Many families run on a two-income budget these days, and stress their way through each week worrying about bills, their children, missed family time and the like. What they don’t realize is that both parents working outside the home could be costing them money, and running them deeper into debt. Before deciding to take a job working outside the home, most people look at how much money they will be adding to their income each week. Let’s make an example of Jill and Dan. Dan works as a truck mechanic from 10-6 Monday thru Friday, and makes a fairly good income of $2,200 a month. He and Jill have three kids, ages 1,7 and 9, and money is tight. Jill gets an opportunity to take a part-time receptionist j Mis Sold PPI ob at a law firm. The position is 10-6 Monday, Wednesday and Fridays for $12 per hour, which would add an additional income of roughly $1,000 per month after taxes. That sounds like a lot of money, especially for only part time, until you realize Jill is going to have expenses. The job is on the other side of town from Dan’s, so carpooling is not an option. Also, Jill and Dan have no family nearby to take some of the childcare load, so that is another concern. Payments on a second car are at least $200 per month. Chiseling away at that $1,000 pretty quick, isn’t it? Now add in the full-coverage insurance for the second car ($100) and gasoline ($100 – conservative) and you are down $700 out of that $1,000.
