• Advertisement

Are We Being Stupid????

Discuss Finances Here. *Note, this is not a replacement for Professional advice and should not be used for such.

Moderator: medic94

Re: Are We Being Stupid????

Postby Brightdays » Wed Sep 24, 2014 12:41 pm

Could you get a part time job now or find a way to make some extra money to work at paying off the debt? We are starting Dave Ramsey - I know he isn't for everyone. I find his plan very straightforward and you can get all the info free - from his website, podcasts, library books etc.

Good luck. That is a tough decision. I am a stay at home mom too and can relate except my husband has a desk job.
Brightdays
 
Posts: 106
Joined: Sun Apr 21, 2013 5:01 pm
Location: NE Ohio
Karma: 1

Re: Are We Being Stupid????

Postby terrapin » Wed Sep 24, 2014 12:48 pm

Susan,
Do it.
User avatar
terrapin
 
Posts: 959
Joined: Wed Dec 30, 2009 9:42 am
Location: Texas; West of Ft. Worth, North of Abilene
Karma: 55

Re: Are We Being Stupid????

Postby ohiosusan89 » Wed Sep 24, 2014 12:55 pm

Brightdays wrote:Could you get a part time job now or find a way to make some extra money to work at paying off the debt? We are starting Dave Ramsey - I know he isn't for everyone. I find his plan very straightforward and you can get all the info free - from his website, podcasts, library books etc.

Good luck. That is a tough decision. I am a stay at home mom too and can relate except my husband has a desk job.

We are very familiar with Dave Ramsey; unfortunately we've never been able to stick to his methods. When I was cleaning out a drawer recently I rediscovered a book of his that I bought but had not yet read "More Than Enough". I have read his book "The Total Money Makeover" several times. My husband was able to talk to one of his bosses yesterday and they are going to take a look at his Monday route to see if they can do anything to make it shorter. He did not get home Monday night until after 9 and he still had to get on the computer to check out his route(put his mileage in, any credits written,etc.). He would normally checkout at work but he wanted to get home. I made his dinner and was feeding him while he sat at the computer checking out and then he was able to finish eating after he was done. To get 6 hours of sleep he would have needed to be home and in bed by 8.
User avatar
ohiosusan89
 
Posts: 112
Joined: Mon Nov 04, 2013 9:26 am
Location: Ohio
Karma: 0

Re: Are We Being Stupid????

Postby rebnavy1862 » Wed Sep 24, 2014 12:56 pm

Your mileage may vary.

My wife and I took a huge financial hit and moved to the country five years ago. We have never regretted it. Our quality of life has improved immensely.

I was 63 at the time of the move. If I had stayed in the city rat race, I don't think I would still be alive.

Reb
"Then call us Rebels if you will, we glory in the name, for bending under unjust laws and swearing faith to an unjust cause, we count as greater shame". Richmond Daily Dispatch May 12 1862

Semper Fi, Sic Semper Tyrannis, Remember The Alamo, and Aide'toi et Dieu T'aidera!
rebnavy1862
Virginia Preppers Network
Virginia Preppers Network
 
Posts: 6046
Joined: Sat Dec 08, 2012 10:44 pm
Location: Virginia
Karma: 352

Re: Are We Being Stupid????

Postby ohiosusan89 » Wed Sep 24, 2014 1:03 pm

rebnavy1862 wrote:Your mileage may vary.

My wife and I took a huge financial hit and moved to the country five years ago. We have never regretted it. Our quality of life has improved immensely.

I was 63 at the time of the move. If I had stayed in the city rat race, I don't think I would still be alive.

Reb


My husband has talked about making the change now before he is so physically damaged from his job that he wouldn't be able to go somewhere else. We've have not told many people this but a few Winters ago he slipped and fell out of his truck and landed on his back. He didn't report it to his bosses because at the time his boss was a very "gotta work no matter what" type of guy and didn't want his safety record tarnished. We've always been scared that not reporting it would come back to haunt us.
User avatar
ohiosusan89
 
Posts: 112
Joined: Mon Nov 04, 2013 9:26 am
Location: Ohio
Karma: 0

Re: Are We Being Stupid????

