Budget 2008
I've had several people ask for an updated budget. Here is our projected budget for 2008.
This is an estimate from our 2007 expenses.
Since we are self-employed I'm not sure of our income in 2008.
Of course we are budgeting higher numbers than we expect to spend on the budget for some things like house repairs. That is how much we spent in 2007 but we don't expect anything that major to happen this year. Some of those costs were from fix-ups to sell and buy the houses.
Hopefully nothing else major will go wrong and all that money can go to paying off the car and the septic tank. We have $1500 in savings right now so we are focusing on paying those before putting more in savings.
Last year Mike earned $18,000 from Living On A Dime and $15,000 from the TV station and $5,000 from house clean up. Then I got $4500 from my SS disability. (The business isn't making enough yet to pay me although Mike is the one working full time, I just work a few hours a week on it.)
So here it is.
2008 Monthly Budget
Giving- $400-10 % of everything we earn goes to God first. If we earn more it will be higher.
House Payment $900
Groceries- $300
Wal-mart- $200-toiletries, house stuff, plants for my garden, arm braces whatever. This is on the high side. Normally I keep it around $100 but I budgeted more for some wiggle room. The extra will probably go to car repairs. :-)
Car Gas- $300
Car Repair/Tags/Insurance- $210
House Repairs - $400-High extra will go to paying off septic tank
Eating Out- $30
Clothes- $25
Medical - $200 (not insurance, just costs to go to the doctor)
Utilities- $215
Gifts $80- for 19 people all holidays
Haircuts- $15
Cable- $40- may cut
YMCA- $50-includes swim lessons and gymnastics
Pet- $20
Misc. $60
School
(lunches/fees)- $30
Vacation – $83-we spend about $1000 making 2 trips to Colorado a year visiting family.
Total- $3,558/month
One more note on the giving. We do not belong to a church right now. If we did it would go there. Since we don't have a church we send it different ministries we believe in or if we hear of a local need (like a newly divorced mom in dire need) we will give it there.
This is an estimate from our 2007 expenses.
Since we are self-employed I'm not sure of our income in 2008.
Of course we are budgeting higher numbers than we expect to spend on the budget for some things like house repairs. That is how much we spent in 2007 but we don't expect anything that major to happen this year. Some of those costs were from fix-ups to sell and buy the houses.
Hopefully nothing else major will go wrong and all that money can go to paying off the car and the septic tank. We have $1500 in savings right now so we are focusing on paying those before putting more in savings.
Last year Mike earned $18,000 from Living On A Dime and $15,000 from the TV station and $5,000 from house clean up. Then I got $4500 from my SS disability. (The business isn't making enough yet to pay me although Mike is the one working full time, I just work a few hours a week on it.)
So here it is.
2008 Monthly Budget
Giving- $400-10 % of everything we earn goes to God first. If we earn more it will be higher.
House Payment $900
Groceries- $300
Wal-mart- $200-toiletries, house stuff, plants for my garden, arm braces whatever. This is on the high side. Normally I keep it around $100 but I budgeted more for some wiggle room. The extra will probably go to car repairs. :-)
Car Gas- $300
Car Repair/Tags/Insurance- $210
House Repairs - $400-High extra will go to paying off septic tank
Eating Out- $30
Clothes- $25
Medical - $200 (not insurance, just costs to go to the doctor)
Utilities- $215
Gifts $80- for 19 people all holidays
Haircuts- $15
Cable- $40- may cut
YMCA- $50-includes swim lessons and gymnastics
Pet- $20
Misc. $60
School
(lunches/fees)- $30
Vacation – $83-we spend about $1000 making 2 trips to Colorado a year visiting family.
Total- $3,558/month
One more note on the giving. We do not belong to a church right now. If we did it would go there. Since we don't have a church we send it different ministries we believe in or if we hear of a local need (like a newly divorced mom in dire need) we will give it there.
posted by Tawra Jean at 2:32 PM
39 Comments:
Hi Tawra,
Thanks for posting the budget; I always like to get a sense of how ours compares to other families' budgets. A question: I didn't see an entry for life insurance or auto insurance. Is that inside some other category? Thanks!
