Has the Recession Effected You? and How Do You "Make It" as a Parent?

Of course, we were affected by the economy too. Our savings and retirement accounts aren't what they were, my husband was out of work for quite awhile also, however we had a "heads up" about the job loss, so we were able to adjust before he lost his job. Every financial advisor on tv, online and in the papers said it was important to 'act poor' before you got there. We took this advice VERY seriously.

Last year all extras were out! No summer camp, no extra curricular activities for the kids, no vacations, my husband and I did NO date nights, hobbies, etc. We only bought the necessary clothes, food, etc. And even then, we only shopped sales, used tons of coupons and made dinners based on what was cheapest. We never ate out. I learned to use the crock pot, make whole chickens, and such and then parlay that into more meals. We did no "work" to our house. We found someone to do haircuts/color in our home, so I don't go to a salon anymore. I became very "creative" in using BOGO coupons to take the kids out to play, going to the zoo on free days, etc.

The kids and I gardened a lot last year. We spent time playing in a backyard kiddie pool, going on picnics and different things to help break up the summer. My kids are young enough that I don't think they really noticed. They knew that we weren't going on vacations and out to eat, but we worked hard to do fun things at home - like cooking together, doing family movie or game night and lots of bike riding.

This year, we have to play catch up with some of the house work/repairs. We are doing the work we need to, however we're doing it all ourselves. We still aren't going crazy.

I am so glad that we were frugal before it became hard for us. We are grateful that we didn't have to go without necessities. We never have been big spenders and have always tried to save for a rainy day, so I think we were in a good position before the economy tanked. However, my husband was out of work longer than we anticipated. We learned a lot and got by ok.

well, money no money, i have never bought anything for anyone full price. the retirement savings has been affected, it's not what it used to be but we still live the way we did, which is save money to go on vacation, no new toys, we do a lot of board games, and picnics (food prepared at home). we eat out lunch once a week, and everything is cooked at home otherwise. so we haven;'t changed anything because we have never gone overboard even when money was aplenty.
we have paid off one home, and we do not sell it unless we have to. that is our retirement home. we have saved enough to live for 1 year if husband loses his job. other than that nothing else.
we have been through recession before (different country) we we have learned early how to live below means always.
good luck

K.:

Hello! The recession didn't really affect us as we ARE a CASH ONLY family. So we CANNOT live beyond our means.

I am a Stay At Home Mom. I still do everything I can to save money. We only stopped going out every Saturday night because they stopped allowing smoking in the restaurant (My hubby smokes - I know - but it's his only vice so I shouldn't complain too much!!! And he doesn't smoke in the house)

Any way - we have been VERY blessed - God has taken good care of us through this rough couple of years for our country - I am VERY thankful for the blessings we have.

We've not had to say NO to the boys for anything they do not need. We say no to the DS and DSi. They MUST earn these. They have a Leapster and a Gameboy - boy of which they earned.

How to make it work?

Stop using credit cards. Go to cash only. Yes, it's hard. But in the long run, the benefits outweigh the initial hard times.

Use coupons any and every where you can.

Buy your kids clothes at yard sales. Since you are in Dana Point - you SHOULD be able to get name-brand clothing at lower prices. Try ebay - it's not like adult clothing where you will keep wearing it. Kids outgrow it so fast.

Plan your meals for the week - then line up coupons for the items you need. You can mix and match - if you don't feel like beef one night - don't feel like you HAVE fix it THAT night - just use the veggies or items that might go bad.

If you have the room, grow a vegetable garden. This will save you a bunch of money.

If you have errands, make a list of where you need to go and save gas by doing them in order (so you don't zig-zag across town).

Stop buying movies. Use Netflix, Red Box or Block Buster.

Have family night - ours is Wednesday night. We make our own pizza. This saves us $22 a week.

Call your electric, gas, phone, wireless, cable, etc. and see if they have different plans to help you save money.

Call your insurance companies (life, auto, medical) and see if you are over-insured.

If you have a public transit - use it. You can save BIG TIME on auto insurance by putting less than 3K on your vehicle per year.

