Update XVII: I Ate The Strawberry (The REAL, AUTHENTIC Update) (user search)
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  Update XVII: I Ate The Strawberry (The REAL, AUTHENTIC Update) (search mode)
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Author Topic: Update XVII: I Ate The Strawberry (The REAL, AUTHENTIC Update)  (Read 134327 times)
Smash255
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Posts: 15,463


« Reply #25 on: October 15, 2014, 04:08:03 PM »

There are people raising young children on $8.35 an hour

True statement. And I think Jeff could make some concessions so that a smaller wage is a more-acceptable wage -- eating at home and cutting back on TV would be top on the list.

Still, I don't think we should oversimplify how bare bones one would have to exist in order to make an $8.35 an hour wage work. Jeff is in a more-manageable situation due to having his parents' help, so he could get by on a smaller wage in order to build up experience, a somewhat-stable job history and start to pay down some debt. However, this is where the mentor / life coach / etc. comes into play to help him make that type of wage work -- because it wouldn't be easy:

Estimated pre-tax annual earnings at $8.35 an hour would be:

$17,368 -- that's assuming there is paid time off and / or vacation included.

Tax liability at that level would be low, but for sh[inks] and grins, let's assume $1,500 -- federal and state.

What would other reasonable monthly expenses be?

Rent          $300 / mo
Electric      $50 / mo
Water        $25 / mo
Food          $350 / mo (Can you get by with less? Sure ... but you'll eat unhealthy food)
Gas / Car   $150 / mo (This includes routine maintenance ... no idea if Jeff has car payments)
Clothing     $40 / mo (Don't expect someone to not buy clothing)
Phone        $75 / mo (Assume data and possible replacement at some point)
Internet     $50 / mo (Sorry, it's probably a necessity in this day and age)
Debt          $150 / mo (I have no idea what Jeff's debt is, but this is a reasonable amount)

That's $1,190 in expenses per month and completely excludes entertainment (other than web-based) or miscellaneous needs. It also excludes health care, since Jeff seems to get his for free. Otherwise, it'd be another $150 easily.

If the taxes are estimated somewhat correctly, someone earning $8.35 an hour would pull in $1,322.33 per month. They'd have enough to pay the bills listed above and have $132.33 left over.

And I have no idea what Jeff's actual expenses are. His rent may be lower or it may be higher. In Manhattan, KS (which is somewhat comparable to Tulsa), you're unlikely to find a single apartment for less than $600. I may be off on the estimated expenses, too.

Maybe you all are living like St. Francis. I personally haven't ever had to manage an income level that low, and it's been a decade since I've managed one even close to that. While I think buckling down and managing a tight budget would ultimately be good for Jeff, I can certainly understand his reluctance to accept something that leaves very little wiggle room.

That being said -- this needs to be part of your deliberation process when looking at jobs and possible offers, Jeff. Ask yourself, "What do I want," vs. "What do I need?" Because surviving on needs may be the critical step to build toward enjoying your wants.



Wow......
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Smash255
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Posts: 15,463


« Reply #26 on: October 16, 2014, 01:29:30 PM »

Smash lives on Long Island.  His mind is just boggling that people pay such cheap rent.  Perhaps $300/month is a bit low, but you could, say, find a perfectly adequate 1br in Tulsa for $500/month, and probably even cheaper if you felt like clicking around some more.

Obviously I know its considerably cheaper in most of the country, the $300 is what really surprised me.  The $589 Bushie pays is closer to what I would have thought.
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