Living on 40k in Dallas (Fort Worth, Howe: low income, section 8, apartment)

[time4tea]

I know it sort of depends on the situation but roughly would 40k for a family of 4 (couple and 2 kids) mean living comfortably or more like hand to mouth? Hubby has been offered 40k which is less than he earns over in Germany but maybe the cost of living is less in Dallas or wages generally lower?

[nativeDallasite]

The cost of living is almost certainly lower here than in Germany; it's one of the cheapest metro areas in the US.

However, supporting a family of four on $40k would be difficult; I don't think you'd be able to live comfortably in most areas of Dallas. I know a couple with one child that lives on $45k a year but their finances are very, very tight. They live paycheck to paycheck.

[Synopsis]

If you were single, it would be a piece of cake. But a family of 4 would be really pushing it and you definitely would be living paycheck to paycheck, even if you had no credit card bills or car payments.

That's roughly $3k per month, net. Maybe $2650 after taxes. The following are rough estimates on how that would pan out, living in Dallas.

Monthly Bills - These are rough estimates on the basics.
Rent: $1100 - 1500
Fuel for car: $250 - $350
Food: $500 - 800
Electricity/Gas: 250

If you take the median of the above and add them up, it comes to around $2500 a month. Of course, you may be able to find an apartment for four at less than the above (although I doubt it), and live closer to work and not use so much fuel, save on food as well as gas, but if you have even a car payment or a credit card bill or any other loan you are paying off you can see it would be difficult to live on that salary in Dallas. There would be very little you could do other than work and survive. You "might" be able to pull something like that off in one of the smaller cities outside of Dallas or Fort Worth, but it would still be pushing it for a family of four.

If you were living in the mid cities you could get by on less rent, but everything else would be pretty much the same.

Try negotiating with the employer and tell them that isn't enough. If they value your work you may be able to get a 10k increase, or more which would make it more doable. I wish you the best of luck!

[time4tea]

Thanks for the quick info! Although I really want to get out of Germany I don't really want to be living pay check to pay check. Hubby is meeting with the person who offered him the job today but I'll show him this when he gets back.

[pepper131]

One more thing to consider is health insurance - will your family be fully covered? Medical costs are a huge burden on most families in the US.

Health insurance can be $1000/month for a family of 4 not through a group plan.
Doctor visits are about $75-125 each. With kids...they really add up!! I recently visited a specialist for a problem with my ear - without insurance, the visit would have been $245. Thankfully our co-pay was $20.

[GayleTX]

I think at $40,000 a family of four would qualify for some 'assistance' - maybe someone on this board can tell you what the guidelines are for food stamps or even Section 8 government vouchers for housing assistance for low-income families (or you can google the TX guidelines). Your children would definitely be eligible for free breakfast and lunch at school.

Depending on what part of Dallas the job is in (it's a huge, spread-out place in case you haven't been there),you might want to consider living one of the rural outlying towns....housing/rent is much cheaper there and probably much safer than a comparable price place in the city....but commuting expenses are a huge consideration with gas at $3.00/gal. in this area right now (and probably not going down). And public transportation is not a viable choice for much of the metroplex.

Best wishes to you.....

[FarNorthDallas]

No, it's not possible for a family of 4 to live on $40k in Dallas. You're in that middle zone of needing state or federal assistance of some kind to help you survive, but barely making over the cut off income. For example, free lunch for a family of 4 income cut off is $38,203.

As far as Section 8 housing which is government subsidized housing given to low income folks, you might qualify for something. $43,450 is considered the income limit for "low income" and $27,150 is considered the income limit of "very low income" for a family of 4 in Texas, although I think it might vary within Texas depending on what part you live in.

$40,000 is too much to qualify for food stamps and they are also limits as to how much money you can have in bank accounts and the value of your cars.

[orion1778]

Originally Posted by GayleTX

but commuting expenses are a huge consideration with gas at $3.00/gal. in this area right now (and probably not going down).

Coming from Germany, $3.00 per gallon will probably look like a steal! The cost there is roughly double what it is in the United States. Of course, in Germany you can also get the great fuel-efficient diesel sedans, which are nowhere to be found in the US, unfortunately.

Nevertheless, this comparison doesn't really change the situation. Just wanted to throw that out there.

[stargazer]

40 K 10 years ago would be ok but not today. You will have to get a job more than likely to make ends meet.... I would wait and move when he is offered a job making around 60K, that would give you a little better housing option.

[Mike78613]

If you can bump up income to 50K-60K then your family of 4 - can live pretty good, even in D-Town / burbs.

Wife and I make about 65K here in ATX and own a newer 2200 sq ft home (family of 4), pool and one car payment and live pretty dang comfortable w/ great schools for the kiddos.