Building a financial safety net

When I was younger, I argued that maintaining a full-time career while what you would really like is to stay home with your children – not out of immediate necessity, but out of concern for possible future happenings such as illness, death, or divorce – is akin to living your life out in a bunker instead of being out in the fresh air and smelling the flowers.

In the meantime, I was doing something that was more like walking the tightrope without a safety net underneath. I had moved to a remote, inaccessible area without reliable transportation means, counting on my husband to always provide for our family and effectively making sure that, in the foreseeable future, I would not be able to contribute to the family income. Having no car and no driver’s license, I depended on my husband entirely for every errand and every little grocery store purchase (there being no facilities within walking distance at all).

I didn’t realize it back then, but I was setting myself up for some pretty unpleasant consequences should something go wrong.

Those who have been following my blog know what happened next: over the course of a few years, unemployment, underemployment and unwise financial choices had brought us to a full-blown crisis, while I couldn’t do much more than wring my hands and try to cope with anxiety and panic attacks. I did do some remote work, but even that was extremely difficult with patchy network access.

While I’m still a big proponent of making decisions out of love, not fear, and while I don’t regret for a second being a stay at home mom to my children (which in fact I still am), I would give my younger self one piece of sound advice:

Make sure you have a safety net. Don’t travel down a road that gives you no possibility to do a U-turn in case the you-know-what hits the fan. This doesn’t mean you are a wimp or lack faith. It’s simply common sense.

If I were to break it down into practical points, I would tell her:

1. Keep on building up your credentials even if you think you won’t be needing those. You never know.

2. Think twice (maybe more like ten times) before you move to an area where you would have extremely limited mobility and no services. Even if it’s your quintessential rural dream with rolling hills, olive groves, and herds of goats. If you purchase a house, take into consideration how easy or difficult it might be to sell it later on.

3. While role division in marriage makes perfect sense for many occasions, two heads are better than one. For a long time I used to think I’m displaying loyalty and trust towards my husband by leaving everything concerning the family finances entirely in his hands. In fact, I was doing none of us any favors. My husband was fallible, as was I. Neither of us was perfect in any regard, but it’s always so much worse when you feel pressure to do what is “right” rather than what works practically.

4. Build up your savings. That’s a tricky one with zero income, I know! But in case you come into some money, like after selling a house, stash some away right away and don’t allow it all to be frittered on stuff like food and rent (ask me how I know).

I guess it all boils down to this: don’t put yourself in a situation where you are disproportionately, entirely dependent on another person for all your basic needs. Even if that person is your spouse. Do not place yourself in a situation where you would be unable to help yourself if need be.

I have a friend whose husband, a really nice, hardworking man suffered an accident on the job and has lost his livelihood. Insurance doesn’t come up to scratch. He is undergoing a long and grueling process of physical rehabilitation. However, my friend is keeping afloat because she lives near supportive family and there’s every necessity readily available in the vicinity. The you-know-what has certainly hit the fan for them, but they had not placed themselves in a situation where they wouldn’t have the tools to cope.

I shudder to think what would have happened to me in a similar situation a couple of years ago. I would be left stranded in the boonies with a bunch of tots, unable to help my husband or my children or myself. I count myself lucky to have been able to move to a better, safer place.

Being safe doesn’t mean being a wimp. On the contrary, the wimpy choice is sticking one’s head in the sand and refusing to consider tomorrow.