If you are considering leaving your job to become a home-based professional but you are not sure if you can afford it, there are a few things that you may want to consider. Leaving the traditional work world to work at home does have a cost associated with it, but have you considered what it costs you to remain in your current work situation? This information is pertinent for all people considering home-based work, but it may have the biggest impact on parents of children who are not yet old enough to be in school.
Many parents of young children feel that they need two incomes in order to support their family. While this may be true for some people, other people find that after they look at what it “costs” them to have both parents working it is not the right thing for their family to do after all. Of course, the only way to determine whether this applies to your situation is to get out a pencil and paper and do the math.
One major expense that two-income families have to account for is child care. Some families are blessed with family that live close by who are willing and able to care for the children so that both parents can work. Many families are not that lucky and they spend a hefty chunk of their second paycheck on child care expenses.
If both parents work outside of the home, then both parents are incurring expenses related to their daily commute including fuel, parking, and vehicle maintenance. If you buy lunch at work or takeout on the way home because there is little time to prepare meals, that can get expensive after a while too. Depending upon what you do for work, there may be additional costs that you will need to include in your calculations. Knowing whether it makes financial sense for both parents to work outside of the home is important for your family, no matter what you conclude after doing the math – have you run your numbers yet?