This post has been removed by the author.
The car insurance is in with the tag and repairs. We will probably have to add more to that one since we've already spent $1,000 on car repairs this year. :-)
Life insurance. We don't have any. This isn't something that we have been able to afford until this year.
We will be looking into it but if Mike died tomorrow the kids and I could live on the Social Security if we had to.
Tawra
I see $200.00 at Wal*Mart...what are you buying at Wally World? Not being nosey persay, but wondering if it was more grocery, clothing, etc. There can not be $200.00 of paper products etc. I was wondering about the vacation fund too. How did you arrive at the $83.00 figure?
My budget looks very much like yours except I do not budget for house repairs...I keep an emergency fund of $3000.00 in the bank for that..if it is more than that amount we would have to cash in a CD...but it could be done. The emergency fund is also for car repairs etc. Again if something more than that we would cash in CD early. I do not use credit cards as an 'emergency fund' to easy to fall into old bad habits. Roxie
I find the category "Giving" very high. Wouldn't it make more sense to pay off the debt first? Just curious....
marie
The walmart is high. But it includes everything such as air filter, arm brace,toileties, plants or seeds etc.
This is on the high side. Usually I spend around $100 on average but the rest will just go to the car repairs. :-)
Tawra
No the giving isn't too high. It's only 10%. No, I don't believe it's better to pay off debt first.
God asks us to give at least 10% and I figured I can do that with all that he's blessed us with.
Tawra
Tawra--
Thanks for sharing your budget. It's always interesting to me to see how others compare to ours. I'm glad to say they're comparable!
RE: WalMart--our figure every months seems to come to right at $200, too. That includes SOME groceries (as ours is a Super WalMart) but other items you've listed, like furnace filters, paper products, pharmacy products, etc.
I also agree with you about giving the first 10%; God promises that if we give Him His tithe, He will pour out blessings on us (Malachi3:10).
Thanks again for sharing your budget!
Hi, I was wondering about taxes and retirement savings?
Is this your budget after taxes?
And do you have an IRA or 401k that you contribute to?
Thanks!
I just found your website the other day and it has made such a difference in the way I think about and choose to use money. My husband and I (and our baby boy) are just beginning to live on one income.
~Candace
Q: is the income you list after taxes and social security? where do you budget home owners insurance? and how about property and school tax?
thanks Jane
Hi, I was wondering about taxes and retirement savings?
TJ:We don't have one yet. This is the first year we have actually kept our heads above water. We will pay off our debt first and then do the retirement savings.
Is this your budget after taxes?
TJ: Yes.
where do you budget home owners insurance? and how about property and school tax?
TJ: It's in our house payment.
Hello,
Reguarding your tithes, I feel ashamed. You give so generously. I will give 10% during Lent. You have inspired me. Thank you so very much.
One question though, I looked up Malachi (3:10) & found no mention of 10%. Where does that percentage come from? Thank you, we are always learning.
I like your idea about giving to causes you believe in. I am not affiliated with a particular church right now myself either. There are several causes that I feel strongly about, especially those that help children & the poor.
At this point in my life, we really cannot afford to tithe 10% of our gross income. We are just getting by. Sometimes I feel that since I cannot give 10% why give at all (since that has been pounded into my head so many years). I would like to know your thoughts on giving through non-financial ways such as with time, or even through giving with wise coupon shopping.
I want to be able to give. I can only give what I have yet I want to be able to feel good about it.
Thank you so much for posting your budget. I always find it so helpful to be able to look at other families' budgets.
Val
Leviticus 27:30
30 " 'A tithe of everything from the land, whether grain from the soil or fruit from the trees, belongs to the LORD; it is holy to the LORD.
Tithe means 10% so that is where we get 10% of our income.
As for not enough income. I believe that no matter what, you should always give God the first 10%. Usually if you don't have enough to cover your bills it's because you aren't doing what God has asked in this area.
