This crazy world has many mothers considering leaving their jobs to be stay at home moms. Our reasons for making this decision could vary, however we do seem to arrive there the same way. It is important to take a hard look at your lifestyle and determine, can we afford this, or does our current living standard prevent this goal? Our desire to be a stay at home mom could force us to re-align our priorities, and possibly sacrifice some of the comforts we love! Interestingly though, a question many of us fail to ask ourselves is "what does it cost me to go to work each day"? Your answer to that question could be a surprise. Find a sheet of paper and get ready to some math. You could be closer to achieving this goal than you think.
There are so many factors to look at, but I think of the following are the biggest. Day care expenses can be massive, costing some as much as $12,000 per kid. Add up your weekly total. Another thing to think about is your clothes. You don't just spend money on the obvious, but how much do spend on shoes, pantyhose, nails, make-up, dry cleaning, etc.
Food can add up quick. If you are anything like I was, it was all about going out to lunch each day. I needed the mental break to get away from the office and a nice lunch did the trick, but it also hit me in the pocket book daily. How much are you spending on lunch each day? What about the gourmet coffees and the late afternoon vending machine pick me ups? How often are you picking up dinner on the way home or going out to dinner because you are to tired to fix anything after a long day at work? Now add all of those up, what is your weekly cost?
What are spending on fuel each day? Your mileage adds up daily. High mileage causes the value of your vehicle to decrease. The more you drive the more maintenance is required on your car in the form of oil changes and tires. How much more are you paying for your car insurance as a result of going to work each day? Some insurance companies provide a discount for less driving, some even have insurance policies based on miles driven.
What tax bracket are you in? You may pay more tax from your additional income because it forces you into a higher tax bracket. Additionally, you could be missing certain tax breaks from your single income household status.
Ok, now add up your expenses and subtract that from your current income. Now how much do you make? Take the standard work year of 2,080 hours and divide it by your left over amount. Now what is your hourly rate? Is it still worth it to go to work at that rate? This can be an eye opening time, it was for me. It gave me the incentive I needed to transition to a stay at home mom.
There are so many factors to look at, but I think of the following are the biggest. Day care expenses can be massive, costing some as much as $12,000 per kid. Add up your weekly total. Another thing to think about is your clothes. You don't just spend money on the obvious, but how much do spend on shoes, pantyhose, nails, make-up, dry cleaning, etc.
Food can add up quick. If you are anything like I was, it was all about going out to lunch each day. I needed the mental break to get away from the office and a nice lunch did the trick, but it also hit me in the pocket book daily. How much are you spending on lunch each day? What about the gourmet coffees and the late afternoon vending machine pick me ups? How often are you picking up dinner on the way home or going out to dinner because you are to tired to fix anything after a long day at work? Now add all of those up, what is your weekly cost?
What are spending on fuel each day? Your mileage adds up daily. High mileage causes the value of your vehicle to decrease. The more you drive the more maintenance is required on your car in the form of oil changes and tires. How much more are you paying for your car insurance as a result of going to work each day? Some insurance companies provide a discount for less driving, some even have insurance policies based on miles driven.
What tax bracket are you in? You may pay more tax from your additional income because it forces you into a higher tax bracket. Additionally, you could be missing certain tax breaks from your single income household status.
Ok, now add up your expenses and subtract that from your current income. Now how much do you make? Take the standard work year of 2,080 hours and divide it by your left over amount. Now what is your hourly rate? Is it still worth it to go to work at that rate? This can be an eye opening time, it was for me. It gave me the incentive I needed to transition to a stay at home mom.
About the Author:
If staying home is your goal, it is Tracy Martin's desire to get you there. Her site is committed to showing you ways to save money and make money so you can stay home with your children.
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