[spoiler]
Me: 28 Him: 30
Married: 11/15/14
TTC: 02/2016
IF DX: MFI (low count & morphology) & mild PCOS
June 2016 BFP - MC @8w2d
August 2016 BFP - MC @6w1d
June 2017 - 50 mg Clomid + Ovidrel + IUI = BFP 7/6/17!!
Beta #1 = 422 (14dpo), Beta #2 = 810, prog - 12.3 (16dpo), Beta #3 = 5023, prog - 18.9 (20dpo)
[/spoiler]
Re: Massive student debt - resigned to living with it?
So we have decided to go ahead with TTC within the next year (right now we are actually NTNP), and just work our loan payments into our budget. Within the past year and a half we have already brought our cost of living down significantly by changing our lifestyle and keeping our spending in check. We continue to keep an eye out for areas within our budget where there can be improvement, and this goes into planning for a baby as well.
So for us, we're basically just changing the things that we can change and are doing all that we can do at the moment, in order to deal with our debit while still moving forward with our family plans. It's very frustrating at times, but I guess there is some comfort in knowing that we aren't the only ones out there in this boat. There are many people out there with debit, who are still starting families and making it work. I just try to keep that in mind and keep moving forward to make the best decisions that we can make right now, within our situation.
Yes having a baby can be expensive, but it's also doable even with debt. Are there any areas you can cut costs? Are you living in the most affordable area for what you make? Could you find a place with a smaller mortgage? Childcare is the really big expense you need to think about. Will your potential future LO be in daycare? We waited to have baby #2 until we knew we could afford childcare. Sometimes childcare can be MORE than a mortgage payment!
There are things to think through but you don't necessarily have to put off starting a family because of student loan debt.
- Have you saved up at least 3-6 months in emergency expenses?
- Are you living below your means?
- Have you saved at least the Out of Pocket Max to cover childbirth?
- Have you created a budget that accounts for health insurance, child care and food/supplies for a baby that you can afford?
Those are the basics in my mind. Then, it's even better to think about the following:- Have you considered downsizing your life style?
- Have you tried to generate more income?
- Refinancing
I have found that getting out of debt aggressively a lot of the time has to do more with mindset and approach than income. Is it hard? Yes. But is it doable? Absolutely.--Move to a smaller place or buy a smaller home
--Sell a car if you owe on it and buy a much cheaper vehicle
--Can you live with a roommate or two?
--Overhaul your budget (cut out cable, eating out and unnecessary expenses)
--Have you asked for a promotion lately or taken steps to get one? (i.e, further ed or training)
--Have you looked for another higher paying job? Maybe outside of your current field
--Have you got a side job or side business (i.e., baby sitting, tutoring, start a blog, work a weekend job or extra shifts)
--Have you considered refinancing your student loans for lower interest rates?
--Are you eligible for loan payoff programs (teaching, doctors, nonprofits, military) or could you get a position that would allow for that?
Of course making more money can help with this, but not if you do not direct the extra money and resources toward the debt payoff.
My DH and I will have paid off $94k in student loans, car loans and other debt within 4 years by doing everything above. We make good money now, but 1) we have always kept our expenses low 2) I work side hustles that pull in an extra $3,000-$5,000 a year through tutoring and a part-time assistant gig and 3) DH's brother lives with us and pays $300 a month (so $3,600 a year).
When we get extra money (bonuses, tax refund, etc), it almost always goes toward debt. Is it fun? No. But we are on pace to be done at the end of the year and will TTC at that time. We have accomplished most of this on a $90k combined salary living in a moderate income cost of living area. We make more now, but that means we pay more toward debt as well.
Another key is to stop taking on new debt! We have not taken on new debt (other than our home) in the past 3 years. And will not take on any more debt going forward. We pay off credit cards monthly as well.
Sorry for the tangent, but I am pretty passionate about this topic.
So to answer your question, should anyone be resigned to living with debt for the rest of their life? Absolutely not!
I just want to add that when you look into cutting costs, don't forget about the little things that may not seem like they are making that much of a financial impact. For example we started using almost all reuseable products in our home. we replaced paper towels, napkins, and sponges with reuseable coth versions. We don't buy cling wrap or aluminum foil, instead we use glass tupperwear and silicone lids to cover pots and pans. I make all of our home cleaning supplies, the only cleaning supplies that we still buy, as is, are laundry detergent and dishwasher detergent. We cut down on personal care products (no extra hair sprays or gels, just the basics) and some stuff I started making myself (like deodorant, lip balm etc). We cook at home 90% of the time and only go out to eat about once a month. We're living a lot more naturally and frugal than a lot of people are comfortable with, and I know these things aren't for everyone. However they are fairly simple little changes that can save you more money than you'd probably expect in the long run.
If your savings and cash flow situations are solid even with the debt payments, I wouldn't worry about it. Personally I think the question has more to do with whether you guys can comfortably (or at least feasibly) afford a child while that revolving debt stands.
Married: 8/11/2007
DD: Born 2/3/17
BFP#2: 5/3, EDD 1/10/19
At this point, I have overhauled our budget and have cut a good bit of our spending, but am factoring in our student loan payments as a constant monthly expense, while also putting some money into our various savings accounts (but not as much as I would like). I wish I made more, but I am very happy with my job and I get excellent family benefits/maternity leave/pension, etc. so no change there. DH should be getting a raise soon, and we are hoping for a good one! Due to our law licenses, we need to stay in NJ. The biggest thing is childcare. We can afford birth costs, health insurance, have an emergency fund, but childcare is just so outrageous around here.
@bmo88 - love that you called it your "side hustle". I have debated doing this as well. Getting a part-time gig that would be money saved. Do you do this in addition to a full-time job? How do you have the energy? lol.
@OhPandabear63 - replacing paper towels, napkins, and sponges with reuseable coth versions is a great idea!
[spoiler]
Me: 28 Him: 30
Married: 11/15/14
TTC: 02/2016
IF DX: MFI (low count & morphology) & mild PCOS
June 2016 BFP - MC @8w2d
August 2016 BFP - MC @6w1d
June 2017 - 50 mg Clomid + Ovidrel + IUI = BFP 7/6/17!!
Beta #1 = 422 (14dpo), Beta #2 = 810, prog - 12.3 (16dpo), Beta #3 = 5023, prog - 18.9 (20dpo)
[/spoiler]
In terms of my side hustles, my work flow has ebbed and flowed with time. Last year, I had more time and made more money. But I actually took over my organization as the Executive Director about 6 months ago. So my free time has gone down considerably, but my income increased by about 25%. I still work as the personal assistant the local consultant though, I just don't do tutoring anymore. I started my own blog and at this point, make very little money, but I am trying to increase that.
[spoiler]
Me: 28 Him: 30
Married: 11/15/14
TTC: 02/2016
IF DX: MFI (low count & morphology) & mild PCOS
June 2016 BFP - MC @8w2d
August 2016 BFP - MC @6w1d
June 2017 - 50 mg Clomid + Ovidrel + IUI = BFP 7/6/17!!
Beta #1 = 422 (14dpo), Beta #2 = 810, prog - 12.3 (16dpo), Beta #3 = 5023, prog - 18.9 (20dpo)
[/spoiler]
A friend of mine and I started our own etsy shop recently where we sell our crochet creations, so any income from that for stuff I have made will go straight into the loans. Every little bit helps.
Punk's birthday: 3-28-17