Sunday, October 2, 2011

Should I Be A Stay At Home Mom

Even in a down economy many people are quitting their jobs, statistics say that 1.5-2million people do so every month. A good majority of those quitters are women who have chosen to be a stay at home mom.

Why are women quitting their jobs to stay home with their children?

Because it makes sense dang-gone it!
Have you compared your income to your work related expenses? There are certain expenses that you acquire just because you go to work. When you look at those honestly you will quickly realize that it may be cheaper if you decided to be a stay at home mom.
Sally Sue (not her real name) contacted me last week for coaching on her new business idea, as we talked she gave me her reason for staying home and starting a business.
She was making around $2,200 a month and had 2 children, a 1yr and 3yr, in daycare.  Her income moved her family's tax bracket up to 25% which meant she was averaging around $1,650/mo. When you subtract the daycare fees of $300/mo that left her with $1,350.
She told me, "Lady T that's as far as I went in determining the cost of working. I figured if I could just hang on  in there for another 3yrs then the children will be out of daycare, I'll get some raises and life would be great. But I realized that because my children were IN daycare I was spending extra money; like disposable diapers. I only buy those because the daycare doesn't accept cloth."

But the expenses didn't stop there. She drove 7 miles to get to the "wonderful" daycare and then turned back around to go 21 miles to work.  Leaving work she would pass up her home, go to the daycare and then back home for a total of 63 miles a day,  5 days a week.  20 days a month equals 1,260 MILES A MONTH!  She said, "when gasoline went go over $3.20 a gallon I would cry filling up my van! And that's really when I started to pay attention to the other expenses that were related to my going to work."

Eating lunch at a restaurant with co-workers is convenient and social. And eating out for dinner is quick and easy. Both are very expensive and most moms calculate spending a total of $60-$100 a month just eating out.
"But Lady T, there were other expenses like buying gifts for co-workers & bosses; supporting the co-workers children's school fundraisers, throwing money into the office pot for office parties. I stop breast-feeding my 1yr old because I was too busy at work to pump milk, so we were buying formula!

Once I deducted my work-related expenses I realized that I was making about $700 a month. With loads of stress! It wasn't worth it."

You'll have to look at your own work related expenses and determine what's right for you and your family.  By taking a honest financial assessment it will make it easier for you to decide whether or not you should be a stay at home mom.

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