Tag: Job

How do I budget when I have no income?

July 15, 2020 / Jacob Brown

Working during school may not be an option, which leaves college students without income as they invest into their lives through higher education. Nearly all college students have money coming to them in some form, whether that be their money from summer work, deposits from another person, or loans. The source of that income could be from a job, loans (usable money but not technically income), or gifted to them by family. When I state income, I am mainly speaking about money coming in from the student working or from their spouse/significant other. Loan money deposited into a student’s bank account is similar to income (because it can be spent), but is not taxable.

Having enough money was an issue for me when I was in undergrad, and it is an issue among nearly all college students. It is difficult to figure out how much to spend on categories like transportation, housing, food, and extra activities when there is no payday in sight. It is more crucial to budget at this time. An overspent month can lead to a shortage on the next, with nothing to make up the difference.

My experience.

When I was in undergrad I tried a few different ways to balance my money. The first mistake I made was take all of the money in my account and divide it evenly across the school year. This seemed like a good idea at the time.

This setup allowed me to pace myself and know exactly how much time I had left before I ran out of money. Unfortunately, when the budget is just distributed it is hard to stay under, or considerably under. I started going to the maximum amount for each week or a little bit over, and before I knew it I was out of money. I completed my freshman year of college with $25 in my account which was just enough to fill the tank on my truck to drive home to my parent’s house. This was not my greatest idea, and I changed it for the following school year.

I started the school year with about $3,000. With this money, I had to pay some of my schooling out of pocket which left me with less money right off the bat. From what I remember, I only had about $60-$80 per week to spend on groceries, gas, and other activities. This is not a lot of money, and it was supposed to last 9 months. I did not have a lot of money to do things like go out to eat, do activities with friends, or have extravagant meals. I spent about $30 per week on groceries, which was enough. The remaining money was used on gas and “necessities.” AKA stuff I didn’t need to buy but did anyway.

I owned my vehicle and my parents paid for my insurance. Which was one thing that helped me to save some money. I also did all of my own maintenance, which allowed me to save money on the vehicle purchase. I did not have to purchase an expensive or newer vehicle.

There are probably 1,000 ways to arrange your budget to best suit you. It can be hard at times to budget because we like nice things or things that aren’t in need of TLC. Sometimes it is crucial to step back and look at what we have and decide what is most important and what can go away. Here are some guidelines of what I recommend to student living off of loans.

Find housing that is the bare minimum, but is comfortable. If you are going to pay for housing on loans, keep the cost down. Federal Graduate Loans run at about 7% interest. So imagine paying around normal sales tax on your loans while they accrue interest. I’m not saying that you should live in an apartment or house that is in a terrible location for your commute or is dangerous for your health. Find something cheap and reasonable to accommodate your needs.

Don’t lease or buy a vehicle on your loans. I have a view on loans that may differ from you. I do not think that we should ever take out loans when there is no return on our investment, but especially on vehicles due to their loss in value. They depreciate quickly, which means that the buyer loses their money quickly. Vehicles are not an investment, it is a tool that loses value over time. A large portion of graduate loans can be allocated to “cost of living.” That being said, the amount taken out should be kept to a minimum. Last school year my wife could have taken nearly $60,000 over the tuition cost for living. To me, that is absolutely insane! I have listed some “options” for how I would handle needing a vehicle. There are probably more options, but these are ones that came to my mind.

Option #1. If you HAVE to purchase a vehicle, take the time to research vehicles and make a decision for a low cost reliable vehicle. As a doctor, or soon to be, you don’t have the option of being late to work. Find a reliable vehicle at a low price (as low as you can stand) and pay for it in full. Don’t use your education loans to pay for car loans or leases.

Option #2. If you have any money that is not from loans, or parents that are willing to help, definitely go that route. I would avoid using loans on vehicles at all costs, but if you have to, make it go a long way with something very reliable.

Option #3. If you have a family member that will let you borrow a car for a few years, do it. It is probably the only option that can get you around town for nearly free. You may have to pay for insurance and fuel, but you would be paying for that anyway with a vehicle you purchase.

