By the end of 2011, I was laid off
Me and my wife decided to squeeze our expenditures, but how?
First, my wife noticed all credit cards have a category beside each transaction describing where the money is spent on like gas, grocery, restaurants or whatever
Taking my severance pay paid as lump sum and distributing it on a biweekly payments
This acted as if I am still getting paid plus my wife’s salary and looking at all the previous 6 months categories listed on our credit cards statements
We realized there are so many expenses that can easily be cut
Actually we decided to distribute my severance pay to almost match what we would get from EI (Employment Insurance) which we had to apply on after spending all the severance
We did that so we can stretch the period of time till I find a new job
Plus practice living on the EI and reduce our expenses once and stick to it
This led me and my wife to what I consider the birth of new income planning
