Soon to be married. Can we survive?

Question

I will be married at the end of the year. I am in school currently and will be in school for one year after we are married. She is graduating this semester and will work one semester to get used to teaching and save money. Her starting salary will be exactly 39k a year. At this point we are planning on me having zero income.

I have found some apartments for around $650 a month. With this rental price will be able to survive? I am guessing around one hour of driving a day for each of us (weekdays). I will need to have high speed internet, but I can survive without cable TV. We will tithe to the local church 10% of tax cleared income.

Basically I want to know how much money it will cost for us to live frugally. I do not think we can afford a car payment though. Her car is over 10 years old now, so I am worried about that. If we got in a major jam my parents could help.

Answer 1

First need to figure out how much she will have after taxes. Do not just go on what her salary will be. She will never be able to take home the full amount. Based on "IRS 2006 Tax Rates for Married Couples Filing Jointly" she will lose $5,080 to federal taxes alone. This means she now is at $33,920. Then you will have to find out how much you will lose to state tax, social security tax, health care plans and any other things that will be taken directly from her pay check before she even see the check. After all of this then you will have a take home amount.

650x12 is 7800
$7800 a year for rent.
+Gas (car)
+Food
+bills (light, gas, heat, water etc).
+misc and unforseen fees(hospital, car repair, etc)

I think you two will be able to survive off the 39K, but you should try to find a part-time job so that you all can have some spending money.

Answer 2

Change your tithing to after necessities are paid for. The good lord does not expect you to tithe and go with out food or clothing. Something many have diluted with their own opinions like I am doing here.

You will be fine if you keep your wedding costs down as well. Make it small and perhaps at the home of a family members with simple buffet style appetizers. Take the money you get for the wedding and put it in a ROTH IRA and start putting all extra money in there for a home later on.

Keep the old car tuned up and it could last another 100,000 miles. Truly financially smart people keep their cars in THEIR possession for at least 7 years (not the age of the car) Keep away from car payments and frugal stuff you do not NEED.

There are many many ways you can cut back and save money... Cable being one of the so if you CAN live without it then good going... save that money for necessities.

Skip eating out... making home cooked meals will not only save you money but you know exactly what is going in them. A huge savings also by not buying prefabricated foods. Save one night a week for going out to eat as a treat for each other and a pat on the back for saving $$$.

Keep a positive attitude about your future, save save save & you will be fine.

Been there done that !! And now living well !

: )

Answer 3

Since you are about to start your life together, I'd like to recommend taking a look at Dave Ramsey's program. He has a program called Financial Peace University through many churches across the country. In addition to FPU he has a book called The Total Money Makeover.

Part of the program is getting on a budget, and doing these things together once you are married.

Answer 4

Oh you'll survive, because you are already thinking about it and making sure you are in control of your finances. Most people get into financial trouble because it takes them a while to learn to do that.
I found the most effective way of creating a budget was to actually keep a journal of my spending. I have a cheap diary and a pen and I keep it with me and make a note of everything I spend. I put the information on a spread sheet so as to divide the spending into particular areas. That way I know what we spend and when. I don't actually keep the journal every month anymore but I like to do it for 1 or 2 months a year or if our circumstance have changed dramatically, just to check the budget is up to date.

Answer 5

set a budget!
estimate your expenses each month
include things like food, rent, gas etc
estimate take home pay every two weeks
determine your tithing amount and add that to your budget too
pay bills from this amount.

You can totally do it--as long as you can stick to your budget.
You should even have money left over to start a savings account!

Good luck!

Cheers!

Answer 6

You need to write a budget and strictly adhere to it. If you replace the car, get a used car (5yrs). You should be able to make it as long as you both try and sacrafice. Do things that you can do togather that are not expensive. Don't try to keep up with the neighbors or incur credit card debt. Remember that financial problems are one of the biggest problems breaking up marriages. Good Luck.

Answer 7

The most important step you can take now is to set-up a spending plan - how will you spend your money and where. For samples, go to this website:

http://www.daveramsey.com/fpu/home/index.cfm?FuseAction=dspContent&intContentID=135

I would also HIGHLY recommend that you take Ramsey's Financial Peace University class. It is a 13-week class that is well worth the money. You can find a class near you at his website (above).

Congratulations and best wishes on your future happiness!