Stop buying books. Go to the library and borrow the books. We make a weekly trip - the boys love it.

If you need cash in the door. Sell items on craigslist or ebay. Craigslist is free - however, you limit yourself to local area only. Ebay is not free but you can sell things worldwide.

If you have more than one car and can sell it - do. If you MUST have two cars and If you have car payments, see if you can trade the car in and get a car that doesn't make you have payments.

Hope this helps you.

We were afraid that my husband would lose his job, so to make sure we would have enough money in savings to live off of for at least a few months, we cut back as much as we could-- I called all of the companies I pay bills to in order to ask for ways to lesson my bills, I tried new recipes instead of eating out so much even though I hate to cook, I cut more coupons and try to remember to use them, and I've talked with my older kids (ages 10 and 12 now) about spending less. My oldest will actually say sometimes that he doesn't want something he knows he doesn't really need or that he'd rather have something cheaper because he wants us to save money!

We cut back on so many "little" things that add up. We are out and about daily and my kids are always asking for a slurpee, jamba juice, etc. "and it's just a dollar" (Well not Jamba, but some things) but, yes, I do occasionally treat them, but I mostly say no. It really adds up. I know so many people that go out almost every day and get Starbucks, etc. and that's hundreds, if not thousands, of dollars every year! We only go the ultra star movies with a coupon so it's $6, and my kids are each doing a camp this year, but not Sea World passes, because we couldn't do it all, so they had to choose. My husband and I don't go out very often, but that's fine too, because my kids are older now and easier. Sometimes my hubby and I go on walks, and that's our alone time, it's kinda fun, talking and long walks. We do so many free things, hike, beach, bike rides. My kids get most of what they need. It is hard because they both go to schools with a lot of upper class kids who get anything they want, but I constantly have to tell them no. I think it's actually good for them because they will grow up knowing they can't have everything they want. My daughter wants a Mac laptop for her birthday, because "everyone" has one, but I told her she has to save both her birthday and Christmas money, then she'll get one. She just has to wait a little longer.

Not in an everyday way because we do not live beyond our means and we are not in debt.

But, when the stock market keeps having ups and downs, yes and we keep reinvesting to keep the retirement and college fund up to par.

We still do everything we did which includes a LOT of private instructors $$ for cheer and violin for daughter.

The recession affected us in a major way. We were very well off. We lived in a 4 bedroom two story house with two great cars and now we live in a 2 bedroom appartment with two run down cars. We don't have disposable income. My husband had lost his job and was unemployed for over 2 years. We think that the recession was actually a good thing. Our kids used to think that they could just ask for something and they would get it. NOW, they have to really need it before we can think of spending money on it. Birthday's and holidays have been very tricky. We have been blessed for the past 3 Christmas' because of organizations and friends that have helped us. Birthdays, we tell the younger kids that they can only get many two presents. My youngest just turned 7 in April and she was lucky enough to have a classmate who shares her birthday and the party was at Chuck E. Cheese. She got to go and see her friends and I didn't have to pay a dime. She did not get any presents but she knows that she doesn't NEED anything. We get hand-me-downs for clothes for her. I try to find some for my son but if not then I wait and buy something when it is at the lowest price. So bottom line, the recession is how you make for your children.

My husband is self employed in the construction industry, so business has really slowed down. He used to specialize in restaurant ventilation, but now he does everything because restaurants aren’t going up as fast as they used to, so we are definitely feeling the hit. We cut back on as many costs as we could, like our security system, cable tv, Netflix, etc. We RARELY eat out and I do a lot of price comparison and coupon clipping when it comes to diapers, groceries, gas, etc. I tried working PT in addition to my FT job, but that was too much.

This winter I started a work from home business and it has been such a blessing. Looking back now, I wish I would have started this years ago...but it came at a perfect time for us and it has given us some financial freedom. We are actually going on a family vacation (by AIRPLANE!!) in a couple of weeks…something I never would have thought we could do six months ago. Let me know if you are interested and we can talk more. I think it may be something that can help out you and your family.

