times a year. I bring lunch to work 90% of the time.

2. Try to learn to do things yourself that costs a lot of money. for instance I just changed my own brake pads on my corolla this weekend. Costs me 50$ (premium pads) and 1 hr. Would’ve have costs $180 at the shop.

3. We also tithe, and believe it is a real priviledge rather than a sacrifice. God wants us to be wise in our giving. We always check out ECFA.org ( Evangelical Council for Financial Accountability) They have break downs of what each Christian charity or Large churches spend on actual ministry so you know it isn’t a front for ripping us off.

4. We are also saving for a house. 3 years ago I was making 50K year and my wife 40K. We barely could save anything. Plus my aging parents needed my help financially. We were just breaking even though we were still able to max out the IRA. We have been blessed with better jobs now with me making 90K and her 50K. We realize that by having her work for now we could save about 45K per year towards a down payment. Hopefully in the next 4-5 years we will save up to 200K for down payment then she can quit and stay home with the kids full time- our ultimate goal. I know this may not be possible or best for everyone. But dual incomes is the only way some off us can save for any downpayment.

5. The GREAT NEWS! time is on our side now. Price will only drop. This site has a lot of wise perspectives when you filter out other personal views etc.

-AC

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