Budget to a minimum on food. I would think that in most areas of the United States a person could spend under $100 per week on food for themselves. It is definitely easier here in the Midwest, but may be a stretch on the East or West Coast. Learn how to prep your own food. You can eat healthier, and have food ready for you at home at any time. If you can avoid going out, which might be the most expensive way to eat, your money will go further. If you want more information on food budgeting, visit my other post on Eat Steak, Not Fast Food where I do a short discussion on saving money on food.

The 3 things above are the most important from my perspective. There are other expenditures like cell phones, computers, vacations, holidays, and others that are variable costs. All of them influence our spending, and some of them are necessities, but they tend to be cheaper than the 3 points listed in the previous sections.

Notes for the reader.

Find the amount you are willing to pay back. In the end it’s all a personal choice. Find the amount you are willing to pay back in the future. Use an online student loan calculator to figure out how much your monthly payments will be based off your interest rate and loan term. Though doctors make a good salary, consider the debt load. As an example, if a student borrows at 7% interest and has $250,000 (including accrued interest) at the end of the 4 years of Medical School, they will have a monthly payment of $1,767 for 25 years. The interest paid back is about $280,000 with a total repayment of $530,000, over double what has been borrowed.

Borrow to live, not to “live.” Calculating how much to borrow is purely based off what you need to live. It will vary from student to student but should be similar between them. Keeping the total amount down by avoiding costly ventures like extra electronics, large vacations, or overspending in other categories will benefit you in the future. Going on vacations and having nice things is fun, but the benefits should be weighed against what will need to be repaid.

Keep purchases on nonessentials to a minimum. It’s fun and tempting to go on vacation or buy new toys. That being said, I don’t think that we should not do either if we have the financial capacity. I have found it possible to go on mini vacations or purchase fun items without spending a lot. My wife and I have taken day trips to places which are very cheap. We have purchased items for our enjoyment that do not require additional money to be put into them. When it is time to move after medical school, unless the stuff is sold or thrown out, it will have to go with us.

Early Mornings

July 8, 2020 / Jacob Brown

My wife just started her third year of medical school. For those that don’t know, third year requires students to partake in activities alongside interns and attendings. The learning takes place in their (the doctors’) work environment on their schedule. This period of the students’ learning allows them to see how hospitals and clinics operate. They get to learn different procedures and techniques related to the many sectors of the medical field. It is the time when the traditional classroom learning environment diminishes and they begin transitioning into “hands on” training.

Our basic schedule is outlined below. It’s nothing exciting, but it is good insight in what is to come for those going into third year. My wife does a lot of different things at the hospital. Some of the things she does include rounding, scrubbing in on surgery, performing procedures, and others. I will definitely be writing another post that goes more depth on what she is doing, and how to best be prepared.

Starting the day.

My wife is currently working in surgery. Due to surgeries being scheduled nearly all day in hospitals, she is working longer hours than I am. My day typically involves me getting up at 5:15 am, but her day requires 4:30 am. Due to the fact that she begins earlier than I do, I get up with her to keep her company and help her get ready. She has to leave by 5:10 am to head to the hospital to avoid being late. She doesn’t have to be ready until about 6:00 am, but it takes a while to get ready with all of the time spent parking and prepping for the day. While she gets ready in the morning I take the initiative to make her lunch. I usually pack some items for making sandwiches, salads, or other items that we have made recently.

Lately I’ve been including salad with mozzarella, tomato, dressing, and chicken breast. Other items included are croutons, apple slices, and a bottle of water.

Lunch time.

My wife does not have a regular lunch schedule. Most of the time she has lunch randomly or not at all. The time allotted is typically when it is convenient in her schedule. I pack snacks bars for her for in case she has time to eat them. It is a lot easier to grab a snack bar in a quick break than to sit down and eat a full meal.

With the amount of unknowns such as lunch, she has experienced some new stresses. She has to go long periods of time on occasion without getting to eat. This could be one of the main contributors to her feeling more tired in the afternoon, but it could also be that by noon she has been up for over 7 hours by noon.

Departure from work.

My wife tends to leave around 6 pm, but there have been a few times where she has left between 12-2 pm. The scheduling right now is sporadic with COVID-19, and incoming patients. I leave work in time to get home and start dinner before she arrives. She is always very tired when she gets home, and I find having dinner ready helps when she needs to study before heading to bed.

I use the time when I am home and she is gone to exercise, work on projects, or make dinner. This is the time where I can catch up on things that I am behind on before she gets home. Usually I am behind on dishes and keeping our kitchen clean. I like to cook and am terrible at keeping everything tidy.

