How to Be a Stay at Home Mom
Know exactly how much monthly income you have., Calculate your monthly fixed expenses., Take into account other expenses., Add in unanticipated expenses., Tally the expenses that you’ll save if you don’t work., Balance income with daycare expenses...
Step-by-Step Guide
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Step 1: Know exactly how much monthly income you have.
Figure out the amount of money your partner is bringing home every month.
This is the starting point for determining whether or not you can afford to stay at home with your child. -
Step 2: Calculate your monthly fixed expenses.
Track your rent or mortgage, utilities, phone bill, insurance, car payments, student loan payments, food and other expenses that you have every month. , These include entertainment expenses, birthday and holiday gifts, vacations, school fundraisers, magazine subscriptions, cable TV, and so on. , Be sure to calculate whether you will be able to handle unforeseen expenses, such as a new transmission in your car, or a locksmith if you get locked out of your house, or a trip to the emergency room. , Going to work can cost money, even though you’re earning money.
Make a list of expenses associated with work, such as gas money, parking, dry cleaning, getting a morning coffee, bus fare, and so on.Think about take-out food as well.
When you’re tired from a long day at work and you don’t want to cook, you may be more likely to eat out or order take-out. , If both parents work, then your children will need some form of childcare.
Daycare can be very expensive, especially if the child is in full-time daycare.
The average annual cost of daycare now exceeds in-state college tuition in 36 states.Calculate how much income you would bring in if you were working.
Balance this with how much money you’d need to spend on childcare if you were not at home with your child.A grandparent or other relative may be able to care for the child, thus reducing childcare expenses. , Figure out areas that you can cut so that you can afford to stay at home.
If you regularly get coffee at the local coffee shop, think about making coffee at home and saving $3 every day.
If you subscribe to magazines, think about cutting out these subscriptions.
A good way to determine what you can cut is to track your spending for two months.
Write down everything you spend money on, down to the penny.
Keep a notebook with you at all times, or track it on your phone.
Tally up your receipts.
You may find that you are spending a lot of money on frivolous things that you don’t need., If you are not going to work, you won’t be adding to a retirement fund, paying into social security, or contributing to a 401(k).
Depending on how long you plan to stay at home with your child, these lost earnings may not last long.
But they are something to consider.Also consider that if you step out of the workforce, you may have to restart your career track at a lower earning rate than you would have if you’d never left the workforce.
Women especially are subject to lower pay.
Unfortunately, not working for even a few years can have a potentially detrimental effect on what you might earn. , If your income is very low, you may be eligible for food stamps or other public assistance.
Check with your state’s Department of Human Services to find out more.
For example, the federal government program, Women, Infant and Children (WIC), provides supplemental food, nutrition education and other benefits to low-income families. -
Step 3: Take into account other expenses.
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Step 4: Add in unanticipated expenses.
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Step 5: Tally the expenses that you’ll save if you don’t work.
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Step 6: Balance income with daycare expenses.
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Step 7: Adjust your budget.
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Step 8: Take into account the long-term lost earnings.
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Step 9: Figure out if you qualify for public assistance.
Detailed Guide
Figure out the amount of money your partner is bringing home every month.
This is the starting point for determining whether or not you can afford to stay at home with your child.
Track your rent or mortgage, utilities, phone bill, insurance, car payments, student loan payments, food and other expenses that you have every month. , These include entertainment expenses, birthday and holiday gifts, vacations, school fundraisers, magazine subscriptions, cable TV, and so on. , Be sure to calculate whether you will be able to handle unforeseen expenses, such as a new transmission in your car, or a locksmith if you get locked out of your house, or a trip to the emergency room. , Going to work can cost money, even though you’re earning money.
Make a list of expenses associated with work, such as gas money, parking, dry cleaning, getting a morning coffee, bus fare, and so on.Think about take-out food as well.
When you’re tired from a long day at work and you don’t want to cook, you may be more likely to eat out or order take-out. , If both parents work, then your children will need some form of childcare.
Daycare can be very expensive, especially if the child is in full-time daycare.
The average annual cost of daycare now exceeds in-state college tuition in 36 states.Calculate how much income you would bring in if you were working.
Balance this with how much money you’d need to spend on childcare if you were not at home with your child.A grandparent or other relative may be able to care for the child, thus reducing childcare expenses. , Figure out areas that you can cut so that you can afford to stay at home.
If you regularly get coffee at the local coffee shop, think about making coffee at home and saving $3 every day.
If you subscribe to magazines, think about cutting out these subscriptions.
A good way to determine what you can cut is to track your spending for two months.
Write down everything you spend money on, down to the penny.
Keep a notebook with you at all times, or track it on your phone.
Tally up your receipts.
You may find that you are spending a lot of money on frivolous things that you don’t need., If you are not going to work, you won’t be adding to a retirement fund, paying into social security, or contributing to a 401(k).
Depending on how long you plan to stay at home with your child, these lost earnings may not last long.
But they are something to consider.Also consider that if you step out of the workforce, you may have to restart your career track at a lower earning rate than you would have if you’d never left the workforce.
Women especially are subject to lower pay.
Unfortunately, not working for even a few years can have a potentially detrimental effect on what you might earn. , If your income is very low, you may be eligible for food stamps or other public assistance.
Check with your state’s Department of Human Services to find out more.
For example, the federal government program, Women, Infant and Children (WIC), provides supplemental food, nutrition education and other benefits to low-income families.
About the Author
Evelyn Torres
Creates helpful guides on practical skills to inspire and educate readers.
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