Zack and Zoe had three children under the age of six. Zoe hoped to take time off work until their youngest child went off to school. How could they make it work?
First, they took steps to cut their spending:
- To save bank fees, they closed their personal accounts and opened one joint account
- Zoe cut her clothing budget, because she wouldn’t need new clothes for work
- Zack started to use public transit to get to work, so they could sell their second car and save on insurance, gas, and repairs
- They cut back eating out to a few times a month
- They planned to take less costly vacations, closer to home.
With these changes, they figured they’d be able to pay all their bills. Not only that, they also thought they could start saving for a bigger home. They knew they’d need it in the next couple of years as their family grew.
Remember: Not everyone wants or can afford to be a one-income family.
What feels right to you and your partner will depend on many factors, including your income and the amount of debt or wealth you already have. For many people, there are ways to make it work.
Content in this section is provided in partnership with Investor Education Fund, a non-profit organization founded and supported by the Ontario Securities Commission that provides unbiased and independent financial tools to help Canadians make better money decisions. To find out more, go to: GetSmarterAboutMoney.ca
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