Tips for the reader.

Make it a team effort. Medical school is already hard enough. I find that taking the time to help with the little things make a big difference. Making lunch, dinner, or cleaning up the house goes a long way in reducing stress.

Follow their schedule if possible. I wouldn’t be able to follow my wife’s schedule if she were on third shift, or me, but I can right now. I think that it works well having us get up together and go to bed together. We have opportunities to create more unity and help each other.

Make Time Together

June 24, 2020 / Jacob Brown

Now that my wife is in medical school we have really grown to appreciate the time that we have together. With free time being limited, we have to make choices on what we want to do together in advance. Now, not everything that we decide to do together is super extravagant, or extremely time consuming, but it doesn’t need to be. We have found that it is fun to do bigger things together, but we get more quality time together when we are laid back.

There are a lot of reasons that we don’t get to spend as much time with each other as we would like. We have found that most of the reasons we do not get to spend time together are good reasons. We have things going on in our lives and can’t always put them on hold. I have put together a list of some reasons, and whether or not I think they are legitimate reasons for not making time together. Some of them are more serious than others, but all of them eat up time.

We don’t get to spend as much time together because I have to:

Work at my job. This is a good thing. It is good to have time away from each other because it helps us find ourselves. I work from 6:30-5pm on weekdays so that we have income, which is kind of important.

Mow the lawn. When living in a house with a yard this is inevitable. At some point the grass will have to be cut, the question is by who. I could pay someone to come to my house and mow my yard (which takes about 15-20 minutes) or I can just do it myself.

Work on house projects. I do a fairly significant amount of work on our house to maintain it and increase the functionality and appearance. Some of the work is a requirement, but some of it is additional tasks that I have chosen to do. Lately, I have been remodeling our basement to bring it a little bit more up to date. This is not a requirement. There was nothing in the basement of our house that was damaging or going to cause major problems.

Watch tv and play on my phone. This is something that I think is the least beneficial to our relationship. That being said, watching tv and playing on my phone has a time and place. There are times where my wife is busy with school, and I have completed everything else on my to-do list.

We don’t get to spend as much time together because my wife has to:

Study for class. This is a legitimate reason not to spend time together. This is the reason we moved and are doing what we do. She needs time to study without me needing to bother her.

Attending class or other learning centers. This is another big reason we don’t get to spend time together. I am not upset about either of these reasons because this is why we are here. I want her to excel as much as she can, and that can only be done by attending school and doing her best.

There are some different chores or tasks that we try to work on together that gives us more time. Some of them are washing dishes, doing laundry, or cleaning the house. Not only do we get to spend time doing these, they go faster. When we help each other it opens up both of ours time so that we can do more together.

Biggest tip for the reader.

If your spouse is busy, be busy too. If your spouse is working and has a time that they will be done. Try to get your work done at the same time. Don’t push off working on projects, chores, or work. If you can get everything done while they are working, you will have a nice window to spend time together. It’s not super fun to have one person done with what they are working on while the other person still have an hour of work to complete because they were watching tv. I have experienced this (and still do).

Passing Time

June 3, 2020 / Jacob Brown

Something that I think Americans are generally bad at is passing time while keeping themselves busy. I know that as I have gotten older the number of young kids that go outside to play has lessened. There are a lot more activities for them indoors within television and video games. I grew up with just the “farmer 5” tv stations and did not have internet at my house until I was about 15 years old. When I was bored, I went outside and got dirty. I played games like kickball, volleyball, and basketball. I constructed stuff out of wood that didn’t make any sense, and I built stuff out of LEGO’s. There seems to be a disconnect with people today in all of these activities.

Being patient is one of the hardest things that we can do, and it shows. Most of us are terrible at being patient. There are events in life, big or small, that will make us wait. We are trained from a young age that we don’t need to wait for anything here in the US. We have fast food, fast internet, immediate results on tests, and much more. Our culture is fast paced and it can be a challenge to be patient.

My wife spends a lot of time studying, and I have found that passing time is easiest if my mind is busy. Keeping myself busy is not an easy task, there are a lot of times where I just want to do nothing but sit and watch tv. It can be a challenge to get up and get something done when I don’t have to. The motivation to keep busy mostly just my wanting. I want to build projects, hunt, fish, home remodeling, and work on cars. I don’t have to do any of those things.

