Furloughs Letters Delayed 2 weeks

rmorse

Well-Known Member
Yeah, people paying their mortgages depends on their political game playing.

Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.
 

Vince

......
Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.
Some people live paycheck to paycheck and 20% can mean the difference between making all your bills....and not.
 

Chasey_Lane

Salt Life
Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.

It's more than just a 20% reduction in pay. Premium for health benefits remain the same, as does electricity, food, internet, cable, and then there is also sports registration fees, prom, senior pictures, yearbook, swim lessons, you name it. So yeah, some people will have a difficult time paying their mortgage or other bills if their pay is cut.
 
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czygvtwkr

Guest
A lot of people I know have mortgages that depend on two earners, and if one already lost a job....
 

DEEKAYPEE8569

Well-Known Member
Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.

Is there some sort of risk assessment table you use to come up with your statment? How much of a pay cut should somebody be able to absorb and still be able to pay a mortgage, utilities, food, clothing, child care if it applies, gas, and anything else I may have left out?
 

rmorse

Well-Known Member
It's more than just a 20% reduction in pay. Premium for health benefits remain the same, as does electricity, food, internet, cable, and then there is also sports registration fees, prom, senior pictures, yearbook, swim lessons, you name it. So yeah, some people will have a difficult time paying their mortgage or other bills if their pay is cut.

You might want to direct that comment to Vince, as he was the one who suggested that people will not be able to afford their mortgages. I, personally, would get rid of or reduce the internet, cable, swim lessons, prom, senior pictures, etc. before I took a risk of not paying on my mortgage. Again, if you've already made those hard cuts (and they are hard to do) and yet you still are struggling to make your mortgage payment, then your mortgage payment is too high.

A lot of people I know have mortgages that depend on two earners, and if one already lost a job....

I know some as well. I call them financially irresponsible.
 

rmorse

Well-Known Member
Is there some sort of risk assessment table you use to come up with your statment? How much of a pay cut should somebody be able to absorb and still be able to pay a mortgage, utilities, food, clothing, child care if it applies, gas, and anything else I may have left out?

Yea, you're right. It's entirely reasonable to be pulling in $2,000 a month and have a mortgage payment of $1,600. :sarcasm:
 

rmorse

Well-Known Member
Yea, you're right. It's entirely reasonable to be pulling in $2,000 a month and have a mortgage payment of $1,600. :sarcasm:

Break time over, back to work for me.

For the record - I'm not saying that a 20% cut isn't going to affect people. I *am* saying, however, if after a 20% cut, you're at risk of losing your house/not making mortgage/rent payments.....you may want to consider looking for a cheaper place to live.
 

terbear1225

Well-Known Member
Yea, you're right. It's entirely reasonable to be pulling in $2,000 a month and have a mortgage payment of $1,600. :sarcasm:

but it is reasonable to be pulling in $2000 a month take home, spend $200 a month on food, $200 a month on gas, $200 a month on utilities, upwards of $600 a month on childcare if you have a kid and 800 a month on rent. That should leave you with 200 a month discretionary. unless of course your pay gets cut by 20% and suddenly your 200 a month over budget. some utilities can be cut but not all.
 

Chasey_Lane

Salt Life
Again, if you've already made those hard cuts (and they are hard to do) and yet you still are struggling to make your mortgage payment, then your mortgage payment is too high.
People base their bills on their income. I don't think anyone gets into a mortgage thinking their pay and their spouses pay will be cut. If you both make $100K annually, and $40K is taken from you (furlough), that's not being irresponsible with your mortgage.
 
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czygvtwkr

Guest
I know some as well. I call them financially irresponsible.

I wouldn't have extended myself that much, but when I first started as a GS-7 engineer making $45k/year it took half of my take home pay just for rent, and I lived in a fairly cheap place. I can't imagine what this will do to those recently out of college.
 

nomoney

....
Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.


20% cut here is a little over 1k a month. We will still make our mortgage easily, but 20% cut isn't just chump change that just not going out to eat is going to make up for.
 

DEEKAYPEE8569

Well-Known Member
It's more than just a 20% reduction in pay. Premium for health benefits remain the same, as does electricity, food, internet, cable, and then there is also sports registration fees, prom, senior pictures, yearbook, swim lessons, you name it. So yeah, some people will have a difficult time paying their mortgage or other bills if their pay is cut.

Chasey, someone's gonna make the argument; so why not ME?

With the exception of rent/mortgage, utilities and food, internet/cable, sports registration fees, prom, senior pictures, yearbook, swim lessons and the 'you name it's' are not necessary for survival; ie; luxuries; even though having to survive the "Why not's" and "Why can't I's" as a parent has its downside.
 

Vince

......
Well, what I meant by mortgages, is bills. You know your mortgage, elect bill, food, medical, etc. People living paycheck to paycheck with a 20% cut may have a tough time. I know that may be difficult for some to comprehend.
 

terbear1225

Well-Known Member
Usually I'm silent with this kinda crap, but if you can't afford your mortgage payment after a 20% cut, your mortgage is entirely too high.

I don't know that most people are really in danger of not being able to make their mortgage payments, most will probably cut other things first, but since the mortgage is normally the highest monthly bill it's the one that jumps to mind first when looking for something to stress over.
 

DEEKAYPEE8569

Well-Known Member
I don't know that most people are really in danger of not being able to make their mortgage payments, most will probably cut other things first, but since the mortgage is normally the highest monthly bill it's the one that jumps to mind first when looking for something to stress over.

Right. The first thing is the house/rent payment, then the utilities, then food, then credit cards if you have them; depending on how much or how late they may be. Things like cable/satellite, kids playing sports etc. should be LAST on the list. I say this because I know somebody who puts her girls ahead of bills with regard to what they want when they want it. The 'oh, that bill can wait' mentality.
 
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