Great video! I saw it coming…lean times. With three months to go until social security starts, we keep working hard at our jobs. I watch the grandkids and he works retail. To be prepared, I stocked the pantry with food and paper products and toiletries. We paid the mortgage and car payment one month ahead. (We share one car). We are living on a bare bones budget for three months. This video is encouraging! Take care🦋💗
I never bought second hand until I moved to a lovely little market town with the best charity shop ever. They have so many lovely things. It’s small but full of lovely clothes and small things for the home. My daughter has just moved to a flat in London and I bought her some of the most gorgeous dinner ware from there. She was thrilled as she is very environmentally conscious and so am I now. These things have a new lease of life in a lovely home with people who appreciate them. Could I afford to buy new? Yes I am fortunate that I could but this is so much more fun and exciting. Love your videos Dawn. Sending love from England.
You're a great steward of your money, no matter the amount. I think the most helpful way to live within your means is to remain debt-free or work hard to become debt-free. The second is to have a "scorched earth" budget. One that is the very least to sustain you. The most important way to achieve these is to be aware of your spending. Know where every penny is needed and where every penny is spent. Wonderful video. Love to all, Linda 💕
Thanks! A happy early Merry Christmas to you! Treat yourself. I am always trying to save money by making do, shopping my house, and shopping the thrift store for essentials. My best pants come from thrift stores. I am an odd size.
I was feeling a little down before I watched this video. No matter the topic you always cheer me up. That color is fantastic for you btw. Tomorrow my hubby begins retirement so Im excited to try some of my new money saving skills.
Hi Dawn, you are looking great. I like how you mentioned that you are always looking forward as to your expenses, so that nothing surprises you. What a fine point for people to follow. The more we can plan & save ahead of time for bills. The absolute better off we will be. Great tip. Thank you & have a nice day. 😊
My family of 6 lives off $44k/yr :) We save the rest of my husband army income and I look after our 4 young kiddos. We do have rent to pay but no car debts. But I do feel like the fact that I’m originally from a poor rural area overseas does make a difference. When I just came to the USA at the age of 25, I was convinced everyone was ultra rich or must be related to the kardashians or Hilton family😂
Oh, no! What a horrible comparison. You do very well to live on a portion of your income. Isn't housing a benefit in the Army? You also have great prices at the commissary and medical benefits. Small benefits for the service your husband provides!
@ so the housing allowance is just a part of the income. I calculate the rent we pay in our expenses. It’s not free at all. We do rent on the base ($2k/mo) which isn’t cheap but it saves on travel time (my husband likes to cycle to work for fitness) and utilities are included. The commissary is cheap but it’s very small here on ft Knox. Plus often they only have 1 cashier and the lines can be an hour long to checkout. So I try to only go there once a month to stock up on pantry items. I prefer not doing all my shopping there since I rather let young soldiers have the first choices. The medical part is great but for soldiers it’s a need. My husband has gotten injured many times during airborne jumps, deployments, trainings, etc. It’s so heavy on their bodies unfortunately.
Great video, Dawn! One way we have been able to save is by saving our change. We use the cash envelope system and everything (except bills) is paid using cash; any and all change goes into a piggy bank and when it gets full, we take it to the bank. You'd be surprised how quickly those pennies add up. We also sale shop, we have full freezers and pantries by shopping this way. We also buy most all of our clothes from thrift stores. We live on $20,000 a year and we have a wonderful, blessed life! Have an amazing day! 💕
Do you grow a lot of your own food too ? We garden and have many fruit trees. That has really helped supplement our food bill. I also make more dishes using chicken versus beef. Cheaper. And SO many different ways to cook chicken. 😊
You are so inspiring money Mom! Today the Lord reminded me of our vocation of poverty chastity and obedience. We live frugally on a 70k annual income which probably seems like a lot but we are committed to serving the poor and to the work of the Church with what God has blessed us with. Being frugal allows us to give generously to two single moms and to the homeless people we meet on the streets here in Denver. I pray God will make us more loving and sacrificially giving each day through His love and grace. God bless you Money mom today and always 💕😇🙏😇💕🙏
Great topic, Dawn! Like you, we purchased our home about 20 years ago. Not constantly selling and buying a bigger house has saved us so much money over the years ($100K?). We have two well-maintained, older cars, neither of which were purchased new, but in very good used condition. (2008 purchased in 2010 and 2014 purchased in 2021). The 2014 was cherry even though it was 7 years old! - Less than $40K miles on it and garage kept. We cook simple foods at home, sometimes dinner is just soup and sandwiches, sometimes I fix up a big pot of something with lots of leftovers to be used for lunches. I buy a lot of things used from eBay or the thrift store. Do we always skimp? NO. Absolutely not. My husband likes name brand soda. But, we do go on a nice country drive to a discount grocery store and purchase the smaller cans. They're $2 a box less there the the big W store and it's a lovely "date" on a pretty day. So, we pick up a few boxes at a time and since they're cans there's no worry about them losing their fizz. We do what we can to stretch a household income that's less than $48K.
I never earned $40 thousand in my life! One year I made $35 thousand by working a crazy amount of overtime while we were relocating and rewiring our computer center. $20 thousand was always a good year for us. When Social Security said I could retire on a hefty fraction of that and not have to work anymore, I jumped!
I buy clothes at rummage sales, not at Good Will or Salvation army. There is nice little thrift shops with nice clothing in them I go check out if I'm in that town. If i have change left over from grocery shopping I do put it in the red bucket this time of year though.
