Apparently Poor & Middle Class People Shouldn't Have Babies (VIDEO)

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baby in shadowFinancial guru Suze Orman told a couple making $5,600 a month that they couldn't afford to have another child. My whole marriage, we've only made maybe half that, and have been pretty comfortable. I kind of want to ... well ... enlighten Orman on what most Americans live on, because it's way less than these people. Her estimate of how much kids cost monthly is so insane that if it were true, no one would have kids. Ever.

The couple in question are Brian, 30, and his wife Jill, 29. They have one child, a son who is 17 months old. Their work shifts alternate so they don't pay for daycare. However, they've always wanted two or three kids, and Jill, like many moms, wants to be home with them until they're at least preschool-aged.

But according to Suze, they just can't do it. She goes as far as to guilt-trip them, saying that when they hold their children to their chest, any monetary stress will basically infect the child; therefore, they shouldn't try to cut things down and make money very tight and cut expenses, but instead, just don't have more kids now. I'm paraphrasing, but check it out at about 12 minutes:

The statement used is that they can't afford to keep their current lifestyle and have another baby. NO ONE keeps their current lifestyle after having kids! Their current lifestyle is beyond their means anyway so obviously they've got some major cutbacks they need to make to begin with. As a financial advisor, shouldn't she be teaching them how to not only get their finances under control now and then help them make a plan so they can afford to have another baby? Jill concedes that she'd be willing to work two to three days a week if she had to -- so Suze, why not work with her there? Just telling them "NO!" is not only unhelpful, but heartless as well.

Besides, children who do not have special medical needs do not cost anywhere near $700-$1,000 a month. Now, a FINANCIAL ADVISOR should talk to parents about ways to save money, such as cloth diapering, breastfeeding, buying things USED or trading with friends, freecycle, and Craigslist, and cutting out frivolous crap. Me? I spend about $2,010 a year ... with some frivolous crap I didn't need.

If we went by her advice, statistically, less than 50 percent of Americans could have kids. Jill and Brian, don't give up. You can do it.

Do you think Suze Orman's advice to them was unhelpful? Do we generally worry about buying all these extra things when we don't really need to?

 

Image via smjb/Flickr

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ashjo85 ashjo85

I have never liked Suzi Orman at all. I think she's spot on with some of her advice (we just recently declared bankruptcy, but I saw this boat on SALE, is it the wrong time to buy it?). But finances are about balancing goals with means. If you're ok not having satellite TV and family vacations if it means a larger family, no one should have anything negative to say about it. Now, if you plan on putting all these extra expenses on credit cards and loans and not adjusting to your means, that would be one thing.


And Suzi's advice includes things like having 6 months of expenses banked into savings at ALL times, having your retirement entirely socked away before spending money on anything big. So take it with a grain of salt.

Water... Water_geM

besides obvious things.what one considers affording a child is subject

Water... Water_geM

Is subjective. What one might think a kid needsis a waste to another.

nonmember avatar Michelle

It depends where you live. We make more than double that and are still trying to figure out how we're going to afford the baby on the way. SoCal is expensive!

Rhond... RhondaVeggie

It totally depends where you live. In my area you couldn't qualify for a mortgage for a two bedroom condo on that salary without a substantial downpayment and that's assuming that's their take home pay. Also it sounds like that is their combined salary and the mom wants to quit her job if she has another, correct? They could easily be hard pressed to get by on that little and there certainly wouldn't be wriggle room for stuff like paying down debt or saving for retirement. That's not to say that they shouldn't have another kid, money shouldn't be the primary consideration in that decision by a long shot, but it sounds like it would be very hard financially.

nonmember avatar cookie

It seems quite obvious to me that they cannot afford another child...

Stacey. Stacey.

SHe NEVER said they shouldn't have children as you made it seem, just that a 2nd one may not be in their best FINANCIAL interest- afterall she is a financial advisor, not a social worker.


Just bc you can live on a meager budget doesnt mean others want to scrape by. that is why I only want one child, so I can take my baby on vacations, and do other things life has to offer. I would hate to be juts making it my whole life and not get to do the "frivolous" stuff.

Kritika Kritika

RhondaVeggie took the words out of my mouth. I live in Northern VA and it is so expensive to live here. My husband and I make around their salary a month and are barely able to put anything in savings after we pay our mortgage, cars, insurance, etc. We're going to try for our first baby next month (yay!) anyway but we are really scared because the cost for a 3m.o. in daycare here is easily $400 a week. So it really does depend where you live...

aeama... aeamathis

Her goal was to give them advice on continuing with their current lifestyle and being financially set for the future (which is what her vocation is, what her goal for people always is).  She did that.  She most certainly did not say that "poor and middle class people shouldn't have babies".  The title of the post is sensational.


 

Kritika Kritika

BTW we do plan on buying things used! I see no need to buy new baby furniture when we can find a great set on Craigslist, etc...

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