Financial Tips for Stay at Home Moms: How to Make It Work

[mandydollie]

Hi everyone~

I'm seriously considering quitting my full-time job and becoming a stay at home mom. For those of you who are SAHM's how do you make it work financially?

 

[jenniferlynne]

Babysitting right now, but getting ready to quit that and work a part time 3rd shift at Home Depot.

 

[dianevill]

I work from 5-7 am at my aunt's coffee shop during the week. It gives me a little money, free coffee, and adult conversation. I get home at 7:15 and my DH leaves for work. I also deliver lunches for her to local businesses a few days a week as needed. Right now, it's perfect!

 

[nicki25]

I have been a stay at home mom for 7 1/2 years. It was more important to us for me to be home than the paycheck. Of course, I did start selling PC once I was a SAHM (I liked the idea of a little extra money). My son is now 7 and my daughter 5 and this year I started subing in Food Service in their school district. I am hoping to get a full time job next year in the schools.

 

[purrbal]

You need to figure out how much of your income you actually need. For us we needed my income which is why I started with PC in hope to supplement. Part of me wishes I would have started way before I had kids to have it all along then have a good business built up but HIND SIGHT... in the mean time we are using our tax money to supplement our income in hopes that will be all we need, not sure what we will do next year. However I need to learn to budget and not use anything else if that makes sense.

 

[DMB75]

My husband has been a stay-at-home dad for about 6 years. We do fine with only one person working in the family.

 

[mandydollie]

I'm thinking that if I quit my full time job that I would do daycare in our home for a few kids. That should supplement our income along with my PC business. Things would be tight, but I would also be saving gas money and the cost of my own personal daycare.

 

[Chef Michelle D]

My son is 8 now and in school but when I first had him I did daycare out of my house. In Massachusetts you have to be licenced by the state to do daycare so I got licenced while I was still working full time so I was ready once my son was born. I closed my daycare 2 years ago, and now I work school hours in my friends daycare as an assistant so I can be home after school for my son.

 

[cmdtrgd]

Amanda - make sure you look into your state's or local govt's requirements for in home day care. It could be that if you have less than, say, 5 kids, you don't have to be licensed or have the inspectors come out. I dunno. I just don't want you to start it and have to stop.

 

[mandydollie]

In Iowa if you have more than 5 you have to be registered. I wouldn't want any more than that anyway (at least not until I get a bigger house).

 

[cmdtrgd]

I could be wrong, but I believe it was Jenniferlynne who said that she was so tired after a day of day care in her home that she couldn't/didn't want to clean up. I don't have kids and I don't have or work in a day care. I just can't imagine being able to make phone calls for PC with kids screaming in the background. See what you and your hubby can go without and see what that adds up to. Lunches out and morning coffee on the go can really add up!

 

[ChefLisa]

I am a Pampered Chef Kitchen Consultant! Well, actually a Director now.

I worked fulltime until August of 2005. That is when I quit the corporate world (came back from National Conference and did not want to go back). I worked as a Consultant part time (more like Hobbyist) until then. My husband and I basically determined the minimum I would need to make with my Pampered Chef business in order for us to make it work. At first I missed the mark and became a little scared I would have to go back. However, I decided I really did not want that to happen so I picked up my business. So now I make sure I work my business consistently and make that amount every month. The 'pressure' for success catipulted me to Directorship.

I love being home with my little one and being here when the other two get back from school each day!

Lisa

 

[mandydollie]

I wish that I could find some sort of job that i could do at home that would allow me to somewhat supplement our income. I'm so tired of working for someone else. I haven't gotten a raise in abotu 2 years and i'm the only woman in my office...and it's construction so i take a lot of grief being a woman in the office. Just tired and burnt out.

 

[Jennie4PC]

I am a SAHM and things have just worked out for us I know that might sound cheesey but I was so scared to quit working but I didnt want to pay a babysitter for 2 kids. Even now it doesnt work out on paper when we figure everything out but in the end it always does. We do not us my PC income to help with any of the bills. Good luck with your decision

 

[cmdtrgd]

I wish that I could find some sort of job that i could do at home that would allow me to somewhat supplement our income. I'm so tired of working for someone else. I haven't gotten a raise in abotu 2 years and i'm the only woman in my office...and it's construction so i take a lot of grief being a woman in the office. Just tired and burnt out.

It sounds like you are looking for something fun to do but a way to earn some money. I have this great opportunity...have you ever heard of The Pamperd Chef?








sorry...had to be a smarta$$ about it!

