Debt negotiation (Page 2)

You guys are forgetting to add in his debt other than student loans - that can easily add up to more than $1,000 a month.

I'm going to sound a little harsh here, but something's not making sense. We're in the same salary range, we have a similar house note and car note, maybe not as much other debt, but we're putting three kids through private school and still doing just fine.

Sounds like you guys need to cut back on the lifestyle.

Call some of these folks you have contractual obligations to.  I'm guessing this is the cable company, cell phone company?  They'll be better served to let you reduce to a cheaper plan than to start missing payments.  Be honest, tell them you're crunched, and see what it does.

You should not be eating out at all.  I grocery shop for 5 and am typically in the $450-500/month range.   It makes a really big difference when you eat out.

If you only pay $600/month for daycare, is your wife not working FT?  Can she increase hours and contribute a little more to the pot? 

One more thing.  I'm sensing from the way you're talking that you haven't ever taken a really hard look at what comes in and what goes out - you're just paying it as it goes, and always feeling behind. 

Sit down and add up all your expenditures and all your income.  Look at what you think you spend.  Then for one month, take every receipt that you get and stack it up in a corner, and you'll be able to see what you really spend, and where.  Once you have that knowledge, you'll be able to make changes.  Until you know it, there's always going to be some reason that you can't do this, that, or the other. 

anyway, FWIW, I have spent the last month getting my families finances organized. Going over all the little details and re-arranging just about every financial obligation. The bottom line is that you need to have a feel for what is coming in vs what is going out. A lot of times the balance is off. What you need to do is restore that balance, and you will get into a better situation fairly quickly.

One thing I just did.. cancel long distance on the land line. That saves over 30 dollars per month. Now the rule is call LD on cell phone only, and only when that is free.. e.g. in network, and nights / weekends.

These days, even upper middle class income families are feeling the squeeze. I feel nickle and dimed to the point of extreme frustration. That's basically why we are headed into a recession. Anyway, it's my turn to fight back, and it should be yours as well.