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Our small family of three has been living a budgeted lifestyle for just about a year now, and while we’ve made great strides, we still have a LONG way to go. We’ve learned many lessons along the way about each other and ourselves, about finances, and about what’s really important. We've also learned what we'd like to teach our child(ren) about living with financial freedom, so they avoid the same mistakes R and I have made. I’d like to chronicle for you our journey, starting at the beginning and bringing you to now. My hope for this blog is that you find comfort that you’re not the only one struggling financially, that you learn some lessons from me that can be applied to your situation, and that you are able to find financial peace and freedom. That’s our ultimate goal – financial peace and freedom.

Monday, June 27, 2011

The Beginning of the End…

To get an idea of why we decided it was time to live a truly budgeted lifestyle, I need to back up 2 years – to the beginning of my pregnancy with B. We’d been trying to get pregnant for a year to no avail. We were on our last cycle of trying before getting checked out by doctors. Then R lost his job. Devastating. Luckily, he qualified for unemployment pay and his 401K plan was too small to roll over to an IRA so it cashed out to us, so we weren’t in real trouble yet (or so we thought). We figured we’d set aside what we thought we’d need to pay the remaining taxes owed on the 401K disbursement and use the rest to pay off chunks of debt and hold in reserves if we need it. That was a Friday. Over the weekend, we talked about how I didn’t think I was pregnant this cycle, and it would be a good idea to put having a baby on the back burner until we figured out what was next. The next Friday, I got my BFP (big fat positive). Talk about a BIG surprise!
Excitement, relief, and then fear – mostly of the unknown:
²      How long with R be unemployed?
²      How will we afford my maternity leave (my company didn’t have a paid maternity leave benefit)?
²      How will we afford my pregnancy and birth care (birthed out of hospital with midwives – not easily covered by insurance)?
²      How will we afford everything we need for this baby?
²      If R is unemployed long-term (thank you economy), will his unemployment still come in?

But my excitement overshadowed all these worries and questions, and R’s reassurance that our finances were fine (he primarily handled the finances until last year) put me at ease. Little did I know we lived in a house of cards, waiting for one to slip…

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