I have a semi limitation in budget cooking in that my daughter is a celiac. Flour, pasta for her, always expensive. We dont buy much packaged food, and I grow our vegetables and a lot of our fruit. Your creativity really shines when you stick to a budget
I’m so thankful I was able to buy my house at a good time. Even though I no longer have a mortgage, unfortunately taxes are extremely high here in New York City and so are utilities insurance etc
I like to think of frugality as an interesting journey and as you go down that path you're constantly finding new ways to save. The real trick is to find alternatives that are not only less expensive or preferably free but that are also better. Cooking at home from scratch is probably my favorite example as it's the best food available at the lowest price but there are others like buying used items that are better made than what's being sold new and things like making use of your local library system for music, movies, books, magazines, newspapers etc. It's all available rather quickly with a large selection and after you're done it goes right back to the library so you don't have to store it at your home. Then there's taking good care of what you've bought. After your coat comment I thought about my own winter coat and realized that it's almost 30 years old and still in good condition, ready for several more years of service. They just don't make them nearly as good these days. Much of what I own is like this, all in great shape and ready to be used at a moment's notice such as the tools I used to build my house and to work on cars from replacing breaks to rebuilding engines and everything in between. I would also add just enjoying the additional free time that's not spent constantly shopping much less working more hours to pay for it and the income taxes on those dollars. While cooking from scratch is my favorite example, the funniest is what you can do with your 1040 only because your spending is low. In about 3 weeks I'm going to calculate and execute a good sized Roth conversion that will be completely tax free because I use the form 8880 retirement saver's credit but bump up our tax free zone from the standard deduction and use that "headroom" to make the Roth conversion completely tax free. At the same time I'm making Roth contributions to qualify for the credit and I can lower our taxable income to make us eligible for the maximum saver's credit with tax deferred contributions if needed and I can even do those after the end of the year but before tax day as a final adjustment if I make a mistake in my calculations. Take note that this is only for 2024,2025 and 2026 as the Secure Act 2.0 ruins that saver's credit, turning it into a saver's "deposit" with Roth contributions no longer being eligible and you'll no longer be able to lower your taxable income to qualify for this specific calculation only along with a few other changes. Hopefully this horrible piece of tax law will be corrected before it takes effect. Over the past few days I've been trying to figure out alternatives but if I try to convert all of our tax deferred accounts to our Roths over the next 3 years we lose 30% to income taxes so I'll just continue going forward as I have been with the saver's deposit and making Roth conversions as I have been. I can no longer convert everything before full retirement age and each year starting in 2027 I'll get $6,000 in our IRAs (where I don't want it) thanks to the minimum contributions plus the government's "deposit". The good news is that I can use what's left in the IRAs at full retirement age to provide about 11 years of tax free income by staying below the standard deduction and if taxation on social security benefits ends this gets even better as I can spend it down tax free even faster. Alternatively (if/when they change the rules yet again) I could wait until age 75 and use those accounts to make qualified charitable donations with my required minimum distributions, something I want to do anyway. I'm confident in my ability to wriggle and twist my way through whatever comes. Cheers!
I live on 1400 to 1600 per month. That includes RE taxes and HO insurance. My home and vehicle are paid off. I cook at home, rarely eat out. Shop the sales and thrift stores. ❤
The cost of owning a pet has really gone up. I never really had to budget for their needs before; now I do. I don't buy fancy beds for them, because they're happy with old pillows and folded blankets. My cats are on very pricey prescription diets, but I can supplement with homemade recipes. (Vet approved) There's lots of online information for making your own pet toys, diy grooming, and obedience training . By far, the biggest expense is veterinary care. Some pet stores offer low cost vaccines and teeth cleaning. The Humane Society has basic care clinics for much less than traditional vets. In our area they have income requirements, about 70,000 or under per household. Pet insurance might be another option.
Obedience training at home is very doable. I know this, because every single one of my dogs has passed the Canine Good Citizen test, also known as the CGC. Except for my rescue who was 3 when I got him, every single dog of mine has passed this basic test before a year old. There are lots of videos explaining how to train for this test. Its full of skills every pet dog needs like sit, down and stay, but also heel, and accept grooming, accepting a friendly stranger, and more. Its also an excellent jumping off point into the wonderful world of dog sports. Beginner Obedience and Rally Novice are only a hop skip and a jump away and really increase the bond between dog and his person. This is available to ALL dogs. Purebred. Rescues without papers. Mixed breeds. Granted, my guys are all collies. They are eager to please and learn easily. But my stubborn little terrier did it too. All dogs come to enjoy training because it's one on one time
Most Sundays I cook a big meal and have friends over. Some are a few single guy friends of my husband. And they’ll take some leftovers home for later in the week. They don’t get home cooked meals. And they’ve helped us in pinches that we have had and I didn’t have to pay someone. I like our little community of like minded helpful people. 😊
Are your jobs kind of being self employed? In other words, do you set money aside for taxes that will pay into your social security someday ? I admire you Dawn ! You’re doing great ! Like us, we have a roof over our head, a couple of working vehicles and a freezer and pantry full of food. I’m happy about that 😊
Watch your expenditures, limit your food budget, water rationing if needed turn off extra lighting,consolidate car trips,pets are costly along with supplies,be frugal with purchases like gifts,coats, boots,shoes etc... Shop discount stores whenever possible. Share with family and niebors, cook at home whenever possible this way you limit unwanted additives to your food, better for your wellbeing! Turn your heat lower and wear sweaters to keep warm. Pray that life will get better ,and the good lord to provide for us!!
I'm late watching and haven't read all the comments. It is heartbreaking to hear how some live so close to financial disaster. I'm glad they're watching this channel to learn about a more frugal lifestyle.
Also, if you pay a bill in full, like your car insurance you don’t get the monthly fee and there may be a discount for paying in full. I saved $300 this year by doing that.
Dawn I hear ya, we live off of $40,000 a year as well debt free. It's become more difficult saving money since inflation has affected us for a few years now.
To save money i buy everything on sale or clearance, i only get what i need. We only plan to eat 1 meal out a week. Recently only ate out once every 2 weeks. If we do go out we get specials,lower priced items, and food we dont know how to make (curries, mediterranean or asian) but learning how to cook those now. Thank goodness for recipes on google and u tube. Bought house for $165,000 in 1998, now worth about a million (California). I make $42,000 and there are 2 of us. You can do it if you're careful.
Ive found that when you stick to a budget and limit what you will and wont buy it makes cooking more interesting. Anybody can spend $20 order a pizza. Its not a skill. Making a pizza from scratch? Maybe playing around a bit and using some homemade cheese and crust? It's an accomplishment and something to feel good about.
