How can I manage debt as a single mom with 3 kids on $4900/month?

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underwatertomato

New Member
I’m drowning in debt, and I know I HAVE to get out of it! I’m a single mom of 3—2 with special needs! I work full time and I’m looking for a 2nd job I can do at home. I’m a therapist and really don’t want a 2nd therapy job because of burnout, but it pays the most. I’ve cut all expenses except my daughter’s dance classes (which I will NOT cut because it’s her one thing that keeps her from having panic attacks for being the only child without special needs) and the kids’ Urban Air membership—which, honestly, I use it to get work done and get a break, and they won’t let me cancel! I’m just barely scraping by! I bring in $3800 with my job and $1100 in child support a month!

I’m getting a lump sum of my tax return plus back child support, and my hope is to pay down my Wells Fargo to $1300 to keep paying my minimum and pay the rest down,to avoid deferred interest! I want to put the rest on my CEFCU credit card, which would pay it down a lot! If there are any suggestions, I’m all ears!
 
You’re doing amazing! Lst year, we had the same debt: credit cards and individual debts. I did the same thing with my taxes, and I REGRET IT. What I found was that when I paid down those cards, I still struggled to get by and just racked them back up. Later in the year, I came into another sum not as much, but still good and ended up paying things that were monthly payments (couch, etc.). That opened up so much more in my monthly budget that I didn’t feel like I was drowning as much. We were then more open during the month, which made planning and paying down those credit cards so much easier.

Again, you can do whatever. But from lived experience, this helped us so much more, and I think it may help you out to have some breathing room moving forward to then plan more!
 
First, I’d figure out what 2 months of expenses adds up to. Don’t pay anything beyond minimum payments until you have that amount in savings. From there, I’d tackle Wells Fargo ASAP. It’s smaller than the one you mentioned, has a higher interest rate, and has deferred interest. The monthly payment is almost the same. After that, I’d do the furniture, because 39.99% is freakin’ insane. Tomorrow, call all your cards, tell them you’re going through a financial hardship,?and ask if they’ll give you a temporary lower interest rate. Ask for 12 months even 6 will make a huge difference. Even if only one or two go for it, it’s something.
 
I got a second job as caregiver for my younger daughter with autism. No one told me I could do this until I got a second job. I couldn't take it because I couldn't find her a caregiver. I live in PA.
 
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