Postby derhaashund » Wed Sep 24, 2014 1:43 pm

There is one question, once you pay off the debt, can you keep it off? No more credit cards, no more car loans. Live a debt free life. If you can't do that, then you may as well not waste the 401k money.
derhaashund
Earn gift cards to build your prep stash here http://www.points2shop.com/l/45/default?ref=uin1456091242 or PM me for more info.
User avatar
derhaashund
Pennsylvania Preppers Network
Pennsylvania Preppers Network
 
Posts: 403
Joined: Fri Nov 30, 2012 1:49 pm
Location: Upper Adams County, PA
Karma: 2

Re: Are We Being Stupid????

Postby DuckNCover » Wed Sep 24, 2014 1:57 pm

Lots of good comments... May I make a recommendation, stop contributing to your 401K plan or just put the bare minimum into it... Take that extra money and pay down your credit cards and then cut them up.... Then try to pay off your auto loan... Once you have those paid off, you would have extra income to pay down your 401K loans...

You could always convert the 401K into a ROTH or regular IRA (put the money into an account that will preserve your principle and get out of stocks, bonds, and Tbills)... Check to see if the loans could be forgiven if you converted them. It is your money and your husband should be vested by the company.... If anything, they might just deduct what you owe from the principle amount....

Try to get debt free before you take on more debt. Have some kind of emergency fund in case something happens.

Good Luck...
User avatar
DuckNCover
 
Posts: 781
Joined: Sun Jul 15, 2012 11:29 pm
Location: Oklahoma
Karma: 13

Re: Are We Being Stupid????

Postby AreUSeeKay » Wed Sep 24, 2014 2:26 pm

Miss Susan, Far be it from me to be able to advise, please just know that I wish you all the best! Knuckle down and do what you know in your heart to be the right thing, even if it looks to be hard. In a couple years my wife and I will be debt free, or so very close to it. It took 'knuckling down', we no longer have credit cards and will not have any. we may end up with vehicle payments, but that should be it. Any who, just wanted to say, good luck and hang in there. 'Knuckle-Down' it's tough but the end result will be for the better....
America will never be destroyed from the outside. If we falter and lose our freedoms, it will be because we destroyed ourselves. ~Abraham Lincoln
The Nomadic Prepper ~ SFC, USA Retired
User avatar
AreUSeeKay
 
Posts: 280
Images: 0
Joined: Wed Feb 29, 2012 8:34 am
Location: Everywhere, USA
Karma: 9

Re: Are We Being Stupid????

Postby Permafrost » Wed Sep 24, 2014 2:29 pm

It's a hard decision to make, the employment one. I would not touch the 401k ever, just let it ride with the minimum contributions. As far as work goes it is a tough choice. My wife & I had many conversations about me quitting a underground mining job because we both knew eventually I would end up injured or dead, but the money was great. In the end I didn't want to quit because we were trying to pay off the house by making triple payments, and I got injured. Was it worth it, not for us. After almost 3 years of pain and lawyers, a surgery and PT, even after I eventually finish job retraining I will still only make 50% of what I made before. In reality it should be your husbands choice because he is the one that will personally have to deal with the physical consequences.

There are always options, people generally do not like them but there are options. Food bills can be cut. Phone service and cable can be canceled. Vehicles with loans can be sold or given back to the dealership and junkers can be got at impound auctions for pennies on the dollar. Houses can be refinanced or sold. Toys can be sold. Insurance on vehicles can be switched from comprehensive to liability only. There are a lot of options to cut expenses and put a person in a better position to change employment, it is all about how bad you want to do it.
Permafrost
Alaska Preppers Network
Alaska Preppers Network
 
Posts: 1164
Joined: Tue Mar 19, 2013 5:33 pm
Location: Interior Alaska
Karma: 97

Re: Are We Being Stupid????

Postby ohiosusan89 » Wed Sep 24, 2014 2:54 pm

Thank you all for your responses. We had stopped contributing to his 401k a while back but his company has profit sharing and that goes into the 401k. Looking at the plan he has been there long enough that whatever money is in there is his. Food bill is a big problem. Two years ago we hit a bad spot where his checks were way down because they changed the formula for how they pay the drivers and it hit at their slow time of year. We had to really scrimp at the store and so this time last year and again this year I am trying to stock up when taxables are on sale. We just have our cell phones and we got rid of cable back in August; we just have internet.
As far as the credit cards go I do believe we have learned our lesson but it took awhile.
User avatar
ohiosusan89
 
Posts: 112
Joined: Mon Nov 04, 2013 9:26 am
Location: Ohio
Karma: 0

Re: Are We Being Stupid????

