Baby on the way and BK
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| Wed, 03-02-2005 - 1:26pm |
Hubby and I have so many concerns about our impending BK I need to share. Late last year our lawyer encouraged us to file together. We were engaged at that point but not married. We got married over Valentine's Day weekend so we have begun to pursue the BK once again. He anticipates having a court date in about six weeks. We are also expecting a baby and hubby is self-employed. It feels so complicated. Some of this I'm sure is just typical new parent financial worries but we are so stressed.
The lawyer doesn't anticipate us having a problem getting the BK taken care of. Hubby is afraid of an audit since he's had to fudge a few numbers to stay afloat this past year. He doesn't want to complete his 2004 return for them to review because of this. The lawyer said he's not going to worry about him not having the 2004 return by the court date. Any idea how this works for someone who is self-employed? Do they ask more questions or are they more hesitant to provide a BK to one who is self-employed?
At this point, the BK won't really help financially since we haven't been making payments on anything for quite some time. It will just legally relieve us of the debt. Baby is set to arrive in July and we would really like to look for another place to live. We are considering renting a house since we will likely not be able to get a home loan for quite a few years. How long after Bk did it take for you to get a home loan at a decent rate? Right now we only pay $225 a month for lot rent. We own the mobile home we live in but it's not worth much. A rental home around here would go for about $600 per month. I have had my student loans deferred but I will have to start paying on them again in October. They will not be more than 20% of my monthly income so they'll be about $250 per month. We'll also have daycare expenses. The one we're looking at is $110 per week. The average for around here. It seems like though we've gotten rid of several payments we have new ones coming into play.
My monthly income is only about $1300 so after daycare and my student loans as well as groceries there isn't much left over where I used to give hubby $500 per month to help with living expenses. I could eliminate the daycare cost by staying home but through my job we have health insurance. We don't want baby to be without that. I also need a new car. Mine is not baby friendly whatsoever. Luckily, we have family who will be supplying us with the larger ticket baby items.
Hubby's monthly guarnteed income from his job is about $2000 - 2500 per month. That does not include any new jobs he might get. New jobs in this case could range anywhere from $500 - 2500. He's in website design. He's nervous about the longevity of the business. Overall, it's been growing but as technology advances what happens?
I need to look for a better paying job but they are few and far between in this area. It's almost like me working isn't a real benefit other than we get health insurance. I just don't make enough for it to truly be worth it. Hubby is pretty depressed over the whole situation. We have a friend who recently purchased a house. She only makes $27,000 per year and her mortgage will be $900 per month. We don't know how she's going to do it. Combined we bring in triple that yearly income.
Sorry this was so long. If anyone had any advice to offer, I'd love to hear it.
Thanks!

Congratulations on the upcoming baby!
I don't know anything about bankruptcy, so I can't give you any information in that regard.
Becky
CL of 4th, 5th & 6th grade Scoliosis