We live under our means and have 401k income every month, along with SS. We must be some of the lucky seniors because we don't feel poor at all. Like you, the house and property and vehicles are paid for and everything about the house and cars works. Things we could afford, we don't do, like vacations and luxuries.
Dawn, you mentioned you reduced protein content in your meals. How did your family respond to that, please? (I tried, but my husband was keenly attuned to less meat.)
I live off a LOT less than you do. In my working years, I made a lot more, especially in the later years. I've always been a saver, so I've always had savings to live off if needed. I had enough to live for 2 and a 1/2 years with no income at all, plus I had some medical and legal fees to pay. I know living on a bare bones budget all too well. It made me VERY thankful for the SS income I have now. I've always been content with what I do have, and thankful for it and I've always had what I needed. 2024 is the first time I've ever not had what I needed to live on. There was just not enough money for bills/needs. I shuffled funds around, robbed Peter to pay Paul... especially when I had to buy a washing machine , telephone, and 2 walls of basement water proofing. I got GREAT deals on all of that. Still, it left me pinching pennies even more. I've been living no-spend years now for about 4 years, which is why I was able to get through the year, but when those funds are gone, it takes a long time to get them back up again.
Co-signing for a loan is a definite no-no! There's a reason for that person needing a co, and I would never make someone's bad credit effect my good credit!
@larmstrong2302 I disagree with your comments..., in a way. I definitely get what you are saying about a person with bad credit though! I never give or co-sign to such a person, when MY good name or credit is on the line too! Let me also say... KNOW the person you are co-signing for! If that person is trustworthy, honest, reliable and dependable, then co-signing should not be an issue. When I was 19, (1986) and working at a Burger King, I needed a co-signer to buy a new car. I asked my mom. I believed in myself. She grilled me, and seemingly was reluctant, but co-signed. I paid it off myself. Her worries were not justified. If she didn't co-sign, then my life would be completely different today. Without a reliable vehicle, I couldn't have had reliable transportation to go to work, College, and my obligation with the Army National Guard during that time in my life. I did not want to have to make excuses to my boss, professors or the Army because I had to keep driving my unreliable vehicle! So, don't close the door about co-signing! Some people need support in this world to help them secure their futures!
You’re doing great! Just out of curiosity, is the $40k take home, or before taxes? You are absolutely correct that things like taxes, medical expenses and house payments can take up a huge portion of a medium to smaller income. As a single person, I live on about 32k a year take home, but my property taxes on a very modest home went up over 25% this year to about $4400. That was rough.
I co-signed my kids college loans because she has no credit otherwise. It gave her a much lower interest rate and we are helping her pay them. Thrilled to do this for her and I trust her implicitly.
Dawn, people tend to be savers or spenders, I don’t know it is like that, I’m a saver, and after working hard to save it’s really hard for me to spend.
Even if all 3 of you drove you could still share a car. That was normal until the 90s. Everyone having their own car is crazy to me. I get having 2 cars of one is the new one and one is 10years + old, and maybe you don’t drive that one much or far. Cars are one reason people are poorer than they used to be
I have a 21 year old car with 293,000 miles on it and a 13 year old car I’ve realized if I’m going to drive older cars I need to have a backup vehicle, and I started driving in the 70’s and both of my parents had their own car and my sister and I shared one, same with our friends 🤷♀️trying to share a car between 3 people with different work or school schedules would be a nightmare 😬
It seems like living off $40k would be easy with no house or car payment. Eating out daily sinks most folks budget. Cooking at home is healthier and cheaper.
I think it would be doable but you’d really have to watch your budget/spending. And depends on where you live. The last place we lived we paid $900 a MONTH in property taxes. That would be near impossible on that amount unless you’re ok with not doing anything outside your home that costs money.
Just watched your video and I have a couple of questions. I apologize if you covered this in another video. It’s possible I could have missed it. 1. Do Al and Caroline contribute to the $40,000 income? 2. You mentioned your home is a one and a half bath. You said in previous videos that you use your shower for storage. So where do y’all shower? lol I guess I just have too much time on my hands……
I would guess her half bath is a shower/toilet/sink and her full bath has all that and a tub ? I’m guessing. She has mentioned before that her hubby doenst work and her daughter works and buys her own things. 😊
Can go bare bones budget but will go on overnight stay buy coffee ball of wool after all basics are done if I find hard times will go bare bones cut coffee ball of wool overnight stay
I always check to see if there are discounts for age, paying cash and I do go back for the $ if it goes on sale within a month. Got $800 back for a sound system. Used it in the store and they got more income added. Both did fine.
I go to every manned food pantry I can..I go to. Micro pantries! It supplements our food budget enormously as you can imagine Ev can good is $1! Like you I've cut bk on meat servings. But need myeat and potatoes ! Gas prices lower her $279 shell plus 10c disc Members reward? So $269. Today fill up at $279 cuz clos.husband pump .weather nice! Gonna buy gifts this week before weather could change .them be sorry didn't get er done!
Bought our house for $79k in 1997 and our household income was $35k. Sold it in 2022 for $218k and household income may have been around $140k. Not sure why houses wouldn’t increase in value over that time. At your age and still having to save up for things like a new furnace would really keep me up at night. I would also not be comfortable thinking I could continue “to work” in the event of a health issue. I would be cutting out everything and saving like crazy. I would also encourage my child to become self reliant. Not sure why you still support her when she is in her 20s.
She has mentioned before that her daughter works and buys most of her own things. My 26 year old son lives at home. He buys all his own clothes, and any extra snacks and drinks he might want. I don’t charge him rent. He helps me so much around our house and property. He has also helped my husband build this house. I would rather he save and invest for his future than to blow it all on rent.
When one tries to live on only $40k a year in this current time, you have to learn how to compromise, be disciplined with spending, budget, find ways to increase your income, ask for help when you need it. $40k in this time doesn't go very far if you don't have money and discipline skills.
No longer low income, but as a young working adult I religiously banked part of each paycheck, shared a modest apartment in order to reduce expenses, bought second-hand furniture, walked or biked when weather permitted to work and stores, and took advantage of free or low-cost entertainment. While briefly unemployed I used a low cost health clinic and had ample savings to tide me over to my next job. I don't remember ever feeling deprived or unhappy about my circumstances.