We have NEVER missed paying a bill because we gave to God first. He always works it out.
One time when we made $1700 a month and had 2 house payments for $900 we gave our last to God. We weren't sure how we were going to pay the bills the next week and the very next day an unexpected check came in the mail.
It happens every time! God will always take care of us!
Tawra
Hello Tawra,
I love your budget. My husband and I used to be able to give a full 10%, but in the last 2 years we have not been able to. Our son has severe verbal apraxia, and mild autism. Our insurance won't even cover his expenses, we don't even qualify for any assistance. We rely on God, and he sure does give enough for us to provide for our son. He also has severe food allergies, which makes grocery shopping very hard. I would love any suggestions in helping fund the services our son needs. Our school system basically told us that they have NO program to help. We are considering getting a lawyer, to see if they can help pay. Would greatly appreciate any ideas! Thanks Much!Take Care of yourself.
Tithing is important because it is an act of obedience and faith in God. I can tell you from personal experience that God worked in our situation of several lay-offs whereby our needs were provided for in untold ways. Your budget is straightforward and wise. Thank you for a great website!
I'm the person that asked about giving 10% of your gross income but not being able to afford it.
Nothing personal, but I don't totally agree with your opinion. We are not behind in any bills at all & have little debt left & are working hard to rid of that. God has still blessed us.
I just think God also blesses whatever we can give just as the widow did (Mark 12:41-44). She gave all she had, it doesn't state she gave 10% gross. The bible is just as straight-on about not having debt (Rom. 13:8). If I go ahead and pay 10% of my gross, I will be in bill debt, which will be wrong biblically. I don't believe one is better or more important than the other. If it's in the bible, it's all important. But this is my own personal belief.
I don't want to be confrontational in any way, just to share a different perspective. In the end I think it's important for us to do what we feel is best between God and ourselves.
Here is why we tithe:
In Mark you mentioned the widow. She was blessed because she gave EVERYTHING despite her poverty. Not just 10%. She took a step of faith that God would take care of her.
So we tithe because we have faith that God will take care of us and he does.
We don't give to expect something in return. We give because we want to tell God thank you for what you have given us and the way we do that is by giving back the 10% to help others that he asks.
In Romans even though it mentions not having debt it does not say to forgo giving your tithes in order to do so.
The point is God instructs us to give at least 10%. Whether someone else does or does not tithe is none of my business, it's between that person and God. But I personally do not want to be robbing God of what is his in the first place. I get that from Malachi 3: 6-12
Tawra
Tawra,
Thanks for sharing your budget with us! I am so pleased to see you tithe and stand up for it! It is a matter of discipline for us to do - but we do it too and have benefited from doing it God's way and not our own.
A question - Do you have health insurance? I saw the $200 a month for doctors. Is this after insurance or just self-pay. My husband and I have not been able to afford insurance for about 4 years now. We are relatively healthy and have been blessed not to need need major doctor care. Any suggestions on affording insurance or do you think it's a "risk" worth taking?
Tawra--
I really appreciate your testimony and stance on tithing!
I just wanted to add to my comment (above) about tithing, in response to other comments.
My husband and I do not agree about tithing, bills, etc. Right now I am working very part time, to pay "my" bills incurred mostly for publishing my books. We agreed before I started working that the money I earned while working would go to paying "my" bills. I know this is not an ideal situation, but it is what it is.
I believe very strongly in tithing. Whenever I get a check for my nursing job, editing job, or other jobs, I immediately write 10% to my church (or another charity if I feel led to). God has NEVER, in 2 years, let me down. I have ALWAYS been able to make all of the payments, plus a little bit more. (one week I "tested" God, by giving 10% of the amount I wanted to earn the coming week . . . guess what??? I made that much!)
Within the last few months, the payment for two of my jobs (both VERY part time) has gone up. I've gotten extra days working at my nursing job, the last few weeks and through next month. I've tried to be a very good and faithful steward of the money/jobs/opportunities God is blessing me with, and He, in return, is blessing me, as He promised! He has taught me NOT to worry (and money issues and worries were HUGE with me!) . . . to trust that He will provide.