Food. We have plenty of money to buy our food. I don’t need to hunt and fish in order for us to survive, but I want to do these things for the challenge. I enjoy the reward that come with these kinds of activities. If you were to go ask hunters the main reasons while they hunt, a lot of them will say that it is for the food, fun, and the challenge. In my opinion, stating that you hunt and fish for food is the most “politically correct” statement. The other reasons have to accompany the food aspect otherwise it is much more difficult to want to do it. If you’re not having fun, it may not be for you.

Construction. I have been remodeling our basement at our house. I could pay someone to do the work for me, it would make it faster. I do the work myself because I have time and need something to do after work. Some other benefits are we get to have a layout that fits our needs. We also get to make it our space and have the pride of doing the work ourselves.

Auto work. I don’t need to work on my car and perform my own maintenance. For me, if I don’t do it I feel lazy. I have the ability and the time, so why not. I also gain the experience and am more in tune with the stuff that I own.

Exercise. Now that the weather is warm I have been looking to get back into riding my bike. My wife and I like to take strolls in the metro parks when she is available. Otherwise, I take my bike to parks or ride through town when the weather is good. Not only does this provide some exercise, but it allows me to have more time to think.

TV. Definitely something that I think we should give ourselves in moderation. Most of what I watch on TV is not cable or any network of television stations. I usually stick to online video services and watch tv show episodes or movies that I haven’t seen in a while. Along with this, video games should be played in moderation. They are certainly fun, but a lot of it can drive a person into a hole of solitude. It can be a little bit hard to have friends or get out of the house if I’m sitting on the couch watching tv or playing video games for hours.

There are a lot more things that people can and should be doing to occupy their time. It is important to me to try to be productive, though it doesn’t always happen. So try to get out and find something new, or find a group of people that are doing what you want to try.

Eat Steak, Not Fast Food

April 26, 2020 / Jacob Brown

Would you think I’m crazy if I told you that you could eat steak 2 times per day, and it would be cheaper than fast food? Well I guess I am a little crazy, but it’s true. When compared to a meal from fast food chains, you CAN eat cheaper and better at your own home. It just takes a little time and planning.

Fast Food. I know for me when I stop in at a fast food chain I prefer to order a meal and not off the dollar menu. The quality of the food is much better, but the meals end up costing upwards of $8. I would say that $10 is a good estimate on how much a meal would cost for myself. Now, let’s compare that to cooking at home.

If we estimate that an average person eating out everyday for 3 meals would spend between $10 per meal, that’s about $10,950 per year ($210.50/week)! A huge chunk of change.

Now, if that same person were to go out for 2 meals per day (instead of 3) and cooked their 3rd meal at home every day for $5, they would spend about $9,125 per year ($175.50/week).

If a person were to eat breakfast at home, go out for lunch, and eat dinner at home every day ($5/meal), they would spend about $7,300/year ($140.50/week). Still an astonishing amount of money.

If the same person were to make all of their meals at home ($5/meal) and go out 1 time per week, they would spend about $5,735/year ($110.50/week).

Something interesting is my wife and I BOTH eat for under $110 per week with going out together 1 time.

Eating at home. Another way to look at this is if a person were to spend an average of $10 per meal eating at home, they could be eating shrimp and steak at nearly every meal. Shrimp usually runs between $5-$10/lb, and a steak like NY Strip is around $8/lb. Even a high quality fillet minion is around $20/lb and can be divided into four 4oz steaks, making each steak about $5 before cooking. The experience is dependent on learning how to cook properly, but most of the basics of cooking are not hard. It just takes practice.

Now, I understand that a person may not have very much time for making meals everyday, so I suggest making meals for the next day or two. If a person has time at lunch on a Monday, make food for Tuesday and Wednesday. Depending on what food item is being made, it will still be good on Tuesday or Wednesday. There are some other meals that can be prepared in a slow cooker, but I enjoy the freshness of food being baked or cooked off the stove. Proper warming of food that has been cooked earlier in the week is also crucial for the experience. If I am warming something like steak, or another food that wouldn’t fair well in a microwave, I will warm it in the oven. The oven doesn’t boil the fat and water out of food cooking it more, and it’s easier to control when it’s warm enough.