 

[mandydollie]

ha ha!!! I want to make my PC business EXPLODE this year and at the same time add to our family (hopefully soon) and trying to figure out how it can all work. Scared to leave the security of a full time job, but HATE sitting here all day disliking what I do!

 

[cmdtrgd]

Can you decrease your hours at work gradually and increase your PC at the same time?

 

[mandydollie]

very possible... but here's the problemFor example... i was gone on Thursday and Friday of last week. Back today and my desk was packed with stuff. I don't know if they would let me cut back to part time without having to hire someone else to answer phones, etc. I'm the only office person here so I do reception duties along with Payroll, Accounts Payable, Billings, typing, and anything else that comes up.

 

[cmdtrgd]

Let them know that unless you get a raise for x amount, then you need to cut it down to part-time and hire someone, even a temp, to cover the rest of your hours. Not getting a raise for that long is unacceptable!

 

[cmdtrgd]

Oh, and ask them if they would be interested in hosting a PC party

 

[mandydollie]

they have told me it's because i'm maxed out for what i do. I don't know if I can argue with them. I make pretty good money here. $18/hour and that's more than most office managers make in this area!

 

[mandydollie]

They actually bought PC gifts for our company christmas party. Enough to make a catalog show out of it.

 

[luvs2sellit]

I was a stay at home mom for 12 years. I just went back to work in October. I kept teachers children in my home. I was a licensed childcare provider and I kept the maximum which is 6 in GA. It was great income for my family. It is not easy but if you are organized and run it like a business you will do well. My kids always had someone at the house to play with, it supplemented our income and it was a blessing to the families to have their children well taken care of. PM me if you want any information. Once my youngest started to preschool I got my teaching credentials and went on to teach preschool in private school for 3 years.

 

[SilverCeladon]

I'm a SAHM. I worked until my son was born and haven't been back. I started PC so I can get some ME time!

Financially you just make it work. I'm not in a lot of debt so that helps. My paychecks really just went to shopping and buying what I wanted. Now I have to curb what I buy.

 

[caritok]

I know this is obvious, but when you consider what you spend on lunches, clothes, gas for driving to and from work and all those other hidden expenses...you really have to make a lot to make it worth working. I thought about going back to work, but I would have to make a lot to make it worth it to me. The childcare (well, I have three kids), plus my clothes for a job, the car, the gas, the food....well, it wasn't worth it.

I love being a stay at home mom. Some days I really need a break, and that is when I get motivated to schedule shows. That is my "grown up" time. I desperately need that.

I would be cautious of starting a day care or something like that, unless you just really have a love for it. Part of the joy of being a SAHM is that I can do things with my kids (go to the museum, aquarium, mom's groups). If I had a daycare, I would be tied down and unable to do the things I really want to do.

 

[luvs2sellit]

Oh yea, definetely try and get out of debt as best as you can. We just owe for house and car. We use our debit card for almost everything and have a American Express for emergencies and larger purchases so we can get rewards.

 

[cookingwithlove]

I am a SAHM to 2 children. My son is just over 3 and my daughter is 18 months. It was a no brainer for us, I knew I was going to be home when I was pregnant with our son. We went from close to $160K/year to just under $60K the first year I was home. I cannot lie to you, it has been a bit tough, but staying home far out weighs the lack of money. We were virtually debt free except for the house and 1 car. We were able to pay off the car quickly. We just go without some things. Like going out to fancy restuarants (hard to do with little kids anyway) and no more Ann Taylor, LOL!

I started to sell PC after our son turned 1, mostly to get out of the house to meet some more women and not talk about diapers. I have really picked up my business this year and hoping to make it more profitable.

My husband is in outside sales and has picked up some good lines and is making more money than when I first came home, but we still need to watch our pennies.

So the long end of my story is.... If you can figure out a way to do it, do it. Nobody says when they are old, "I wish I worked more" Your children grow up too fast and you can always work when they are grown!

Good luck!

 

[Rebeccascabinet]

I have two boys (9 & 6) and have been a SAHM for 10 years.
I say:
1. Budget
2. Stick to budget
3. Live within your means. It's hard, for the first 5 years we had one car! But, I was home with my children.
4. Learn to be content with where you are at and with what you have.

 

[jrstephens]

AL is hopefully about to vote teachers a 7% raise and when they do not that I hoping to be able to only work 3 days a week. I hope by the time we decide to have baby #2 I can quit completely.

