How to live on $600 per month

Here's a very simplified guide on how a single, lower-income individual can live on a minimum of about $600 per month.:

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Rent + utilities - 220 per month - rent a trailer, and you'll pay much less than for a studio apartment with about the same amount of space

Groceries - 200 per month

Car insurance (liablity only) - $70 per month - the individual owns an older used car paid in cash and does not make payments

Internet + telephone - $60 per month - person owns a basic internet and telephone service

Gasoline - $40-50 per month

Propane - $15 per month

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Even assuming the individual only works 40 hours a week at a min wage job making $7.25 per hour, they would still have close to $550 in surplus cash every month - which in a year would amount to about $6000 in savings (more than enough to pay for some community college degrees in full, and almost enough to make a downpayment for a mortgage on a smaller home).

So this proves that it is possible, even on the lowest income level, to live relatively comfortably just by keeping your expenses to a minimum and not abusing 'luxuries' like Iphones, tobacco, alcohol, cable TV, video games, etc that Americans take for granted and seem to believe are "basic necessities".

 

Where are these trailers located?? In montana? Where I live, trailers rent for $1,400 per month.

That comes to $6.45 per day to live off of. I guess a diet of dog good and crackers will have to do.

Older used cars are maintenance heavy; where does the money come from to repair them? Insurance rates vary among states and the drivers record.

Ok that may be realistic.

Gas selling for $3.50 a gallon; that comes to $.46 per day in fuel usage. since its an older used car the person is using, all he'll be able to do is start it up and shut it off after 32 seconds.

For those who are able to rent trailers where local ordinances permit the use of propane, that will allow them to use $.48 per day; so they should be able to heat up some soup and maybe a cup of coffee; at least they get one hot meal per day.

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Your math is flawed; they have to pay taxes on their income, including Social Security and Medicade which are not refundable, plus whatever deductions for medical, 401.k, and other business related expenses.

the entire concept is flawed because it is not realistic in the slightest. Very few people can live off of what you maintain, unless they live in a very depressed area of the country and even if they did, if it was depressed, the likelihood of finding viable employement would be dim.

 

So are you saying that just because SpaceCricket lives in a certain area, that not everyone can live the same life with the same income and expenses?

No way.

 

Interesting math.

Assuming you are correct about the expenses- what are you leaving out? All of the withholding taxes-
Social Security withholding- 6.2% of the gross
Medicare withholding- 1.45% of gross
Unemployment insurance(will use California) 1.0 percent
State income tax witholding
Federal Income tax withholding

 

No thats not what I'm saying.

 

By my math- $50.00 a month in gas, equals out to 14 gallons of gas, assuming 20 work days, that means they can afford a roundtrip of 15 miles a day to work- as long as they skip using the car to buy groceries.

Why do I get the feeling that these are numbers put together by someone who has never actually paid his own bills?

 

Well said. Obviously you arent intelligent enough to be a liberal. (Just kidding)

 

You never mentioned subsidized housing before; just a flat out sum of money to be used.

Ok slim, whatever you say.

Not everyone is as lucky as you are; some will be, some won't be. Its the "won't be's" who lose out.

not everyone can own a Civic; they have to get whats available on the market at the time.

Perhaps, although the electric usage will obviously go up; of course a microwave may not be feasible if the person cannot afford the food to cook in the microwave at the outset.

They are sub poverty wages at best. If you live in Dumptruck, Idaho or another similiar place in the US, maybe you can subsist (tho' eventually the bad food may kill you anyhow) but if you live in most places in the country thats not a viable amount of money to attempt to live off of.

 

You didn't account for beer money.
An essential for the stupid.

You did make one larger mistake.
Lose the car and buy a cheap scooter. I get 40km/L of fuel.
It may not make you look good but it is really cheap to run and gets you there.

 

I work at home and don't have use my car to commute, so that helps.

 

Bottom line: where there's a will, there's a way.

 

Heck you could even 'eat out' on a low budget. Most fast food establishments have 'Dollar menu'....You could get a couple of burgers for $2 on your 'special night out.' Bring your own drink though they really gouge you on those.

 

Actually, prices differ from one region to the next. In NYC, you'd be lucky to get a bad apartment for under $700. And I mean a small, infested apartment in the middle of a bad neighborhood.

That is unless the OP was just trying to say that you can live off of less than you think...

 

True, but then you clog up your arteries, develop hypertension and a whole host of malady's; then since you most likely don't have medical insurance, you head off to the ER at taxpayer expense once you've had your heart attack/stroke. Drink water as opposed to soda; you'll help to stave off diabetes long term.

 

Let's see .....

The average electric bill for residential 800 sq ft and less runs between $88 and $132 a month.
The lowest average trailer park rent by region is $200 a month.
The USDA lists 4 categories of grocery costs every month. The lowest cost category is "Thrifty" and was $180 last November which was the latest survey published.
As far as I can tell, every state has a minimum car insurance requirement for liability. If you are a very good driver, the ideal driving age, and get a good package deal, you might get away with $100 a month.
We will skip right past health insurance, you can't afford it. Just don't get sick, hurt, or need a prescription.

If you get a couple of room mates, park the car and get a bus pass, don't bathe too often and shop at the Salvation Army Thrift Store, then you might get by until you find a real job.

And I have lived on $600 a month. It was in the cheapest area of the country at the time, we did manage to keep a car, but it was really tough. The ends didn't meet or even waive at each other most months. But gas was 25 cents and whole milk was 50 cents direct from the bucket at a local dairy. That was 1972.

 

Use Florida.

FICA .0765 of gross

Gross $1275 x.0765=$95.40.

Net $1179.60

Unemployment insurance $0 [employer paid]

State income tax witholding $0
No state income tax.

Federal income tax withholding $ 0 list 6,7 dependents. OK as there will be no tax liability anyway.

Net annual income $14155.20 Plus $2200. EITC credit.

Net $16355.20.






If there are a couple of dependents then we get Medicaid for health coverage, food stamps, housing help, ADC, Welfare, etc. net income $77,500 per year.

 

I don't know about $40-50 a month on gas. I spend at least $20 a week on gas, and I go almost nowhere. Internet is a luxury, though. So we could do without that one if necessary. There are plenty of public places to use the computer.

 

Which is why you shouldn't live in NYC unless you can afford it.

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A Honda somethingrather at the moment.

 

I can do better living in Central West Florida.

Be homeless get a cameoflage survival sack and bedding one time expense $120.

Spend $10 a day to eat at a buffet enough at most for an all-u-can-eat lunch with soda at several in my area. $300/mo.

Keeping clean clothes and body hygiene. $50/mo.

Bus pass. $65/mo.

PayGo cell phone say Net10 with 200 minutes $30 for the phone and $20/mo.

Internet can use the library FREE 60 mnutes a day.

$435 a month to stay clean, eat well and have a dry thing to sleep in that will hide you when in natural cover.

$165 left for thrift store clothes, extras, stash something on a gift card to have on you and maybe get a PO Box or rent a motel room twice a month.

If I wanted to and this is from experience sidewalk performing I can earn that in cash working 60 hours a month hardly difficult and likely more.

 

But if you ARE living in New York, and you cannot continue to afford it, how can you afford to move to a place that has lower living expenses? Especially if you can't find a job in such a area or it requires you to move across the country?