Thanks for the support L.2Fly.

 

I am just finishing up my first year at a national airline. We have two small children and I did not want my wife to have to go back to work. We started by scrutinizing our monthly budget. Suprisingly we were able to easily save at least $200 a month. We spoke with our insurance agent and switched home and auto insurance. We switched our satellite/internet/phone to a cheaper cable package bundled with internet and phone that had a 1year promo package, we cut out eating out, and found cheaper places to shop. Finally we had saved up a little and then had a HELOC for any unexpected expenses. It has worked out okay. Only 47 days, 4 hours, and 28 minutes left until second year pay, but who's counting! Good luck!

 

Road/Bug,

I'll bite. Yes. Hourly (in the 121 world) is based upon flight hours - push back for departure to parking at the gate after arrival (for the most part.) There are some expcetions to this, such as Southwest Airlines its' pays pilots according to "trips" which equal a specific leg from Dallas to Houston (various trips are then paid at a ratio to this baseline) but for the the majority, you get paid for the time you fly and you are then typically guaranteed a minimum number of hours of pay per month, regardless if you fly them or not. (e.g. your guar. is 70 hours. You fly 63, you get paid for 70, but if you fly 75 you get 75 (w/some airlines paying some sort of overtime for over guarantee, etc?)

Hope that helps?

PS - BTW, Road if you're waiting for weather and you've already left the gate and out on the tarmac somewhere, that's flight hour pay too, but if you're weather delayed in the crew lounge, it's not! Per diem is all time at the airport or at work (on the road, etc) but it's typically only a few bucks an hour (500-100 additional month) to cover meals, lattes, etc.!!!

 

cool------------

 

Yea, I think we will end up doing that. (if I get the long awaited call) Congrats on the first year!
I did find out that Ramen noodles and Peanut butter and jelly can actually sustain life.

 

Hey Firedup,

Do you have a pension that you can borrow against? That way you don't end up putting you're house on the chopping block if it all goes pear shaped? Also,its not really a selling market right now but you may also find a way to "rent" the house out for a bit (to cover the mortgage) and then rent an apt in domicile for the first year or two and when the "big bucks" roll in you can go back to it. I would think that giving up a property for a year of losing half of your current salary may not be the best option. Personally, I'd keep the house and try really really hard to find a way to "tough it out" the first year, low/no interest credit card for a year some alternative to a HELOC or selling. I wouldn;t sell for the sake of a year in this market! FWIW. Good luck.

BTW - I know you're not a fan of daycare BUT, for 1 year if your wife can earn $40,000 vs. daycare (or a nanny) that will cost say <$20,000 then I'd say do that, but if your wife working vs. the kids daycare is a wash economically then, by all means, certainly keep them at home, watch free network TV for a year, use your neighbors Wi-Fi, drink 7-11 coffee vs. Starbucks and after 12 months. At least at the end of it all, you still have the house and back to some "normalcy."

PS, you have any vehicles you can trade down for? Car payments you can get rid of perhaps, another big drain for most!?

 

you can play the no interest rate credit card shuffle. just got one in the mail for no interest on balance transfers and purchases until june 09.

if you are going to delta stay away from the 767. it sounds sexy but you will **** a truck load of cash away over there on food and beer. the dollar is worthless.

substitute teacher on your days off. if you have kids in school you will only be gone while they are but I'm assuming they are still young.

just remember when it's contract time to make 1st year pay livable. dues paying should be overwith when you get to a major.

drop cable $50 ($600 savings)
drop home phone $50 (if you both have cell phones $600 savings)
bag lunch first day of every trip and bring snacks with you. you'll be surprised what you save.

 

Great Ideas, Thanks. I own both my cars, and have no payments on them. Very little on the pension unfortunately....thus moving on! but you have a good point about the house. I am in the process of crunching some numbers and seeing what can be worked out. I need to sit down with my wife and see about her working some. maybe something out of the house if nothing else. We have not ruled baby sitters out completely, but a day care is not an option at this point. besides, they are WAYYY to expensive in my area. (a mortgage payment worth)
Hey Eric, my kids include a 2 year old and a newborn. another reason my wife wants to stay home.

 

Thanks guys, I really appreciate all the good ideas! Any more would be welcomed. I will be sure to let y'all know what happens.

 

I'll second the 0% interest credit card thing, only use it for things you absolutely need. credit cards = Unsecured debt.

VS HOLOC = Secured debt.

Some things you help you out when budgeting: Check with your utility companies see if they have a 'budget plan' - Basically your bill in the same every month for the year, instead of going up and down. This will help you budget.

Drop the cable TV. I know we probably can't live without the internet..but there is always the neighbors wireless :P.

Good luck!