I live on $24K a year. I rent a live/work space and work from home so most of my rent and utilities (including maintenance & repairs) are tax-deductible business expenses. I cook my own meals, wash my clothes, cut my hair, take public transport and don't spend money on non-essentials - everything in my home has a functional purpose. I shop at thrift stores, buy staples on sale and stay debt-free. I buy good quality items, maintain them well and make them last as long as possible.
Dawn I live of $1084 per week 25 percent goes to government rent I have a to do list and as I save cash I prioritise I meal prep around sales have bare bones budget buffer 12 months fully funded emergency fund I use pension card senior discount buy only necessities quality over quantity
@lindadorman2869 Hi. Do you live in a city or town? Also, it sounds like you are fugal because you HAVE to be ! ? Are you also single?-Forgive me for asking that. I'm finding that living a debt free life too, while has some benefits (less financial worries), it often means the person suffers more personal sacrifices (not dating or being with someone) that many do not realize, when living off less.
Most ss recipients live on less than 15000 a year. Hope yiu are saving like crazy if yiu need 40 grand with no mortgage or debt. Your budget must we way overloaded with non essentials.
I don't think so. Home, auto, and health insurance payments; car and home upkeep; utilities; taxes; medical and dental expenses; and other *essential* expenses take a big chunk of one's income. And Dawn has said she invests a portion of her pay. She's aware she may need to supplement SS for 20-30 years or longer.
Saving money on tasty meals. I want to HIGHLY recommend Hope's Lentil burgers (search for Under the Median Lentil burger recipe - use a really big pot). These turned out as a big happy surprise. * I made these, carefully following Hope's instructions. Up front, I added 1 big finely chopped onion to the recipe, and I HAD to add 6 whisked eggs, and some extra water. I could not get it to hold the burger shape without those additions. What I learned: Not overcooking the lentils is half of the success, and the second half of the success is using the Liquid Smoke. * I am a meat eater, therefore I was not expecting much. I've never been impressed with other types of non-meat burgers. This recipe is a keeper. * This is a HUGE recipe - half it if you like. These lentil burgers have a very similar texture to hamburger (shocking! really at how close it comes to the "right" texture). You must use the Liquid Smoke, a bottle will make you 5-6 batches of lentil burgers (here that means 1 bottle will last a year). Using the Liquid Smoke, the lentil burgers both smell like cooked meat, and have a umami flavor. When eating them, I drizzle soy sauce on each burger before heating for 30 seconds. Then, I might top them with salsa, 1 oz. of cheese, or eat them as they are. The lentil burgers freeze great, and can last 3 mo. in the freezer. Tip: thaw them in the fridge overnight to keep the burger shape. You can reheat them in a microwave, skillet, or air fryer. This recipe makes thirty 1/2 cup lentil burgers - essentially a burger a day for about 20 cents, full of protein. You will know you have eaten, when you eat one of these burgers as part of your meal. You will not get hungry for a long time.
Great video!
I saw it coming…lean times.
With three months to go until social security starts, we keep working hard at our jobs. I watch the grandkids and he works retail.
To be prepared, I stocked the pantry with food and paper products and toiletries. We paid the mortgage and car payment one month ahead. (We share one car). We are living on a bare bones budget for three months.
This video is encouraging!
Take care🦋💗
Keep it up
Good luck!
I never bought second hand until I moved to a lovely little market town with the best charity shop ever. They have so many lovely things. It’s small but full of lovely clothes and small things for the home. My daughter has just moved to a flat in London and I bought her some of the most gorgeous dinner ware from there. She was thrilled as she is very environmentally conscious and so am I now. These things have a new lease of life in a lovely home with people who appreciate them. Could I afford to buy new? Yes I am fortunate that I could but this is so much more fun and exciting. Love your videos Dawn. Sending love from England.
Good for you! You're saving something from being tossed and supporting a local merchant.
@ Thank thou. I always buy used if I can now and that way it leaves me a little bit to help other people. Win win!
@@jenniferevans5192 👍
You're a great steward of your money, no matter the amount. I think the most helpful way to live within your means is to remain debt-free or work hard to become debt-free. The second is to have a "scorched earth" budget. One that is the very least to sustain you. The most important way to achieve these is to be aware of your spending. Know where every penny is needed and where every penny is spent. Wonderful video. Love to all, Linda 💕
You are so sweet
Thanks! A happy early Merry Christmas to you! Treat yourself. I am always trying to save money by making do, shopping my house, and shopping the thrift store for essentials. My best pants come from thrift stores. I am an odd size.
Thank you for your generosity. You are so 😇.
That's great!
I was feeling a little down before I watched this video. No matter the topic you always cheer me up. That color is fantastic for you btw. Tomorrow my hubby begins retirement so Im excited to try some of my new money saving skills.
My husband is counting down the weeks till he retires. He’s at 35 weeks now. Lol
I'm so glad!
Congratulations! Good for you to learn new ways to benefit your family.
Hi Dawn, you are looking great. I like how you mentioned that you are always looking forward as to your expenses, so that nothing surprises you. What a fine point for people to follow. The more we can plan & save ahead of time for bills. The absolute better off we will be. Great tip. Thank you & have a nice day. 😊
Thank you so much!
What is your action plan in detail when you need to go to it? Have a video on that so others can learn if they are facing trouble!
That's right!
My family of 6 lives off $44k/yr :) We save the rest of my husband army income and I look after our 4 young kiddos. We do have rent to pay but no car debts. But I do feel like the fact that I’m originally from a poor rural area overseas does make a difference. When I just came to the USA at the age of 25, I was convinced everyone was ultra rich or must be related to the kardashians or Hilton family😂
Oh, no! What a horrible comparison. You do very well to live on a portion of your income. Isn't housing a benefit in the Army? You also have great prices at the commissary and medical benefits. Small benefits for the service your husband provides!