I get that eating steak only would probably not be the healthiest for your body. It might be a little bit rough on your digestive tract as well if there is nothing but fat and protein. What I am trying to show is that we can buy ingredients and spend a little bit of time cooking, and save quite a bit of money. My wife and I try to buy items like vegetables, fruit, cereal, and dairy products on our weekly budget in addition to different meats. Keeping our budget fairly low it’s down on the purchase of nonessential items, and makes it possible for us to be spontaneous at times. We have room in our budget to go out with friends if we want without going over budget. We can buy new clothes, tools, or swing through somewhere for dessert without having to worry about our budget.

Tips for the reader.

Set up a budget. Figure out how much you would like to be able to spend on nonessential items and savings, and work your food budget around it.

Practice patience. With how American culture is based on “GO, GO, GO“ it can be difficult to take the time to cook your own meals. Be patient and make time to cook. This is also great time to spend with your spouse.

Keep it as cheap as possible. We like to travel and as you may know, it’s expensive. If you can keep your variable costs down, you will have more room in your budget for traveling and fun activities.

Do what you can afford. You may be able to eat out at every meal (I don’t know your budget), but I find it best to keep it reasonable and make sure that I can meet my other life goals.

Buy in bulk. Bulk pricing will get you a better deal most of the time. Purchase in larger quantities and store (freeze what can be) and use it later.

Finding a Job

March 4, 2020 / Jacob Brown

It’s been almost two years now that my wife and I transitioned from undergrad to medical school. For us, this meant a new city and new opportunities. Moving to Ohio distanced us from our family, and we had not really lived apart from them until now. Moving away was not easy, but it had to be done for this next adventure in our lives.

I began looking for a job in February of 2018 during college. I started applying for jobs solely in my major. Without any offers, I began to widen my search. From my perspective, the biggest challenge was making myself more appealing than the other engineers in this city. This city is home to a large Engineering University, which creates a lot of engineers and not a lot of open jobs. This also means that the businesses in the area are more familiar with their engineering program than mine. The main goal of my search was to accept any job that would give me an offer. After all, the only necessity at the time was cash flow. I applied for jobs at stores, engineering firms, manufacturing plants and more. We realized that if I didn’t get a job soon, we would be forced to take loans for cost of living (this isn’t the end of the world, but it could significantly add to school debt). This would have been a very costly financial decision, seeing as we would have to pay it back as such a high interest rate.

In the end of July of 2018 I started my first job. This is where having connections came in handy. I interned with this company between my first two years of undergrad, and they were excited to have me back in the company. They were expanding their reach and developing a new facility 23 miles from my house, and I would be able to work there until I found another job. The job entailed documenting construction progress and troubleshooting machinery installation. Not really an engineering based job, but I would gain a lot of experience working on such a large project.

I was able to make an agreement with my employer that I would work for them, while continuing my job search. There were a couple times I left work early or came in late because I was at a job interview. Without this kind of arrangement, I would not have been permitted to miss as much work as I did. I wasn’t as stressed about finding another job because we had income. I could look as long as I wanted for a job in the engineering field, and we would be financially stable.

We accepted my first job for many reasons, but one had a higher priority. We could become Ohio residents. By becoming residents, we were able to knock the tuition cost nearly in half for my wife’s first year of medical school. This was a great financial decision (who wouldn’t want to save $30,000), and if anyone else is in this situation, I recommend taking this approach.

I left my first job in the end of September in 2019 after I accepted a position as a Supply Chain Engineer for a fabrication company. Leaving was hard, but I think that it was the right decision. I now work in a better field and am learning more information that will benefit me in any future job. Over the course of 18 months I applied for nearly 175 jobs at about 150 different companies.

Final thoughts from my application process.

If you need money, don’t be picky. If you can get a job that pays your bills, you will make it. Land a paying job, then worry about finding one you enjoy.

Keep applying. Applying in numbers is one of the biggest contributors to success. Apply for more than you think is necessary and for jobs that you are not 100% qualified for (not the VP of a company, but something just outside your reach that you know you can do). Employers list their wants and needs, and don’t always stick to the requirements listed in the ad.

Be confident in yourself. When you get an interview, do your best. Don’t let the pressure of needing a job distract you.