Question

I have been silently watching for a while now observing everyone’s ideas and methods. I am 21 I do not have a whole lot of debt I barely have my 1st credit card with less than a $300 balance on it, but I do see how easily it is to quickly rack up debt. Especially since I took my 5 siblings out of foster care into my home. I have a 2 year old my self so 7 people total. My parents ruined my credit before I was even 15 so I have been trying to rebuild that for years. Essentially I am looking for ways to safely build my credit while still supporting 5 additional kids. I am expecting a decent tax return soon and since I don’t have a whole lot of debt I don’t know what to do with it (6k) I don’t want to mal spend it. What should I do with it ? How can I make it last? I do want to take all of the kids on like a “fun day” since they have recently been through a lot. Sorry if this didn’t make any sense.  

Answer 1

I would pay off all debt, have an extra large emergency fund. Definitely do the fun day. There are a lot of things you can do that don’t cost a lot and I would do those things monthly. Find people that are saving money with big families like I found through tbm group Check out  to keep you on track and set boundaries for your immediate family too. You have a huge heart and I’m sure your family appreciates it!  
https://youtu.be/aA_8JZx9c4o

Answer 2

Pay off credit card and then put the rest into a savings account. Fun way for sure. You’re amazing

Answer 3

How about paying rent as far in advance as you can?  

Comments

Instead of a fun day why not buy a family membership for a year to the zoo or a children's museum?  

Answer 4

Or put some money aside for your sibling and your children so they have some money while growing up for college and what not

Answer 5

Wow! You are awesome! If you have no debt and a good savings account then I would put some aside for your fun activities. Or maybe even a small vacation if you could do a road trip with the family. Or maybe even a camping trip? Not sure what your family enjoys but great for you having little to no debt and taking care of your siblings!  

Answer 6

The IRU had a withholding Gide that will walk you through how must to clam. You want to aim to get $0 back each year. What that means is you’ll get more on you paycheck. When your getting taxes back at the end of the year all that means is they took to much in the 1st place.  

Comments

@ditch or maybe she qualified for tax credits. She does have 6 children she’s possibly claiming

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@truckage40446 ok we are saying the same thing. I’m just letting her know she can get more per paycheck. Instead of them paying you back your own money

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@complicated I totally understand. At 32 I’m having to teach myself how to use money. This group is super helpful and always ready to support everyone

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@complicated are you able To setup deductions out of your check? If so try saving that way. I have it setup to where a portion of my check goes to a separate account before my check even deposits.  

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@complicated in my 1st comment it should say IRS not IRU  sorry if I confused anyone

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@complicated the W4 changed significantly this year and no longer has a number of allowances. You may want to use the tax withholding estimator to find out what is best for your new W4 settings as the form is now more complicated. Www. irs. gov/w4app

Answer 7

You are amazing to take on so much. Will certainly be praying for you.  

Answer 8

You are an amazing human being. I am sorry that your credit was ruined and I wonder if you could actually fight that part. The kids are appreciative of you and you big heart is beautiful. Never doubt yourself if and when you have a moment. Trust your gut and your heart and it will guide you. You are really special. You ever need a pep talk or a pick me or someone to vent to. My door will be open to you. I am proud of you. Just know that. 6 children will have a better tomorrow because of the choices you made to provide to them. God bless.  

Answer 9

Congratulations on having such a great heart and being able to help your siblings! I’d definitely pay off the credit card & then put the rest into an emergency fund. (Kiddos are expensive. ) Have you read any books on personal finance? I really like, ‘Love Your Life, Not Theirs’ by Rachel Cruze.  

Comments

She is great. If your library doesn't have it you can always request they get it.  

Answer 10

How about opening a savings account for the kids and put some into it for them and pay your bills. I would take them to the zoo, park, movies once in a while

Comments

I really like the idea of having an account to make sure you're able to do these extra childhood things all year long. If there is a zoo nearby, maybe get a membership? Look at the local museums, they have reciprocity with other museums all over the nation. You can look at the list online to see if there are any locations you may want to travel and stop there too. Zoos also have reciprocity with other zoos. My friend now has 8 kids after adopting 2 and now taking in 3 nephews/nice's. She has memberships and is able to get her family in in over and over. The exhibits change and the kid area is always great fun.  

Answer 11

I don't know where you're located but with part of our tax return we got a zoo pass for this year and it's literally already paid for itself and we've had it less than a month. So maybe some memberships like that where you can pay once, and then have many options of "free" entertainment and fun things to do during the year. We also want to get a pool pass for this summer, and I've thought about the children museum. You are such a good woman! <3 Those kids will be so blessed by you. Definitely most of it in an emergency fund, especially with a lot of kids so many things can come up and starting off with a healthy emergency fund would ease a lot of my worries.  

Answer 12

Bless you for stepping into this role for them.  

