Are you prepared? How close do you live to the edge?

[Shy Tall Guy]

Last time I was unemployed I just about went bankrupt inside 3 months, after that I swore I would never live that close to the edge again and this time I am doing a bit better

So, with the economy the way it is, especially in my profession (software engineer), I was wondering how many people are financially prepared to live for an extended period without income? Do you live close to the edge (paycheck to paycheck)? Or do you have savings that would carry you through just about any downturn?

 

[brokenbrainwave]

with the equity in our house, borrowing against her car (its paid for), credit card limits vs the balance owed on them, and strong arming her dad into the 5k the son of a bitch owes me, I could make it about 2 yrs I would say. I would deliver fucking pizza's before I let anything like that happen...free food and tips to boot, what a country

 

[Todd-'o'-Vision]

before I can answer one question please, well two actually including this one?

When you say unemployed do you mean totally without outside income meaning, under the table side jobs and the like or totally without any money at all?

 

[Wiggles]

I voted that I would immediately file for unemployment. But that's not true.

I run around looking for any job I can get. They're shit jobs, but they pay the bills.

I go from paycheck to paycheck. Hopefully it won't be like that someday.

 

[Rubyfruit]

We live one paycheck away from financial ruin, disaster and collapse.

It's kind of exciting.

Really.

 

[sabbathstorm]

The past 4-6 weeks have been particularly nasty for me. If I hadn't got a call to start work next week, I'd be financially fucked.

 

[marksgirl]

We would make it for a little while, I can be a real penny pincher. And I have a rich mother as a back up.

 

[Shy Tall Guy]

before I can answer one question please, well two actually including this one?

When you say unemployed do you mean totally without outside income meaning, under the table side jobs and the like or totally without any money at all?

I mean no income from any kind of job. Unemployment insurance is allowed, as is income from investments, assuming the money was there to start with (day trading with credit cards would be considered a job and not income from savings/investments - it would be truly living on the edge).

BTW, I fucked up, the second "3 months with unemployment" was meant to be 6 months.

 

[Shy Tall Guy]

strong arming her dad into the 5k the son of a bitch owes me,

I didn't count the money that other people owe me - that would probably let me go another 6 months. If I sold off personal assets that I didn't really need, and got what they were worth (always a big if in any economy), I could last another year.

 

[Shy Tall Guy]

We would make it for a little while, I can be a real penny pincher. And I have a rich mother as a back up.

I cut back my expenses by over two-thirds, but I don't pinch pennies as it would make little difference in the long run - it wouldn't make me last even one more month. I just don't go for big expenditures if I can help it. I suppose if I wanted to max out my credit card I could live another year on that, but that is why I came so close to bankruptcy the first time - never again, I would rather sell off everything I own except my car and my computer.

The permise this thread is based on assumes not falling back on living with relatives or borrowing money from them - to me that isn't surviving, especially living with relatives *shudder*.

 

[RisiaSkye]

I could probably make it six months if I liquidated my savings and lived largely on Top Ramen.

 

[morninggirl5]

I could last about 6 months. If my contract were not renewed, i have no fears that i wouldn't have a job for the following fall, so i wouldn't miss a paycheck.

One of the benefits of being a teacher in one of the growing metropolitan areas in the US.

 

[Laurel]

You should all read Michael Moore's "Stupid White Men...". Really.

I'm pretty secure, but it sickens me to see how many college-educated professionals are living paycheck to paycheck. Check out that book!

 

[cybergirly]

If I cashed in my 401k, sold a couple of my vehicles and was careful I could make it for about a year. Longer if I was REALLY careful.

 

[bored1]

I just got a decent job after being unemployed for a year. I survived on unemployment, selling assets and bartering. I never want to live this close to the edge again. While I admit I had fun , not working becomes boring after awhile. hence the name bored1

 

[Bluesboy2]

You can last longer than you think you can

I developed Degenerative Disc Disease and have essentially not been able to work for over a year. No real income for all that time. Not regular anyway. You would be surprised how long you can hang on if you are resourceful.

 

[Guru]

 

[cybergirly]

My wife and I are both employed, and could live on either income by itself (though with no frills). So, which answer should I choose?

That's not how the game works.
You both get laid of the same day. (bad luck storm blowing through town and all)

 

[WhiteRose]

Well, I guess I live month to month or paycheck to paycheck. I have an investment fund I'm not allowed to touch, so that's no help at all, but on the other hand, my car is paid for and I have NO credit cards or debt at all (learned that lesson a long time ago), and as long as I have enough to buy cat food (my furball comes first), kitty litter, and toilet paper, that's fine. I can go for a week or so without food. Been there, done that, quite a few times.

As long as rent, utilities, phone, internet, UO (ahem!), and car insurance are paid for, I'm okay. And every once in awhile I have enough to make a bookstore run

 

[Shy Tall Guy]

My wife and I are both employed, and could live on either income by itself (though with no frills). So, which answer should I choose?

That is an answer in itself - you could survive indefinitely on just the one income, as could I if I were living with or married to someone. If you want you could also answer how you would survive if you both were without income from a job.

The purpose of the thread was just to satisfy my curiousity; I've been unemployed for over a year now and been doing just fine. Last year I was preoccupied with family that had health problems, but this year I am really working hard at finding a job, and finding it very hard work indeed. I can probably survive another year without cashing in my 401k, but I really want to get some income before winter comes around again. During the summer I can keep occupied, but the winter here is terrifically boring without a job.

I am goingto start writing software again - I've got some ideas for some libs, and it will keep me busy and up to speed on writing.