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Old 07-03-2009, 08:39 AM   #21
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Originally Posted by simple girl;831468 Another change is they will be reducing the match to 25 cents on the dollar for 401K contributions. I thought our company was pretty recession-proof, so this was a little wake-up call. ![/quote

Am sorry to hear that your company is reducing 401K matching (it's a benefit I don't receive, but I realize many others depend on it for retirement savings). Good thing you have been responsible, and probably will bounce back from this better than some would!

Then, yesterday, my brother called me to tell me he was laid off. He said he was going to wait a few days to let it all sink in, and then wants to talk to me about whether to touch his 401k or not. He doesn't have an emergency fund. The 401K isn't huge (around $30K).
So sorry to hear this. What a blow for your brother and his wife. I sure hope he and his wife can get some kind of work--whatever it takes; we've all worked icky jobs at times--to fill the gap, so he doesn't have to cut into that hard-won 401K. What I'm thinking is, he's probably many years from retirement, so that 401K money will reap "the magic of compounding," if only he can keep from using it! Years from now, he will be so glad!

Let us know how this goes,

Amethyst
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Old 07-04-2009, 12:16 PM   #22
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Originally Posted by simple girl View Post
Then, yesterday, my brother called me to tell me he was laid off. He works in the trucking business. His wife was laid off last year in May and has yet to find a job.
Today's life style of dual incomes adds a lot of risk to recessionary, high unemployment times like these.

Our son and DIL both have good jobs as engineers, she a chem eng and he a mechanical. Each contributes about 50% to family income. They have three kids (our beloved grandkids! ) one in full time daycare and two in before and after school care.

If either our son or our DIL was laid off, DW and I are prepared to pay their mortgage and babysit to eliminate the daycare costs during the unemployment period. They have reasonable savings (about $300k at age 35 predominately in tax deferred accounts) and no debt other than the mortgage so they really wouldn't need emergency funding if one was out of work. But we'd contribute as we'd hate to see them lose the savings mentality we've pounded into their heads the past decade.

If both of them were laid off (gawd.....hate to think about it!), DW and I could/would do the same things but if the situation persisted for more than a few months, the kids would have to start withdrawing from savings, possibly even from deferred savings. Yuuuch...... They're on a roll and I'd sure hate to see "saving" turn into "withdrawing."

By far the biggest impact on our lives since this recession started is keeping two sets of books....... one for life with both kids working and one for life with one unemployed and us paying their mortgage during the job hunt. The second biggest impact has been the reduction in value of our portfolio which, despite the decent second quarter performance, is still down significantly.

We're ready for the economy to improve so that hardworking, qualified people have little risk of long term unemployment.
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Old 07-06-2009, 01:32 PM   #23
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Originally Posted by youbet View Post
Today's life style of dual incomes adds a lot of risk to recessionary, high unemployment times like these.

If either our son or our DIL was laid off, DW and I are prepared to pay their mortgage and babysit to eliminate the daycare costs during the unemployment period.
^^^^^^^^ Need to get some parents like that ^^^^^^

**** Note to self, Need to BE parents like that ^^^^^^^^
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Old 08-24-2009, 11:34 AM   #24
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Here is some interesting info. I don't know how reliable it is, but it is claimed that the DC area has 6 job postings for each unemployed person. It seems to jibe with Walt34's observation that traffic on the Beltway is terrible. Despite past pledges to keep the government small, I've read that it kept growing. Well, if not at the state level then at the Fed level as the latter can print money. Not all jobs in DC are Fed jobs, as there will be also many supporting jobs in the private sector.

The 2nd best place is Jacksonville, Florida. One needs to go to where the money is: Can't Find a Job? Best and Worst Job Markets | Indeed.com
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