@ so the housing allowance is just a part of the income. I calculate the rent we pay in our expenses. It’s not free at all. We do rent on the base ($2k/mo) which isn’t cheap but it saves on travel time (my husband likes to cycle to work for fitness) and utilities are included. The commissary is cheap but it’s very small here on ft Knox. Plus often they only have 1 cashier and the lines can be an hour long to checkout. So I try to only go there once a month to stock up on pantry items. I prefer not doing all my shopping there since I rather let young soldiers have the first choices. The medical part is great but for soldiers it’s a need. My husband has gotten injured many times during airborne jumps, deployments, trainings, etc. It’s so heavy on their bodies unfortunately.
Great video, Dawn! One way we have been able to save is by saving our change. We use the cash envelope system and everything (except bills) is paid using cash; any and all change goes into a piggy bank and when it gets full, we take it to the bank. You'd be surprised how quickly those pennies add up. We also sale shop, we have full freezers and pantries by shopping this way. We also buy most all of our clothes from thrift stores. We live on $20,000 a year and we have a wonderful, blessed life! Have an amazing day! 💕
Do you grow a lot of your own food too ? We garden and have many fruit trees. That has really helped supplement our food bill. I also make more dishes using chicken versus beef. Cheaper. And SO many different ways to cook chicken. 😊
Fantastic
That's wonderful!
You are so inspiring money Mom! Today the Lord reminded me of our vocation of poverty chastity and obedience. We live frugally on a 70k annual income which probably seems like a lot but we are committed to serving the poor and to the work of the Church with what God has blessed us with. Being frugal allows us to give generously to two single moms and to the homeless people we meet on the streets here in Denver. I pray God will make us more loving and sacrificially giving each day through His love and grace. God bless you Money mom today and always 💕😇🙏😇💕🙏
“Give with a quiet heart, seeking no attention, for God sees and values what is done in secret.”
You are a source of encouragement
Good for you! 👍☺️👍
Great topic, Dawn! Like you, we purchased our home about 20 years ago. Not constantly selling and buying a bigger house has saved us so much money over the years ($100K?). We have two well-maintained, older cars, neither of which were purchased new, but in very good used condition. (2008 purchased in 2010 and 2014 purchased in 2021). The 2014 was cherry even though it was 7 years old! - Less than $40K miles on it and garage kept. We cook simple foods at home, sometimes dinner is just soup and sandwiches, sometimes I fix up a big pot of something with lots of leftovers to be used for lunches. I buy a lot of things used from eBay or the thrift store. Do we always skimp? NO. Absolutely not. My husband likes name brand soda. But, we do go on a nice country drive to a discount grocery store and purchase the smaller cans. They're $2 a box less there the the big W store and it's a lovely "date" on a pretty day. So, we pick up a few boxes at a time and since they're cans there's no worry about them losing their fizz. We do what we can to stretch a household income that's less than $48K.
I hear you
It's wonderful you can enjoy a little date and save money on an essential, as it is in my house, lol.
My car is 21 and it’s a 6speed manual transmission! I have lived in my home since 1976 and it has no mortgage.
Great!
Your top is lovely Dawn, you look so pretty.
Thank you so much
You inspire me daily...much love. We are also on low income
She's an inspiration to me, too!
Low expensives will definitely be doable on $40 grand a year. Great vid Dawn. Happy Sunday everyone 🌹
@@SmilingBeaver-ou7nc Happy Sunday to you too. 🌞
I'm a day off, so Happy Monday!
I never earned $40 thousand in my life!
One year I made $35 thousand by working a crazy amount of overtime while we were relocating and rewiring our computer center.
$20 thousand was always a good year for us.
When Social Security said I could retire on a hefty fraction of that and not have to work anymore, I jumped!
You're proving "live within your means!"
I buy clothes at rummage sales, not at Good Will or Salvation army. There is nice little thrift shops with nice clothing in them I go check out if I'm in that town. If i have change left over from grocery shopping I do put it in the red bucket this time of year though.
Good for you! 👍☺️👍
I make a point of watching videos on frugal cooking. I have found so many hnits/tricks by doing so.
That is awesome!
I have a semi limitation in budget cooking in that my daughter is a celiac. Flour, pasta for her, always expensive. We dont buy much packaged food, and I grow our vegetables and a lot of our fruit. Your creativity really shines when you stick to a budget
@@christines2787 That's true!
I’m so thankful I was able to buy my house at a good time. Even though I no longer have a mortgage, unfortunately taxes are extremely high here in New York City and so are utilities insurance etc
I can only imagine!
I like to think of frugality as an interesting journey and as you go down that path you're constantly finding new ways to save. The real trick is to find alternatives that are not only less expensive or preferably free but that are also better. Cooking at home from scratch is probably my favorite example as it's the best food available at the lowest price but there are others like buying used items that are better made than what's being sold new and things like making use of your local library system for music, movies, books, magazines, newspapers etc. It's all available rather quickly with a large selection and after you're done it goes right back to the library so you don't have to store it at your home. Then there's taking good care of what you've bought. After your coat comment I thought about my own winter coat and realized that it's almost 30 years old and still in good condition, ready for several more years of service. They just don't make them nearly as good these days. Much of what I own is like this, all in great shape and ready to be used at a moment's notice such as the tools I used to build my house and to work on cars from replacing breaks to rebuilding engines and everything in between. I would also add just enjoying the additional free time that's not spent constantly shopping much less working more hours to pay for it and the income taxes on those dollars.
