OKay so we have done some things to cut our budget down trying to make it possible for me to stay home after the baby is born. Can I post where we started and where we will be at shortly and see if anyone has any other suggestions?

I think that would be a great idea. When I first decided to stay home, I really had to figure out what to cut out of the budget and how much.

I'm not the boss here but I say go for it! We'd all love to help and encourage you!

Here is what it looked like when I started "cutting"
Monthly Bills Amount
Rent $1,250.00
Escort Sedan $200.00
Escort ZX2 $250.00
Car Insurance $200.00
Cell Phone $140.00
Phone/Net/Cable $120.00
Electric $130.00
Gas (car) $200.00
Grocery $500.00
TOTAL $2,990.00

Monthly Income
Jesse $2,164.00
Sabrina $1,360.00
TOTAL $3,524.00

Monthly Income $3,524.00
Minus Monthly Bills $2,990.00
Overage/Shortage $534.00

We are moving into an apartment this weekend so that is going down. I talked to the cell company and got that down, looked over our grocery budget and cut that way down I know electric will be cheaper in an apartment. And as of next month our insurance is switching and will be going down. The end result will look like this...........

Monthly Bills Amount Monthly Income Amount
Rent $890.00 Jesse $2,164.00
Escort Sedan $200.00 Sabrina $1,360.00
Escort ZX2 $250.00 TOTAL $3,524.00
Car Insurance $109.00
Cell Phone $100.00
Phone/Net/Cable $120.00
Electric $100.00
Gas (car) $200.00
Grocery $300.00
TOTAL $2,269.00

Monthly Income
Jesse $2,164.00
Sabrina $1,360.00
TOTAL $3,524.00

Monthly Income $3,524.00
Minus Monthly Bills $2,269.00
Overage/Shortage $1,255.00

I am hoping to stay home after the baby.

Edited: it somehow got all scrambled so I fixed it.

WaxChick,

One thing DH and I did when I was pregnant was to put my paychecks directly into a savings account. That way we got a good idea if we could make it on his paycheck alone. We did this from February though May (when our son was born). It was tight, but that way we got to cutback in areas and since we put away all my paychecks, we had some extra money on hand when DS was born. Good luck!

Looks like you are off to a good start. Not listed are all the "extras" such as clothing, hair cuts, car repairs, misc. household needs etc. etc. I was amazed at how quickly these items can add up.
If you haven't already started, keep track of EVERY cent spent for a minimum of 3 months. I have been doing it a year and could tell you how much we spent on milk for goodness sakes. However, it has been a REAL eye opener as to where the money goes.
If you start tracking now, you'll get a better picture as to where you'll stand after your baby arrives. Don't forget the little bundle will need some things as well, although don't go overboard.
Good luck!

__________________
Children Learn What They Live, And Live What They Learn.
What have you taught your child today?
When life throws you a curve ball...it's up to you how you catch it!

The only thing I would suggest is regarding your cell phone.
My hubby and I managed to find a plan through Sprint that combined our minutes which was a bit cheaper than seperate plans. Then, sprint will give a discount to certain companies that have contracts with them. We did not realize that my hubby's company was part of that until we asked Sprint. So we get a 30% discount just for my husbands place of work.
You could check and see if your phone company does any of those things!!
We did not know until we did some asking.

Good luck and congrats on the new baby!!!!

Another thing I see you as being close to doing is getting rid of the car payments if you are able to stick to your new budget getting rid of your car payment will bump your overage to $1455 which is more then you are currently bringing in. If you can pay off the 2nd car then you will have even more funds available.

Adjust you tax with holding if you haven't with a baby you may paying too much, thus increasing your income

Figure out what extra you child will cost. Your $300 food budget will really have to strech if it is including diapers and formula. Nursing was the most cost affective for me.

Don't forget to factor in Health insurance cost and extra copays. In our first we had 9 drs visits at $20 each so $180 spent there.

I think you can do it. We have been and don't make that much more

Oh and car insurance if you are no longer commuting you could get a cheeper rate just by changing how much you drive. The other big big saver and I haven't been able to do this is be a one car family

__________________
Kimberly Proud Mommy to Bethany Rose April 2006 &

Organizer of the Coupon Clippers of Tacoma

Everyone has given some great suggestions. My biggest advice would be what was mentioned already . . . put your paycheck in the bank each month and see if you can make it on your DH's. Do it now before baby is born and that way you'll have money in the bank and have worked out your budget so that you can be a SAHM. Good luck!

I was thinking the same thing.

I did experience great guilt when it appeared that nursing just wasn't working for us. I knew that formula would be expensive and felt I was letting the family down, by not nursing, but I got over it. If you find that nursing doesn't work, please don't feel guilty.