Answer 13

1. Pay off your card. 2. Set aside at least $1K for emergencies 3. List out any necessities you might need to the kids. Ex. School supplies, new clothes, will they need glasses, or braces. Divide what you can into starting sinking funds. 4. Set some aside to treat your family to an outing. Doesn’t need to be anything crazy, especially with 7 people. What you’re doing is amazing. The refund will be great a start. Oh and if you haven’t already, get yourself the TBM budget planner.  

Comments

Oh and anything left, throw back into your emergency fund.  

Answer 14

Save 80% of that money. 10% to pay any debt if any and 10% to find ways to enjoy family time while stretching it as well.  

Answer 15

With a $6000 return and what you’ve mentioned, I would: $300 - pay off credit card $100 - family fun day $2000 - save for emergency fund $3600 - save and use $300/month of it to supplement your income over the next year.  

Comments

@complicated Alicia Dhanani Well like what? I'd love to learn new tricks for my family of 6

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@tsuda check out any fb pages for mom groups in your area they know where local areas when kids can eat free and for discount entertainment. donetimes certain places give half off for large families, also some places like churchs or organizations can help with groceries and maybe save you some money for items that are not foid related like shampoo soap detergent etc.  

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@mollusc look for local mom groups on fb in your area. I shopped consignment sales bought toys & clothes that way, my kid ate free while I used a coupon to get my meal. pmus in the summer we use yo go to the movies for likr $2 bucks plus popcorn was $2 local movie thearre offered that price if you donated a can items gor the food bank, I use to take my kiddo to the mall to play at their sift pmay area and we share snacks from home. some places have half off days, just need to research. find the mommy groups local on fb

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@mollusc our library had a dvd one watched and could send in a code for a free pass family pass to the zoo, my son & I go yo matinee movies and because he is a student he gets a discount we get the combo popcorn meal for both of us, we get the 7 day free trial disney plus we coupon and use apps for discount food . like on Mobdays moe's has the burrito for 6 the lag one . we spkit it because they give you chips anyway than we splurge on a small cheese dip and drink water. bowling is free but shoes cost in the summer but we eat at home before we go, the local aquatic center has a family pack for 30 day swimming during summer. parks like nature parks only charge admisdon per car, pack a lunch hike a trail go during fall season

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When my kids were 12 and under we used to get pizza and take it to the park for a park day and they loved it. There were other kids to play with and we even played basketball and tag with our kids. It was good memories. We also would hike on trails around one of the parks.  

Answer 16

Can you dispute credit issues? You didn’t mention food but that could need some management on that as well. There is a great FB page frugal frantic mom that gives cooking tips etc. she breaks down each meal cost wise daily/weekly

Comments

Check out Credit Warriors. Great advice and guidance to clear up your credit from your parents’ actions. They have dispute letters you can purchase but they are so helpful. The FB page community is great! Good luck to you. You’ve got this!  

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@complicated wash reuse zip bags. Freezer ones last longer. Does your sister live with you? Does she help?  

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@complicated So sorry you have to do this both of you are so young for taking on this responsibility. Your siblings are lucky to have try to step up and help!  

Answer 17

My mom has been working on her credit with a professional, she has been able to dispute a couple things and they also recommended getting a credit card with low interest, using it to buy gas ONLY, setting that amount of money aside, and then paying the bill in full once it arrives, they said this will help build her credit up a lot.  

Answer 18

What metropolitan area are you close to? You can look up free kids activities on Google and find a lot of low cost ideas. Fun is important when you have children. We set aside $20 every week just for fun activities. We may not spend it and if we don’t we let it accrue for more expensive activities. Simple outings to a local park can make any child smile. As far as your credit. I’d get copies of all of your credit reports and start writing to every company on your credit report and explain your own parents stole your identity and you want the bad remarks removed due to being a minor at the time of the incident. Also, even though you took in siblings if you are fostering them there are assistance programs that can help you with things they need through the state.  

Comments

@swipple1 maybe memberships to the zoo, ymca/rec center, union station

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@complicated I have a ton of friends in KC with little ones. I can ask them for some ideas if you want me too. Missouri is one of the states that does provide assistance for fostering and adoptions. I have several friends that are social workers and several friends that foster. If you have questions you need ask feel free to message me.  

Answer 19

I dont have much advice other than to say, you are AMAZING! Dont apologize for your words, because you are an outstanding person and your post made perfect sense. You've got this!  

Answer 20

Set up an emergency fund 1-2k then set aside some for Christmas or back to school and then take the kids out.  

Answer 21

thank YOU for keeping everybody together

Answer 22

I’d say 4K to EF w family that large, and maybe get head start on sinking funds would certainly kick start your year to right direction! Good luck and I’ll be praying for all.  

Answer 23

❤️❤️❤️ With all your budgeting remember to include fun $ and clothes. What helps keep us on track is knowing that living life with our kids and allowing them to be apart of our financial planning. They are teenagers so it gives them an opportunity to understand the why and helps us focus on the why. You are an amazing person. Please know this community is here for you. You are not alone on this financial journey.  

