file or not?

[Medport]

Ok, I've never missed payments and have good credit (750ish). My problem is I sometimes have to use my credit card for unexpected expenses and groceries once in awhile. My expenses are usually around $2250/m and I only make about 2k with my main job. I do have a PRN job and can make 125-250 more a month, but that is not reliable. I went back to school for the third time to get my LPN license and used student loans to pay some of the bills (around 35k). I was under the assumption that I could get a hospital job and they would reimburse most of the student loans. I did'nt realize they only did that for RN's. I can only find work in nursing homes or assisted living. I currently work in assisted living and the pay is'nt the greatest and there are no benefits, including no insurance. I got a call about a job interview in Cleveland through the state that pays good and has benefits, but that's a 3 hour drive away. I'm thinking that's too far to even check out. I'm supposed to get a longevity bonus at my current job if I stay 4 more months too, that would help for a little while. I'm not sure what to do as I'm tired of living paycheck-to paycheck and worrying about how to pay the bills.
I'm divorced, no kids, have a mortgage with a good rate, but the utility bills are bad since its an older 2 story. My home equity is about to the max and I will have to somehow pay that off within 5 years. Credit cards are around 15k. If I could eliminate those, that would save my about 300/m in payments. Do you think I should file? The thing that concerns me is if I happen to find a better job than I would'nt have wanted to file and if I do file than it may be harder to get a job from what I hear. Also if I ever find a long-term girlfriend and could somehow combine expenses that would help, but I don't really have the cash to pursue that very easy right now as I hate going out and spending money I don't have to blow. I also have a leased car that I had for about 6 months, probably not the best idea, but I'm now stuck. Any ideas?

[olivies]

Personally, if I was short only 250K a month I would cut expenses as much as possible, go with only the necessities, and look to increase my income. Even if it's just delivering pizzas. Possibly get a forebearance on the student loans. Then I would tackle the credit card debt with a furry. I'ld probably explore the option of selling the house, especially if the job market near you for your profession is not that great and doesn't offer much opportunity.

[Medport]

Thanks for the reply. Yeah, I'm short about $250 month, but that's only when there are no openings to pick up days at my second job and gas bills are high like this time of year. But then things always come up like appliances breaking, oil changes, tires, roof repairs, ect. that put you further in the hole. I actually thought about delivering pizzas again (I did this for about 6-7 years), but I have a fairly new leased vehicle right now. I'm also thinking of looking into home health nursing for a few hours here and there, but that won't help that much. As far as expenses, the only "extra" I have is cable tv which is about $50/m. I'm thinking of canceling my local/long distance phone and getting Vonage too, that should save me about $25/m. The only other place I could cut back is food as I spend a lot on food as I'm a bodybuilder/weightlifter, but that's my only real hobby and it keeps you in shape.

[olivies]

Well, you mentioned you have a house with no spouse/gf or children. You could consider taking on a house mate- obviously you'ld want to screen who you live with, but charging rent could help with your costs for the house. You're a bodybuilder- can you possibly do some athletic/personal training at the gym or a local YMCA? Or run a bootcamp type of program through the local park and rec department, or on your own? I hear you on the "unexpected" things- and it always seems like things go wrong when you're broke. The only other advice I can offer, and I hope it's ok for me to do so here, is for you to check out Dave Ramsey's website. I listen to him on the radio, and he really seems to motivate people who are just getting by, often suggesting something they hadn't thought of before in their budgeting process. Good luck!

[ToughTimes]

Good fortune to you, whatever you choose to do.

I would at least interview and attempt to get the Cleveland job. If I could, as a single person, get that job, I'd take that job and rent the house out completely. I'd rent the most modest place I could bear in or near Cleveland and work.

I am basing these actions on the notion that the Cleveland job is affiliated with the state as you say, and that it also would have benefits. It sounds like it would be a substantial improvement over your current employment.

If that job panned out, I'd sell the house over time and buy nearer to where I expected to continue to work. If I could not sell the house, I'd look at things then to see whether a BK or a foreclosure would be a better strategic move.

And I'd get my R.N. if I were you, as part of my long-term plan.

If I were in the medical field and in Ohio, I would certainly have my sights set on Cleveland.

[Medport]

Good advice, too bad I decided not to go. I think I would feel more comfortable with something closer, but still in a larger city like Toledo, Lima or even Fort Wayne. I thought about going for the RN, but can't borrow any more money and don't have the time now anyway. If I could find a place that would reimburse for classes maybe I could take 1 or 2 at a time, but that does'nt look very likely. I tried looking for a roommate a couple years ago but got no bites. I even live right across the street from a college, but I don't really need a bunch of partying kids in here all hours of the night and the house is'nt really set up for a roommate.

[OhioFiler]

Good advice, too bad I decided not to go. I think I would feel more comfortable with something closer, but still in a larger city like Toledo, Lima or even Fort Wayne. I thought about going for the RN, but can't borrow any more money and don't have the time now anyway. If I could find a place that would reimburse for classes maybe I could take 1 or 2 at a time, but that does'nt look very likely. I tried looking for a roommate a couple years ago but got no bites. I even live right across the street from a college, but I don't really need a bunch of partying kids in here all hours of the night and the house is'nt really set up for a roommate.

If the school has a graduate program you could probably find an adult who would love to rent space from you. Grad students are always looking for a reasonable place to lie their head and tend to be quiet.

[SMinGA]

I'm no help on the question of whether filing is right for you - but if you're paying on student loans have you looked into income based repayment? Google IBR or look it up at your loan servicer's website. My understanding is its new as of July 2009 - and designed to keep payments reasonable since getting a college education does not always mean you earn big bucks.

Anyhow, its something worth looking into regardless of everything else.

[Medport]

Yeah, I asked the student loan people about that. I made slightly too much money last year (lol) as I had 3 jobs for awhile to do much good. She said it might knock $20 from last years tax return totals and maybe up to $70 off tops if I send in my last 3 months check stubs, ect. for this year. I'm not sure how it works though with my PRN job as I never know what will be available. I wonder if I could not work for a few months at my 2nd job and then file and then go back to picking up days. One other thing I noticed was something about loan forgiveness for service professionals (I think nurses qualify) after 10 years of steady payments. Mine is at 20 years now and I'll be about 60 when it is paid off unless I keep deferring it. I think if you defer or do the income based it messes that up though. I tried asking the lady about all my options after my last deferment and she did'nt seem to help much. btw, those deferments do help for a few months, but increase your payment by $5-10 when you resume them. Maybe the government will lower interest or do some kind of forgiveness for student loans some day. In my case it might make the difference between filing bankruptcy or not.

[SMinGA]

To apply for IBR I had to fill out an application and send in tax returns to each of my servicers. I understand it to be an annual reapplication process - as income can change year to year. I also understand that after 25 years of payments under IBR - any balance remaining is forgiven. Sounds a little depressing, but right now my payment is not enough to cover interest.