A Straight Talk on Debt

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Things Change!

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I have written of my frustration in trying to get my mom on board with the "live on a budget" idea.

Her basic attitude has been that I am a killjoy, and she seems to think I overstate how hard it is to live on a tight budget. Since she spends so much time with us it has created some struggles. Well . . . let's face it: we have had some fights.

Things have changed. My mom now has to live on a budget!

Quick explanation: She has her retirement from the school district and she has social security from when she worked outside of education. She also has some retirement from my dad and money she saved. She has been in GREAT shape.

Basically, for the first five years of her retirement she was making more that she did when she was working. She had a really nice income before and it has been years since she had to think about anything she wanted to buy. If she was taking a trip it would be first class all the way.  

One of her favorite saying was, "After all, it is only money!"

Then the government told her they had overpaid her social security. They had figured her income wrong. She thought they were wrong when they told her what she would be getting from the start. She even made an appointment and went in and told them she thought they were paying her too much.

They assured her they were correct, but they were not. Now they have not only cut the amount of her social security income but she has to PAY BACK what they overpaid her for five years and she has three years to do it!

This means her income has been cut drastically.

Now, she is still bringing home more than we are each month, so she is not in danger of being homeless or not having food. She has a very low mortgage (half my rent!) and not a lot of monthly bills.  It is just that the days of spending with abandon are over.

She has known this was coming for about a year. I tried to talk to her about it but she brushed me off. Four months ago the change went into effect. She insisted she was fine. She was just going to cut back extra spending. Each month she tells me what happened to throw her off and make her use her credit cards but how next month would be fine.  

I used those SAME excuses until we were in trouble!

Finally, she called and was upset. She had spent all her money for the month and had forgotten a bill she had to pay. She had to put it on her credit card and she was using her credit card for her expenses for the rest of the week until payday.  She asked me to help.  She acknowledged that if she keeps going without a budget and a financial plan she could get into deep trouble. I wish I had realized it this quick when it was me.

She is bringing everything with her when I bring her up in a couple weeks. We are going to sit down and organize it all and make her a budget. She should have plenty of money for a nice entertainment budget but she cannot spend like she has a money tree.

I am not happy this happened to her.

She worked hard all her life. You notice part of her retirement comes from her own savings. She earned her fun time. She deserves to enjoy these years.

But I am happy that maybe now she will be a little more understanding when I say I cannot afford to do something.

Kimberly Davis, Debt Management Plan customer with leading provider of debt relief, CareOne Services, Inc. Kimberly Davis

I have been married for 15 years and we have two kids. We have had a rough few years; between my Mom's having to come and live with us to my husband's lay off.  We are very eager to get our finances under control with the CareOne Debt Management Plan because our kids have BIG college plans. We have plans too and they include traveling with our trailer and being able to retire at some point, so this debt just has to go!  I live in California with my family and am  focused on making real changes so that we can get started on a fun debt-free future.You many know me in the Community Forums as Kimmer5000 and I am now a compensated blogger for CareOne!  Check out my blogs under A Straight Talk and My Journey out of Debt!

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  • Hello Kimberly, I am curious how you like Careone? I just enrolled this morning and am nervous.

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