Baby Budget

Emily is 23 years old. She married Jake when they finished high school. They have 2 little girls (4 and 2 years old). Emily and Jake began having problems about a year ago and separated. Jake is not all that responsible but does have a job and makes $9.00 per hour. He has bee giving Emily $50.00 a week for the girls. Emily found a job cleaning rooms at the Red Roof Inn. She works 40 hours a week. She has done such a great job there that she now makes $11.00 an hour. She is lucky because she has limited health insurance for her and both girls and it does pay some for accidents and sickness, but not for preventive care.

Estimate Emily’s net income:______________________________

Gross Income=before federal, local, state taxes, and social security is taken out.

Net Income=after all the deductions (minus at least 25% of gross income)


Make a monthly budget for Emily

Rent____________________

Utilities:
Gas ______________
Electric ______________
Phone ______________
Water _______________

Utilities Total_______________

Food ______________

Child Care ______________

Transportation(car, bus, Uber, etc)

Car payment ________________

Insurance __________________

Gas ______________________

Bus Fare _________________

Transportation Total _______________

Clothing: Shoes, coats, diapers, clothes

Total ________________

Haircuts and other miscellaneous ____________________

Entertainment __________________

Grand Total _____________________

Now consider Jake is caught drinking and driving and loses his job. What happens to Emily and the kids?

Now consider, Emily has an elderly aunt. Emily is helping her change some light bulbs and slips and falls from the stepladder and breaks her leg. She will be in a cast and unable to work for the next 6-8 weeks. What happens to Emily and the kids?
Would you personally be able to do it?