While cooking from scratch is my favorite example, the funniest is what you can do with your 1040 only because your spending is low. In about 3 weeks I'm going to calculate and execute a good sized Roth conversion that will be completely tax free because I use the form 8880 retirement saver's credit but bump up our tax free zone from the standard deduction and use that "headroom" to make the Roth conversion completely tax free. At the same time I'm making Roth contributions to qualify for the credit and I can lower our taxable income to make us eligible for the maximum saver's credit with tax deferred contributions if needed and I can even do those after the end of the year but before tax day as a final adjustment if I make a mistake in my calculations. Take note that this is only for 2024,2025 and 2026 as the Secure Act 2.0 ruins that saver's credit, turning it into a saver's "deposit" with Roth contributions no longer being eligible and you'll no longer be able to lower your taxable income to qualify for this specific calculation only along with a few other changes. Hopefully this horrible piece of tax law will be corrected before it takes effect. Over the past few days I've been trying to figure out alternatives but if I try to convert all of our tax deferred accounts to our Roths over the next 3 years we lose 30% to income taxes so I'll just continue going forward as I have been with the saver's deposit and making Roth conversions as I have been. I can no longer convert everything before full retirement age and each year starting in 2027 I'll get $6,000 in our IRAs (where I don't want it) thanks to the minimum contributions plus the government's "deposit". The good news is that I can use what's left in the IRAs at full retirement age to provide about 11 years of tax free income by staying below the standard deduction and if taxation on social security benefits ends this gets even better as I can spend it down tax free even faster. Alternatively (if/when they change the rules yet again) I could wait until age 75 and use those accounts to make qualified charitable donations with my required minimum distributions, something I want to do anyway. I'm confident in my ability to wriggle and twist my way through whatever comes.
Cheers!
You are so recourceful
It's great that you're so informed and have a plan for retirement.
God bless you
I live on 1400 to 1600 per month. That includes RE taxes and HO insurance. My home and vehicle are paid off.
I cook at home, rarely eat out.
Shop the sales and thrift stores. ❤
I'm sure you're resourceful!
The cost of owning a pet has really gone up. I never really had to budget for their needs before; now I do.
I don't buy fancy beds for them, because they're happy with old pillows and folded blankets.
My cats are on very pricey prescription diets, but I can supplement with homemade recipes. (Vet approved)
There's lots of online information for making your own pet toys, diy grooming, and obedience training .
By far, the biggest expense is veterinary care. Some pet stores offer low cost vaccines and teeth cleaning. The Humane Society has basic care clinics for much less than traditional vets. In our area they have income requirements, about 70,000 or under per household. Pet insurance might be another option.
Obedience training at home is very doable.
I know this, because every single one of my dogs has passed the Canine Good Citizen test, also known as the CGC. Except for my rescue who was 3 when I got him, every single dog of mine has passed this basic test before a year old.
There are lots of videos explaining how to train for this test. Its full of skills every pet dog needs like sit, down and stay, but also heel, and accept grooming, accepting a friendly stranger, and more. Its also an excellent jumping off point into the wonderful world of dog sports. Beginner Obedience and Rally Novice are only a hop skip and a jump away and really increase the bond between dog and his person. This is available to ALL dogs. Purebred. Rescues without papers. Mixed breeds.
Granted, my guys are all collies. They are eager to please and learn easily. But my stubborn little terrier did it too. All dogs come to enjoy training because it's one on one time
True
@@christines2787Wow! How fun!
I'd love to have a dog. We're out of town occasionally, and the boarding fees are astronomical. We enjoy our granddogs!
With the new government tariffs we are expecting our living expenses to go up by 20%... A bare bones budget is important to adopt right NOW
True!
We buy only what we need not what we want period. Sometimes a treat or a few things from dollar tree.Lynn 😍🥰
It's great that you're so disciplined!
Looking at the future we all need action plans.
One thing my daughter does is share meals with her friends. The ones that live close by. It also saves time , they don't always have to cook.
That’s wonderful
@M_SC thank you , she's a second grade teacher, and works long hours. So doing this really helps her.
That's a great idea!
Most Sundays I cook a big meal and have friends over. Some are a few single guy friends of my husband. And they’ll take some leftovers home for later in the week. They don’t get home cooked meals. And they’ve helped us in pinches that we have had and I didn’t have to pay someone. I like our little community of like minded helpful people. 😊
Sounds as though your daughter is as resourceful and generous as you! ❤
I turn utilities we don't need of don't have dryer or car live beneath my means but food I like on special meal prep around that
Good for you!
Are your jobs kind of being self employed? In other words, do you set money aside for taxes that will pay into your social security someday ?
I admire you Dawn ! You’re doing great ! Like us, we have a roof over our head, a couple of working vehicles and a freezer and pantry full of food. I’m happy about that 😊
Yes, except for the demos
We live on less social security. I no longer buy unnecessary items.
I live off about half of that but doing OK. No extras but debt free and all cooking from scratch and quite content,
That's wonderful!
Watch your expenditures, limit your food budget, water rationing if needed turn off extra lighting,consolidate car trips,pets are costly along with supplies,be frugal with purchases like gifts,coats, boots,shoes etc...
Shop discount stores whenever possible. Share with family and niebors, cook at home whenever possible this way you limit unwanted additives to your food, better for your wellbeing! Turn your heat lower and wear sweaters to keep warm. Pray that life will get better ,and the good lord to provide for us!!
Great tips!
(Sigh) After reading some of the comments (usually a pleasant thing) my thought is that tares got sown in with some wheat.
I don’t understand
I'm late watching and haven't read all the comments. It is heartbreaking to hear how some live so close to financial disaster. I'm glad they're watching this channel to learn about a more frugal lifestyle.
Also, if you pay a bill in full, like your car insurance you don’t get the monthly fee and there may be a discount for paying in full. I saved $300 this year by doing that.
I pay the same monthly as someone who pays once a year because I set up as automatic payments out of my checking account. 😊
I wish State Farm did that
That's great!
Hi Dawn. I wouldn't know what to do if I had that king of money.....I love this video Dawn... 😊😊😊
I love you
You can do it!
Dawn I hear ya, we live off of $40,000 a year as well debt free.
It's become more difficult saving money since inflation has affected us for a few years now.
You're doing great to be able to continue saving!
I agree
I don't really drive much anymore, gave my car to my son years ago. If I need to go somewhere, someone takes me or I borrow my bffs car.
Sounds good
To save money i buy everything on sale or clearance, i only get what i need. We only plan to eat 1 meal out a week. Recently only ate out once every 2 weeks. If we do go out we get specials,lower priced items, and food we dont know how to make (curries, mediterranean or asian) but learning how to cook those now. Thank goodness for recipes on google and u tube. Bought house for $165,000 in 1998, now worth about a million (California). I make $42,000 and there are 2 of us. You can do it if you're careful.