Answer 24

You are an incredible human for taking those kids out of foster care and giving them a home. We need more of you in the world ❤️

Answer 25

Get zoo pass or the local aquarium maybe science museum. Save 3 months of living expenses. Put money aside for clothes $100 min per person Get a school fund going for supplies. Also take them out for burgers or pizza something fun because going out to eat is expensive and a rare treat when you have that many people.  

Comments

There are also tons of community organizations that will assist you with supplies, etc. reach out to the school. My office donates backpacks full of supplies to various groups. Don’t be afraid to ask for assistance. It takes a village!  

Answer 26

You can directly dispute the debts with the creditors and showing your proof of age at the time.  

Answer 27

Do you already have an emergency fund? 3 to 6 months savings in addition? You can add it to sinking funds for Christmas, a fun trip, etc.  

Comments

@modulus76886 this was my thought too

Answer 28

Talk to your social worker about if they have tickets or info on fun cheap things around you. Make sure you are signed up for any assistance you qualify for. Daycare especially. And i agree with what @hallway said above. Great lay out for a budget  God bless you and yours ❤

Comments

@streeto food programs you might be able to qualify for. Can’t hurt to check.  

Answer 29

Here is a list of free stuff I found going on in Kansas City:  There is probably more than that for entertainment. Put a limit on gifts: one want, one need per kid on their birthday and Christmas. If they want an expensive item then it can be a cash gift for them to save - this is something I would discuss with them before anything arrives. Same with the fun $$. Set a budget, but if you don't use it because you did all the free stuff instead, roll it over into the next month until a big fun thing can be afforded. Frugal Fit Mom on YouTube is fun to watch and has a family of 6. She shows her general budget and talks about how she divvies up her money and her kids/husband sometimes discuss their parts in the decision making process, as well as lots of recipes and meal planning stuff for if you ever run out.  
https://www.visitkc.com/visitors/th...-free

Comments

@sericeous5727 @mollusc i like the Christmas idea

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@faience Thanks. It's something I wish my parents had done for me and my brother instead of. guessing and not talking to us (or at least me, my bro usually got what he wanted) about it.  

Answer 30

If you live in KC the electric train is great. Hop on at union station and take it to contentinos. Eat there, there's a mezzanine with tables. Then take the elevator up to the rooftop park. Join the science center for the year. I think you can use it other places to get in.  

Answer 31

Pay off the card. Save 3-6 months expenses, enjoy the kiddies, and I recommend you Investing some of the Money in a ROTH to put that money to work  and continue putting money in there so by the time you are 70 you have a very healthy retirement fund. Talk with a financial advisor. Start early

Answer 32

Put some into a retirement fund.  

Answer 33

Do a budget, if haven't started bs yet, Start. You said don't have much debt and getting return of 6k. W/ that can do initial bs1 , pay off the cc, and if that's all can start bs3 ef. Plan for some fun times but parks, picnics, nature, movie night, game night, check local library, churches for fun free events. Not sure where live so not sure what may be in area You got this And as another check w/ social worker for ideas

Answer 34

Also, after setting up an emergency fund, try stocking up on Laundry soap, toilet paper, etc for the year so you don’t have to stress about those expenses being added to your grocery expenses.  

Answer 35

I don’t have much advice to offer but I do want to say I admire you taking on your siblings in their time of need. That is a big role to step into at such a young age. You’re sacrificing your life right now to give them a home and stable environment. You’re making a difference for a lot of people❤️

Answer 36

Just wondering how did you parents ruin your credit?  I didn't realise you could get credit at 15

Comments

@complacence they opened up credit cards or put utilities in her name and lied about her DOB. Happens to a lot of people unfortunately.  

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@complicated I would look into getting a new SSN due to identity theft and then build your credit from there.  

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My sister had someone that we didn’t know use her SSN and had done all sorts of things with it before she turned 18. She didn’t find out until she went to get a car loan when she was 19 or 20. She is now almost 30 and still dealing with these credit issues. She will likely never qualify for a home because the social is so connected to someone else’s life. SSNs do not get looked into as far as matching a name or bday until after a credit profile is made.  

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@complacence unfortunately (there are some) parents that do pull kind of shenanigans. My husband is dealing with (and has been for 18 years) with a repossessed truck, a foreclosed home, utilities, cell phones, address changes reported and many more from his father, whom he didn’t even live with, and was previously convicted multiple times for this stuff with others. Makes me beyond grateful to provide my kids with a loving father that my husband never knew (his).  

Answer 37

First, it is awesome that you can take all 5 of your siblings. This is incredible! Yes, a fun day for the kids and bonding sounds absolutely vital. Do you have an emergency fund? All the kids are healthy? I would throw as much as I can at the emergency fund since you have 6 kids to care for, which you haven’t had before. I also agree with the comments above like getting toiletries for the year and buying a gift card for Walmart or Target for Christmas now and saving it for any emergencies with food.  

Answer 38

Ef and the set aside a bunch of money for clothes and such. Kids are expensive!  

Answer 39

Tara this is the amazing group we were talking about ❤️