Postby oldguy » Wed Sep 24, 2014 3:57 pm

At your age it would be (I think) a poor choice to cash out the 401K. This will certainly come back and bite you in later years. I agree with previous posts about finding another job before he quits this one. The 401K of course can be transferred to the new employer. I realize this does nothing for your debt load. Sometimes credit counseling agencies and credit consolidation can be a help. I'll keep you in my prayers.
oldguy
 
Posts: 164
Joined: Tue Dec 14, 2010 4:41 pm
Karma: 6

Re: Are We Being Stupid????

Postby Akingu » Wed Sep 24, 2014 4:01 pm

Ask your self what are your 3, 5 and 10 year goals? If it's to get rid of stuff, improve credit and so one, why not. How will it help your prepping? Will it ultimately improve your living conditions, mental stability and security?
Akingu
 
Posts: 73
Joined: Thu Aug 21, 2014 12:37 pm
Location: Ohio
Karma: 0

Re: Are We Being Stupid????

Postby Grizbrb » Wed Sep 24, 2014 5:08 pm

Set the financial part aside a minute . What I hear is that the job is taking its toll on him. That is reason enough to change jobs. At one time I was an EMT working 80 hrs a week . There came a point 9 years into it where it started to effect my health very badly . I stepped away from that kind of work and have not regretted it. Money doesn't matter if the job kills you or wrecks your health.
Back to the financial side start paying off your debts . If you are living in debt now at this pay scale then what happens when you cut that pay. You may pay off the credit card with the Retirement funds but find yourself back in debt . I don't know all the details so just my views.
Grizbrb
 
Posts: 262
Images: 1
Joined: Sun Dec 09, 2012 11:42 am
Karma: 10

Re: Are We Being Stupid????

Postby PatrioticStabilist » Wed Sep 24, 2014 7:11 pm

I probably sound harsh, but the poor man seems to be working himself to death, providing support for you and running an adult son to jobs, am I correct? Look at this, what is wrong with this picture? You and the son should be relieving him not adding to his load.
I would not touch the 401k, you will never make it back again. If you can't make it now without adding debt how will you later?
Don't contribute for awhile, take the extra, pay down the credit cards. I don't know how much you owe but you will sure be
hurting in retirement doing this. Don't let people scare you they are going to take your 401k. Could be more taxes or something.

If you take that money now, its a 10% early withdrawal penalty plus raising your taxable wage and you will pay through the nose
you may not even receive enough to pay off everything you owe.

I know lots of people with missing limbs and all kinds of disabilities and they still manage to work and contribute. Do you drive?

So pay some of this off, bite the bullet spend less, pay off at least the credit cards or something before he even considers changing
jobs. If he has a clean driving record there seems to be lots of jobs out there, but be sure its better before jumping. And you and
son need to consider helping more in some way.

My husband is still working at 68 and I try and take all the work off him I can, he is gone 8 weeks at a time. I have feet that I could
have used to quit doing anything but will not do that. We have a good savings but we are trying to cushion it even more and yes a
lot of ours is in IRA's and 401K, we are not the least bit worried in losing it.

Good luck, and help the man, sounds like he needs it until he can do something else.
PatrioticStabilist
 
Posts: 3442
Joined: Fri Aug 10, 2012 10:33 am
Location: Southwestern Indiana
Karma: 39

Re: Are We Being Stupid????

Postby ohiosusan89 » Wed Sep 24, 2014 7:33 pm

I do drive and I take my son to work during the week and my husband does it on the weekends. My son does many things around the house and so do I so that my husband doesn't have to. I don't think he feels that I add to his load if anything I try to lighten it but there is only so much he will let me do. There are things that I do to try to help and he will go back and do them over as I didn't do them exactly as he would. He has perfectionist tendencies.
I agree that he seems to be working himself to death but with the job he currently has it is what is expected of him from his bosses and none of it is volunteer overtime it's just how long his days are.
User avatar
ohiosusan89
 
Posts: 112
Joined: Mon Nov 04, 2013 9:26 am
Location: Ohio
Karma: 0

PreviousNext

Return to Financial Issues

Who is online

Users browsing this forum: No registered users and 1 guest


Email Newsletter icon, E-mail Newsletter icon, Email List icon, E-mail List icon Sign up for the APN Email Newsletter - Enter your e-mail address below


  Links and Resources
  -Links
  -Podcasts
  -Free Ebooks



Trusted Sponsors











cron
Copyright
For Notices of Copyright infringement and to contact our DMCA Agent please follow the link below:
Copyright Policy

For terms of use, rules, and policies please read our Disclaimer