I think I could do it now. My husband has not gotten on the same page with me yet! We would have to do some majoy penny pinching to do it though and we were just told that our house needs some major work and that will have a big effect on it. We have to get some estimates for it and I seeing dread the cost.

My hat is off to anyone that gets to stay home with their kids!!!

 

[Chef Kearns]

I don't know. I am a SAHM due to situation more than choice. Most days I just want to run away. However, if I went to work our family just would cease to function. I know we would eat out more during the week because I would be too exhausted to cook. We wouldn't do fun stuff with the family because I am the one that schedules and plans those things and I think I would just be fried!

There are days that I wish I worked and my husband stayed at home, but I could not make as much money as him starting out. I haven't worked (EVER). I worked small stuff like cashier at Kwik-Lube or Data Entry, stuff like that. Since I graduated with my bachelor's in '03 I haven't worked. I dream of editing from home, but haven't pursued it at all.

I know that with 4 kiddos whatever "extra" money my income would bring in would be just going right back out the window with before school care, after school care and daycare for the girls. That crap is EXPENSIVE!! Then the clothing + dry cleaning, gas (which is $2.39 here!!!), and meals just would eat up anything else or put us in the hole.

I am not a huge proponent of 2 income households, but you all need to do what is best for your OWN family. I don't think it has to be mom that stays home, either. It depends on job satisfaction and salary. If you love your job and hubby hates his and your family could survive on your salary alone then it makes sense for you to continue to work. A lot of Americans think they need to have 2 incomes, but they haven't really looked at the numbers of it. OR they are just too attached to the material things 2 incomes affords them.

 

[TwinGirlsMom]

I have two boys (9 & 6) and have been a SAHM for 10 years.
I say:
1. Budget
2. Stick to budget
3. Live within your means. It's hard, for the first 5 years we had one car! But, I was home with my children.
4. Learn to be content with where you are at and with what you have.

The above is excellent advice, and that is it in a nutshell!
I am also a SAHM and former 1st grade teacher. We could live a lot better with my second teacher income but for now we are sacrificing that so I can be with them every day.

 

[h_simcox]

I have been a SAHM for 5 years. We have 4 kids and my DH is in the ARMY so he leaves us a lot. It makes no since working when I cannot relay on him to help and all my $$ would go to childcare. At first it was hard! I did babysitting and took a part time job in my church daycare- I could take the kids with me for that job! I love kids and this life was good but sometimes I felt I could not do anything I wanted since I had to stay at the house with the kids I babysat all day and I was at the church 3 nights a week and Sundays. Now add in PC partys and tell me where my ME time was!Now, I have a foster kid living with us. He is a really good boy! I am helping out someone and that makes me feel good, and the kids are getting a great learning experience! To boot, I get more money having him live here then I did with my part time job or babysitting. This is not the reason we choose foster care but it sure dose help out!There are draw backs for every situation. You really just need to sit down and see what is necessary. Do you have to have high speed internet? Do you have to have 200 cable channels? Ect... Figure out what is important to you and what you can live without or with cutting back on. What is all comes down to is how important it is to you to be a SAHM. It is not for everybody! There are days I dream of being an "adult" again. But for me it is the right choice and very rewarding! (I am even crazy enough to home school 2 of the kids HEHE).Pray, plan, budget, and be prepared! Enough said!

 

[pcheftammy]

We decided that I would stay home before we even got pregnant. It has been tough at times. Our daughter is now two and is learning to be a toddler really well. She is into spitting and everything is "NO". I was working a part time job at a restaurant. I was a full time pastry chef, before a mom. The hours were very flexible, so it worked. Then business declined and they didn't need a pastry chef anymore i.e. couldn't afford an extra person. So now I just do this and help out another restaurant around different holidays and wine dinners. I have only been with PC less than a year and business is getting better and better. It took me a while to get going, but not for a lack of trying. We budget and my husband makes sure we stick to it. We just started meeting with a financial planner also, so we can plan for retirement and college for Kira. There is not much me time. My father in law takes the baby almost once a week for a few hours. And my husband and I go on dates once every 3 weeks and she stays overnight by her grandparents. Family is a wonderful thing.

 

[MicheleC]

Wendy, It sounds like our situations were similar. When we made the decision for me to stay home I was making about 65% of our income as a family so it was quite a chunk. It has been amazing the way God has blessed us in this decision and how things just seem to happen.