I can't imagine what your homeowners insurance and taxes are. Good for you for making such a great investment.
Where i live i cant even get a studio apartment for 250k. It's so depressing but I'm very lucky i have cheap rent at least
Wow! Glad you could find affordable housing.
Ive found that when you stick to a budget and limit what you will and wont buy it makes cooking more interesting.
Anybody can spend $20 order a pizza. Its not a skill. Making a pizza from scratch? Maybe playing around a bit and using some homemade cheese and crust? It's an accomplishment and something to feel good about.
True!
We live under our means and have 401k income every month, along with SS. We must be some of the lucky seniors because we don't feel poor at all. Like you, the house and property and vehicles are paid for and everything about the house and cars works. Things we could afford, we don't do, like vacations and luxuries.
We do the same.
40,000? No mortgage and no car payment. You make more than most. And you're not doing it alone.
Not doing it alone means there are more expenses that make up for rent and car. They do have a car. It's just paid off
Dawn, you mentioned you reduced protein content in your meals. How did your family respond to that, please? (I tried, but my husband was keenly attuned to less meat.)
Hubby is not a fan
I live off a LOT less than you do. In my working years, I made a lot more, especially in the later years. I've always been a saver, so I've always had savings to live off if needed. I had enough to live for 2 and a 1/2 years with no income at all, plus I had some medical and legal fees to pay. I know living on a bare bones budget all too well. It made me VERY thankful for the SS income I have now. I've always been content with what I do have, and thankful for it and I've always had what I needed. 2024 is the first time I've ever not had what I needed to live on. There was just not enough money for bills/needs. I shuffled funds around, robbed Peter to pay Paul... especially when I had to buy a washing machine , telephone, and 2 walls of basement water proofing. I got GREAT deals on all of that. Still, it left me pinching pennies even more. I've been living no-spend years now for about 4 years, which is why I was able to get through the year, but when those funds are gone, it takes a long time to get them back up again.
I totally understand
You're a great money manager, or you wouldn't have been able to pay for all the unexpected expenses.
Co-signing for a loan is a definite no-no! There's a reason for that person needing a co, and I would never make someone's bad credit effect my good credit!
@larmstrong2302 I disagree with your comments..., in a way. I definitely get what you are saying about a person with bad credit though! I never give or co-sign to such a person, when MY good name or credit is on the line too!
Let me also say... KNOW the person you are co-signing for! If that person is trustworthy, honest, reliable and dependable, then co-signing should not be an issue.
When I was 19, (1986) and working at a Burger King, I needed a co-signer to buy a new car. I asked my mom. I believed in myself. She grilled me, and seemingly was reluctant, but co-signed.
I paid it off myself. Her worries were not justified. If she didn't co-sign, then my life would be completely different today. Without a reliable vehicle, I couldn't have had reliable transportation to go to work, College, and my obligation with the Army National Guard during that time in my life. I did not want to have to make excuses to my boss, professors or the Army because I had to keep driving my unreliable vehicle!
So, don't close the door about co-signing! Some people need support in this world to help them secure their futures!
You're smart!
You’re doing great! Just out of curiosity, is the $40k take home, or before taxes?
You are absolutely correct that things like taxes, medical expenses and house payments can take up a huge portion of a medium to smaller income. As a single person, I live on about 32k a year take home, but my property taxes on a very modest home went up over 25% this year to about $4400. That was rough.
Before taxes
@ impressive
Wow, that's a big jump in taxes!
Co-signing means you’re probably going to get stuck with the bill. Good idea not to co-sign for anyone.
I co-signed my kids college loans because she has no credit otherwise. It gave her a much lower interest rate and we are helping her pay them. Thrilled to do this for her and I trust her implicitly.
You're right in most situations.
Dawn, people tend to be savers or spenders, I don’t know it is like that, I’m a saver, and after working hard to save it’s really hard for me to spend.
True!
$17K/year... I budget carefully and think hard about every dollar I spend. My savings rate is currently 14%. 💵 Sacramento, California USA 🇺🇸
Fantastic
That's great!
Even if all 3 of you drove you could still share a car. That was normal until the 90s. Everyone having their own car is crazy to me. I get having 2 cars of one is the new one and one is 10years + old, and maybe you don’t drive that one much or far. Cars are one reason people are poorer than they used to be
I have a 21 year old car with 293,000 miles on it and a 13 year old car I’ve realized if I’m going to drive older cars I need to have a backup vehicle, and I started driving in the 70’s and both of my parents had their own car and my sister and I shared one, same with our friends 🤷♀️trying to share a car between 3 people with different work or school schedules would be a nightmare 😬
Would want a second car just in case one gave up it's ghost or ended up needing the mechanics for repairs.
We live on $40k and own three cars..it’s a matter of preferences and priorities
I make 14,400.00 a year. Minimum wage full timer.
@pattycake8272 I'm guessing you must be living with other people then, to help pay bills ! ? If so, then you are lucky or fortunate.
I think under $18,000 is considered poverty level. How do you make it on $14,400 ?
It seems like living off $40k would be easy with no house or car payment. Eating out daily sinks most folks budget. Cooking at home is healthier and cheaper.
I think it would be doable but you’d really have to watch your budget/spending. And depends on where you live. The last place we lived we paid $900 a MONTH in property taxes. That would be near impossible on that amount unless you’re ok with not doing anything outside your home that costs money.
It really depends on what kind of taxes you have to pay.. I have heard that property taxes in Texas are very high...
Car and home insurance is through the roof! It's robbery!
@@cjhoward409 Wow! I live in North Georgia $900 is my annual taxes. I would have to relocate fast 😀
Just watched your video and I have a couple of questions. I apologize if you covered this in another video. It’s possible I could have missed it.
1. Do Al and Caroline contribute to the $40,000 income?
2. You mentioned your home is a one and a half bath. You said in previous videos that you use your shower for storage. So where do y’all shower? lol
I guess I just have too much time on my hands……
I would guess her half bath is a shower/toilet/sink and her full bath has all that and a tub ? I’m guessing.