Personally, I do believe that giving of time and/or talent is also "giving." We can also give by taking a meal, caring for another person's children, cleaning someone's home, giving outgrown clothes, etc., when others are ill or in need.
Trust in God . . . you cannot outgive Him!
Sincerely,
Shelly
Shelly brought up an interesting point about tithing that I would like to address.
What do you do if you and your husband don't agree on tithing?
Then you let your husband make that decision and DO NOT argue with him about it.
Then you can tithe off of what you earn, if your money is separate or you can tithe your time instead.
But I feel that it's very important that you respect your husband's wishes because ultimately he is the one responsible for your family to God.
Tawra
I just want to add to the comment about giving tithes. I give 10% plus offerings. Although I have a lot of bills (who doesn't) God has always provided. King David said, "I have never seen the righteous forsaken, nor his seed beggeth bread". For those that say they can't afford to, they can't afford not to.
I so agree with the comment of "you can't afford not to tithe". My husband, 5 kids and I have a lot that we pay every month. There have been a few times during the month that we didn't get a check BUT God has always-always provided for us! It is just amazing how it has ALWAYS worked out. We have commented on it so much. Our theory too is you can't afford not to. We give at least our 10% then always allow for Missions too. We just feel like by our giving to missions that when someone is saved by the word of God far away and we are helping to support that missionary we have helped in that! Just a great feeling.
Love your site. Keep pressing on.
Thank you for being so open. It is not easy. This set of comments have helped me so very much, as my husband and I don't agree on 10%. Since I do the actual check writing, I could without him knowing, but don't. Money is so very tight and I have debated within myself about it.
Hello! Thank you for your work on this site. It is very helpful.
Numbers 18:26 specifically address' our tithe as a tenth.
Thank you for all your comments poster on tithing. I pay the bills in our home, and we do try to give what we can. It is funny, it always seems to come into play as a "well if there is some leftover, we'll give." It should be at the top, and not necessarily always a check. Our church talks about giving as time, talent, and treasure. I volunteer for church functions, such as helping out at our SCRIP gift certificate selling table, donating meal items for funeral dinners and church cleaning. If thoose of you out there cannot give in treasure, maybe time and talent are a way to start. I have also found that when I give even when I think things are too tight that week, everything ALWAYS has worked out ok. I agree that we cannot outgive God. God does not want us to fail in any way, but if we do falter there is probably a lesson behind it to help us in the long run.
Thanks for all the great info on your site!
I would like to comment on tithing. I am a witness that if you tithe and put God first, God will make a way. I used to not tithe; I would just give at church sporadically but when I started tithing, I noticed I have more money than I ever had left over after I pay all of my bills. I believe the devourer of our money, which are the things that deplete our funds, are put at bay and lessened when you tithe. Also, my husband gives but doesn't believe in tithing so I tithe off my own income and I don't argue with him because I believe he will begin to see my life being blessed and he'll want the same.
Just wanted to know what you think about time. Is it okay to tithe with your time because I do lots of volunteer work for the church and community and I try to give food to the food bank and clothes to other missions. Because of this I feel like I am giving 10% or more to God but I wasn't sure if it is specific
Hi Tawra,
I don't tithe, but do pay 15% of my gross income towards my parents support. The commandments say to honor thy father and thy mother, so that you may enjoy long life in the land which the LORD your God is giving you.
Do you and/or your readers think that this qualifies as a tithe?
Thank you for your site.
