Question on family finances

We received the following question from Whit last week :

My mom has been retired for a while and my dad just got laid off in his late 50s. I’m a senior in college and I’m really worried about my family’s financial situation, as I’m the only person in the family right now with a job. With a plain ole English degree, and little experience, how am I going to support my parents, and my ailing grandparents, and also try to start a life of my own? I keep reading articles and blogs about just generally not spending exuberantly and saving more than you spend and I’ve been doing that, but the tides have suddenly changed and I don’t think that it’s going to be enough.

Owen Replies : That is really tough for you and I am so sorry you have all that worry. It is no scrap of comfort but you are not alone. This is going to sound a bit crass, but you can only do what you can do and you can only operate within whatever means your income provides. I don’t know where you live, but governments are doing just about everything they can (some would say too much) to get the economies moving again and to generate new jobs so whilst unemployment is pretty certain to increase in the UK over the coming months, it looks unlikely to get up to the level of the early 1980s. My usual advice to people is that if you don’t have enough money to go round, the worst thing you can do is to put you head in the sand and hope the problem will go away. Much better to front it out with your bank or whoever you owe money to and ask them to help. The very best of luck with it all.

Ask Owen is about providing impartial financial advice for those concerned about managing their money. The country is suffering a serious economic decline and with people concerned about increasing costs of living and fuel bills, teamed with worries about job losses and house repossessions, it is a daunting time; so if you have a question to Owen fill in the comment box below and he will answer.