She has mentioned before that her hubby doenst work and her daughter works and buys her own things. 😊
Caroline supports herself now. AL does not work
Yes, you are right
Your family is lucky to have you. How many in your home?
3
Can go bare bones budget but will go on overnight stay buy coffee ball of wool after all basics are done if I find hard times will go bare bones cut coffee ball of wool overnight stay
We live comfortably on $40k a year but we don’t eat out, eat processed foods or waste money on things that don’t really matter
Good for you! 👍☺️👍
I always check to see if there are discounts for age, paying cash and I do go back for the $ if it goes on sale within a month. Got $800 back for a sound system. Used it in the store and they got more income added. Both did fine.
I go to every manned food pantry I can..I go to. Micro pantries! It supplements our food budget enormously as you can imagine
Ev can good is $1! Like you I've cut bk on meat servings. But need myeat and potatoes ! Gas prices lower her $279 shell plus 10c disc
Members reward? So $269. Today fill up at $279 cuz clos.husband pump
.weather nice! Gonna buy gifts this week before weather could change
.them be sorry didn't get er done!
Good for you!
If you make over $38,800 a year, in the Dallas area, you’re considered middle class Dawn 😀🤞🏻
Bought our house for $79k in 1997 and our household income was $35k. Sold it in 2022 for $218k and household income may have been around $140k. Not sure why houses wouldn’t increase in value over that time. At your age and still having to save up for things like a new furnace would really keep me up at night. I would also not be comfortable thinking I could continue “to work” in the event of a health issue. I would be cutting out everything and saving like crazy. I would also encourage my child to become self reliant. Not sure why you still support her when she is in her 20s.
She has mentioned before that her daughter works and buys most of her own things. My 26 year old son lives at home. He buys all his own clothes, and any extra snacks and drinks he might want. I don’t charge him rent. He helps me so much around our house and property. He has also helped my husband build this house. I would rather he save and invest for his future than to blow it all on rent.
I think she's stated that her daughter has a full-time job and is self-sufficient.
Do you save the money made from your RUclips channel....? 😊
Some of it
@@CentsibleLivingWithMoneyMom Ok. Thanks.....xx
When one tries to live on only $40k a year in this current time, you have to learn how to compromise, be disciplined with spending, budget, find ways to increase your income, ask for help when you need it. $40k in this time doesn't go very far if you don't have money and discipline skills.
Everyone can acquire these, fortunately
Very true
Absolutely!
I am 56 rent government home mortgage debt free I have a buffer 12 month fully funded emergency fund
Wonderful
@CentsibleLivingWithMoneyMom thank you for understanfing
That's great! Good for you! 👍☺️👍
@@3TXSisters I didn't mean it in a show off way
No longer low income, but as a young working adult I religiously banked part of each paycheck, shared a modest apartment in order to reduce expenses, bought second-hand furniture, walked or biked when weather permitted to work and stores, and took advantage of free or low-cost entertainment. While briefly unemployed I used a low cost health clinic and had ample savings to tide me over to my next job. I don't remember ever feeling deprived or unhappy about my circumstances.
That's wonderful!
What does your hubby do for work ?
Where do you live that real estate is so cheap?? I want to move there.
Texas
I live on $24K a year. I rent a live/work space and work from home so most of my rent and utilities (including maintenance & repairs) are tax-deductible business expenses. I cook my own meals, wash my clothes, cut my hair, take public transport and don't spend money on non-essentials - everything in my home has a functional purpose. I shop at thrift stores, buy staples on sale and stay debt-free. I buy good quality items, maintain them well and make them last as long as possible.
Very nice!
You sound like me.
Dawn I live of $1084 per week 25 percent goes to government rent I have a to do list and as I save cash I prioritise I meal prep around sales have bare bones budget buffer 12 months fully funded emergency fund I use pension card senior discount buy only necessities quality over quantity
@lindadorman2869 Hi. Do you live in a city or town? Also, it sounds like you are fugal because you HAVE to be ! ? Are you also single?-Forgive me for asking that. I'm finding that living a debt free life too, while has some benefits (less financial worries), it often means the person suffers more personal sacrifices (not dating or being with someone) that many do not realize, when living off less.
Most ss recipients live on less than 15000 a year. Hope yiu are saving like crazy if yiu need 40 grand with no mortgage or debt. Your budget must we way overloaded with non essentials.
I don't think so. Home, auto, and health insurance payments; car and home upkeep; utilities; taxes; medical and dental expenses; and other *essential* expenses take a big chunk of one's income. And Dawn has said she invests a portion of her pay. She's aware she may need to supplement SS for 20-30 years or longer.
Saving money on tasty meals. I want to HIGHLY recommend Hope's Lentil burgers (search for Under the Median Lentil burger recipe - use a really big pot). These turned out as a big happy surprise. * I made these, carefully following Hope's instructions. Up front, I added 1 big finely chopped onion to the recipe, and I HAD to add 6 whisked eggs, and some extra water. I could not get it to hold the burger shape without those additions. What I learned: Not overcooking the lentils is half of the success, and the second half of the success is using the Liquid Smoke. * I am a meat eater, therefore I was not expecting much. I've never been impressed with other types of non-meat burgers. This recipe is a keeper. * This is a HUGE recipe - half it if you like. These lentil burgers have a very similar texture to hamburger (shocking! really at how close it comes to the "right" texture). You must use the Liquid Smoke, a bottle will make you 5-6 batches of lentil burgers (here that means 1 bottle will last a year). Using the Liquid Smoke, the lentil burgers both smell like cooked meat, and have a umami flavor. When eating them, I drizzle soy sauce on each burger before heating for 30 seconds. Then, I might top them with salsa, 1 oz. of cheese, or eat them as they are. The lentil burgers freeze great, and can last 3 mo. in the freezer. Tip: thaw them in the fridge overnight to keep the burger shape. You can reheat them in a microwave, skillet, or air fryer. This recipe makes thirty 1/2 cup lentil burgers - essentially a burger a day for about 20 cents, full of protein. You will know you have eaten, when you eat one of these burgers as part of your meal. You will not get hungry for a long time.
Sounds as though you've found a winning recipe!