Anonymous
What a great set of comments! We are also a family that tithes - even when we were unemployed we gave tithe on whatever came in. God certainly can bless us when we are giving to Him our very best. The Old Testament is where you find the concept of 10%, but when you look at the New Testament there is a little difference (see the widow!). When we have Jesus, He wants ALL OF US. That means money, time, talent. I've learned to pray and listen to His leading. Tithing is certainly a way to give "the very best" (or first fruits)of ourselves, but you must be doing it in faith-not simply as an outward show. I don't think anyone here is trying to guilt anyone into tithing, but I just want anyone who might be thinking LEGALISM to know that if you pray and do what God leads you to do, then that is OK. If tithing is challenging to you, then pray and trust God to tell you what He expects of you. When we decided God was telling us to tithe, we were newly married and quite poor. We started by giving about 4% and then each year we went up until we made it to 10%. It just seemed "easier" for us to do it that way. Give however God leads you and you will be blessed - just listen to His leading!
Thank you for your budget as well as all of the other good information that you have given us! As a born again believer, God expects us to give tithes and offerings. We tithe faithfully. There were times, though, when we thought we couldn't. It was at those times that an unexpected or higher bill, or car repair, or something like that happened. Amazingly it cost right about the amount of tithe that we had robbed God of. I believe that if a person that knows he should tithe and does not, then God will take what is His. I would much rather give to the Lord than be chastised.
tawra-
Thanks for sharing-
Some questions:
I didn't see a category for health insurance or dental fees, or eye exams. Where do they fit?
Any suggestions on handling the tremendous increase in cost of living when income isn't keeping up?
For example, we live in Maryland and the state has deregulated electicity in the past year and a half which means our costs have went up around 80% with no increase in usage. We have cut out as much as we can. This has also increased food costs since businesses have incurred the increased rates as well.
Then there is heating oil. Our costs have went up @ 30% in a year.
Gas prices have went up over 100% in the last year, which has also effected food prices. I am not buying any more food, sometimes less than the year before and my costs have went up consistently over the past year.
Some examples-
Milk: up $1
Eggs: up $.50
Tortilla shells: up $.20
Grapes: up $.50/lb
Bananas: up $.10/lb
This is at our local discount store, not a major grocery chain.
Needless to say, my husband is not receiving raises to match these cost of living increases.
BTW We do tithe as well as serve faithfully in our church and community. The Lord does meet our basic needs, but we can't seem to catch up or move ahead. Our oldest child is 3 years away from graduating high school.
Desiring to be faithful,
shelly
Wow!
I am going to try and answer as many of the questions as I can.
"Just wanted to know what you think about (tithing) time."
I think that you should give your time but not as a replacement for your tithes and offerings. The Bible does not say give 10% of your time, it says to give 10% of your income.
"I don't tithe, but do pay 15% of my gross income towards my parents support. The commandments say to honor thy father and thy mother, so that you may enjoy long life in the land which the LORD your God is giving you. Do you and/or your readers think that this qualifies as a tithe?"
No, you are to honor your mother and father AND give your tithes. It doesn't give a choice.
Once again, these are just excuses to not do what God asks us to do. The truth is if you don't give God his 10% then the Bible says you won't receive all the blessings he has for us.
If you feel you really can't tithe then start praying for God to provide your needs after you give him your first 10%. It's a matter of faith. The Bibles says to test and see what happens.
Malachi 3:10
Bring the whole tithe into the storehouse, that there may be food in my house. Test me in this," says the LORD Almighty, "and see if I will not throw open the floodgates of heaven and pour out so much blessing that you will not have room enough for it.
Stop acting as if God can't do it. Stop being afraid. Have some faith that if you give your 10% then he WILL take care of you. He always does!
"I didn't see a category for health insurance or dental fees, or eye exams. Where do they fit?"
Those are on a "faith" basis right now. We are looking into catastrophic insurance with a Flexible Spending Plan. We hope in a month or two to be able to have those.
"Any suggestions on handling the tremendous increase in cost of living when income isn't keeping up?"
Yes, you just have to cut everything out that you can or earn more. You also need to get some perspective. Yes, groceries have gone up a lot this year but it has only put a dent of about $50-$100 a month. That's not that much considering how full the restaurant parking lots are. That's only 1-3 meals eaten out. That's one cable bill or one cell phone bill a month.