OH Yeah!! I spend all day, everyday saying "No $$ No $$" about a million times, to my kids & myself!! We are self-employed & you know it's bad when the exec's & middle managers of fairly big, stable companies are being let go. First thing that happens after that...housekeepers, gardeners, pool guys, carpet cleaners...take out...no more!

Which I TOTALLY get, because I've had to cut back on my little luxuries, too! We've had a couple of long term clients cancel, with genuine sorrow in their voices, because they are so aware of the fact that they are also changing our income! We've been blessed with some wonderful clients, & we always wish them the best of luck & let them know that we understand. And hopefully, when they are back on top & have a little disposable income again, they will call us back.

Anyway, I have had to explain, over & over to our girls that as our income stream goes down that what we can afford to buy has to be wittled down to "needs"...not "wants". And "Need" can be a very subjective thing. SO we talk a lot about what is really necessary, how to reuse more of the stuff we already have & not having to have the "latest-greatest" *whatever*, especially because so & so has it. Not always such an easy conversation!! Since my husband & I don't always see eye-to-eye on the definition of "need" & "want", our girls are getting a lesson in making life work!

I will say I wish I had listened to my husband about elaborate Christmases & Birthday Parties, because I set a precedent for them & it's much harder-- especially for the youngest--to swallow the smaller celebration idea. The other 2 are pretty cool with just 1 expensive (for us, anyway) present & maybe just a cake with friends. But the youngest remembers her sister's getting big fun parties & she wants her share of big parties. So we are talking about what to do about that--she's shed a lot of tears because her birthday is next month.

There are some things that we just can't do anymore & although I think some of those things would be beneficial to them, their needs are being met & as my husband pointed out, a lot of the stuff that has become "required" for our children's education & quality of life are really very clever marketing compaigns.

Incidentially, we do let them know if we have lost an account, we want them to understand that we aren't just being mean & selfish & not letting them have the *whatever*. We don't tell them specifics, but we want them to understand that work, $$ & material goods don't just happen, that you have to put a lot of effort into your work & stewardship of your $$. We explain that if we buy the *whatever* now...we might not have enough $$ for gas next month. We are NOT that close to the bone, thank goodness, but we want them to be thinking about the future & making sure we stay out of trouble.

We also talk about the "math" of different things for sale & is it REALLY a great deal? or is it just that you want it so bad you are willing to get sucked into the purchase....They all heard me moan & groan when I couldn't get the "free" phone I really was jonesing for. But the math...that beautiful, purple "free" phone was going to cost me $720.00 over the 2 yr contract. So, not so free! They are starting to dislike that phrase, do the math!

The recession has affected many people in our area but mainly in their outlook on life and in general. I personally have taught my kids that we look for the things on sale. It is really funny and good that they will look at something that they want and won't even ask me to get it for them unless it is on sale. We have really cut back on things but mainly because they have been so use to getting what they need when they need it and that was not preparing them for their future on their own.

I have a home based business, teaching others to take time for themselves, to use natural based and healthier products on their skin and in their foods, and I have not seen a drop in my business, in fact I have had several of my best months ever in eight years. So, it really does not have to be a difficult time.

The recession didn't affect us terribly. My husband was not given a raise or a bonus the last couple of years, but his salary is pretty good, and I'm pretty thrifty. He has been able to keep his job, and with it, wonderful health insurance, and we have good credit because we rarely buy above our means (I have never had credit-card debt and our school loans are manageable). I never pay full-price for anything, and we're not terribly extravagant, so we make it from one day to the next without any real worries.

One thing I would do differently if I had another chance is to buy a smaller house. I love my house, I love my neighborhood, but I wish I had more money to put aside into savings. There are still areas I could cut back, but most of them would require dramatic sacrifice. If we had a smaller mortgage, that would make it easier. I don't think we needed quite as big a house as we have, and we bought at the beginning of the housing crash instead of the end, so we still overpaid a bit. We were thrilled to be able to afford this house when we bought it, but by buying smaller, we might be able to now afford other things, like vacations, that are beyond us at the moment. Still, we're very blessed.