Rebecca has great advice about the budgeting, living in your means and being content. We have just made adjustments in our living. We don't go out anymore. We are making our cars last rather than replacing and staying under warranty. We take our vacations by camping vs. traveling long distance. We really just budget everything. Using cash for food has been a great tool for us as that is an area that can get out of hand. I have found I have more time to make better financial decisions and look for sales, plan meals, wardrobe purchases etc. I have found that the kids are much more content with what they have and have become more price conscious which is a great benefit.

If you have bookkeeping/accounting skills which it sounds like you do then network about finding some part-time work you can do from your home or a CPA who may need some additional assistance.

Don't forget that you may find yourselves in a lower income tax bracket as well which can save money.

 

[jenf]

One thing I can recommend is to try to live on only your husband's salary for a few months. Save as much of your salary as you can. Having money is savings for unexpected emergencies has been a huge help for us. Also, expect your life to dramatically change. We don't each out much anymore, not many new clothes, etc. The trade off of being home with my daughter every day is so worth it, but I can see where it isn't for everyone. Good luck with whatever you decide.

 

[jenniferlynne]

I'm thinking that if I quit my full time job that I would do daycare in our home for a few kids. That should supplement our income along with my PC business. Things would be tight, but I would also be saving gas money and the cost of my own personal daycare.

Just please, please, please don't make the same mistake that I did. Make sure you have contracts up front for the parents to sign. Make sure you are strict about what day they are to pay (I would make them pay on Monday so you are paid in advance). Allow them two weeks a year off where they don't have to pay, but no more than that. If their kids don't show up, too bad. They have to pay you or lose their spot. Make sure you make it very plain about your rule on sick kids. This has been a major problem for me. Me and my family have been so sick this year (I'm sick now for like the 7th or 8th time just since September). One of the families I babysit for doesn't take me babysitting as a serious job. She usually pays me at the end of the week, but has forgotten before. She always tries to get out of paying me for a full week if her kids don't come one day. She is always trying to take advantage of me. It has forced me to decide to give her the boot and go and get a part time job in the evenings. I can't take the stress anymore of her or her kids. They are huge trouble makers.

 

[sillylittlechef]

I am a SAHM. I have 3 children, but made the decision way before then to stay home. Somedays I am so jealous of my DH because he gets to leave everyday. HE complains of his hour and a half drive to work, where I would love a full hour and a half of only my thoughts in my head...no kids singing or crying or fighting....just me humming peacefully along with the music (or a PC CD...) But still, in the end, I wouldn't really go back to work. I love seeing all the little changes in my children that I have to point out to my DH because he doesn't see it.
Amanda-if you have a desire to be a stay at home mom-then you need to just do it or you might regret it later. Losing $18 an hour will be tough, and your husbands job def. needs to be secure. you may find that all you really need is an extra few hundred dollars a month...that's easy---do 2-3 extra PC shows. Just think of the extra time you will have to work your business.

 

[mandydollie]

Scott's job is very secure. He's an assistant director of a big grocery chain here in the midwest. He's been with the company for 16 years and the next step is to have his own store. When that happens he's looking at possibly making over $100k per year. Then it's a no brainer. Things may be tight for awhile, but I think the benefits of being home with my kids would far outweight not being able to go out to eat every day for lunch.I've been thinking about this a lot over night. I think this is my plan. Continue to work until baby comes along... pay down as much as we can right now so that we are in a better situation in a year or so from now. Then I can take the time off and be at home with them.

 

[rebeccastt]

Amanda,
You might want to look into medical transcribing....my mom did it for awhile and now I have a cousin who does it. She has three girls, works while they are napping or a night after they go to bed and makes good money. I know both of them did not have any medical experience before they started!

I am a SAHM too after quitting my teaching job. My husband is a teacher too. We just cut back on "frivolous" things, like Starbucks, clothes, dinners out, etc. It is SO worth it to be able to be at home with my son.

 

[mandydollie]

how do you go about doing medical transcription from home?

 

[tlmcunning]

Amanda - I have been a SAHM for the past 4 years. Before I quit my job my DH and I started living off of his income only for 6 months before I left my job. This gave us a good understanding of where we needed to reduce our spending. Good luck with your decision and I am sure that the two of you will make the best choice for your situation.

Tracy

 

[rebeccastt]

Amanda,
I'll do a little research on the medical transcribing and get back to you.

 

[mandydollie]

Thanks Rebecca