As for other things like heat and air. You will just have to set your heat on 66 and air on 78-80. Our heat was on 66 all winter. We work at home and yes, it's chilly but we put on a sweater.
The truth is prices are going up but people don't want to give up the fun stuff or extras to pay for it. I'm not saying you believe that but for those others who have asked the same question that is the way it is but they don't want to see it.
Also a side note to everyone, even though prices are going up we aren't in a depression. This isn't like the 1920's. Stop spending now and get out of debt so if there is another depression you won't be hit so hard and can take care of your family.
Tawra
Thanks for posting your budget. It's a really brave thing to open this part of yourself up to the world for scrutiny. I was raised in a family where you don't talk about money because it's just not polite, and so I have great respect for people who are open about their finances, especially in order to assist others.
We are also a tithe and offering paying family, and always have been, and we have been greatly blessed. God has never let us down, but sometimes we have let ourselves down (and Him) by not being wise stewards.
Your budget looks quite a bit like mine, with some exceptions. We're blessed to have a very, very low mortgage--under $520 a month including taxes and insurance. While our home isn't fancy, it is comfortable and sufficient for our needs.
There is a lot less wiggle room now that everything seems to be increasing in price. It would be one thing if it were just gas prices going up, or just grocery prices, but it's groceries AND gas AND utilities AND property taxes all going up at once. And this is on the heels of my husband taking a different job to accomodate his graduate school schedule, which entailed a $6000 a year pay cut and completely eliminated our benefits. We have 3 small children, and we pay out of pocket for health insurance for "just in case"--$201 a month with a $10,000 deductible (yes, with four zeroes) and an HSA. That's a lot for such a meager plan. But we are blessed with good health, and we prefer to use health insurance like car insurance--We pay for oil changes, tire rotations, and little dings, and insurance picks up the tab for major accidents. Likewise, we pay out of pocket for physicals and colds and cuts, and insurance picks up the tab for emergency appendectomies and broken legs. I know that you have a lot of health issues, and I hope you are able to find an affordable plan that will cover your needs.
I really enjoy your website, your books, and your newsletters. They are great encouragement for staying out of debt and being a wise steward of our blessings.
Thanks and God bless!
Diane
Hi everyone! Great discussion on tithing.
I just wanted to add some information on insurance for you all. Every state has a state sponsored insurance program for those who would normally "fall through the cracks." This means pretty low income, but a bit too much to qualify for medicaid. These are VERY reasonable (in our state it costs $75.00 a month for a family--unfortunately, this is still too much for us right now, but we're working on it). You can check into it by doing a search for your state.
Jean
Based on your budget, it appears you use every last cent, what about money to a savings account? I saw many questions about Retirement accounts...etc, but nothing about a savings account (Money Market...etc) that has a decent rate. Do all of the other sub-categories, like house repairs, end up in Savings?
On tithing-our pastor has taught that this is the ONLY instruction in the Bible that says "Test me on this"-God feels so strongly about it that He gives us permission to test Him by tithing and trusting and seeing for ourselves that He WILL pour out His blessings. I am in a situation now that has me walking completely by faith, and I am excited to see what He has in store.
On health-our city in Texas has a clinic run by volunteer doctors, nurses, dentists, and eye doctors where any person ages 16-65 can go for free health care as long as they are working full time and can prove it. It's at least a great blessing to that group of folks who often do without health care. Ours is sponsored by a church in our area; you might do some checking in your areas.
On tithing-our pastor has taught that this is the ONLY instruction in the Bible that says "Test me on this"-God feels so strongly about it that He gives us permission to test Him by tithing and trusting and seeing for ourselves that He WILL pour out His blessings. I am in a situation now that has me walking completely by faith, and I am excited to see what He has in store.
On health-our city in Texas has a clinic run by volunteer doctors, nurses, dentists, and eye doctors where any person ages 16-65 can go for free health care as long as they are working full time and can prove it. It's at least a great blessing to that group of folks who often do without health care. Ours is sponsored by a church in our area; you might do some checking in your areas.
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