1. Economics Project By Emma Weidig, Sam Myers and Ned Bishop

2. Our Life/Quick Summary:  Two income family (both teachers) earning $70,000 each for a GROSS INCOME of $140,000  Son in college (University of Rhode Island)  Own two cars: 2008 Volkswagen Jetta and a 2000 Volvo Station Wagen  Live in a house in Rhode Island valued at about $350,000  NET INCOME of $99, 222  Left over money after all expenses and necessities: $8, 798

3. Food  Groceries: $7,382 (yearly costs purchased at Stop and Shop)  Eating out and take out: $2,210 per year  Coffee and other snacks: $780 per year Total: $10,372

4. Food Chart

5. Clothing  Kohls.  Son’s Clothing: $390  Husband’s Clothing: $500  Wife’s Clothing: $700  Total: $1,590

6. Taxes  Deductions: 401K= $7,200 Married Couple = $11,600  Federal Taxes: $27,478  State Taxes: $7,420  Social Security: $5,880  Total: $40,778 Gross Income: $140,000 Net Income: $99,222

7. Housing  Live in Middletown, RI  $350,000 house. Payed $60,000 down payment. $1246 mortgage every month.  Utilities (heat, water, electricity, internet, cable, phone): $7140  Occasional maintance: $500  We don’t have landscaping.  Total: $29,260

8. Transportation  2008 Volkswagen Jetta and 2000 Volvo Station Wagon Car payments only on Volkswagen Jetta  Both drive to work. Fuel: $2,600 per year  Insurance: $1,600 with All State  Total: $6512

9. Healthcare  Work covers 80%. We only have to pay 20%: $3,800 a year. Plan by Blue Cross Blue Shield.  No vision problems.  Dental=covered by insurance. Deductibles: $50  Over the counter drugs (purchased at CVS): $40  Co-pays for doctors visits. $10 copay. 2 visits per family member: $60  Total: $3,960

10. Healthcare Chart

11. Leisure  Yearly vacation with the Bahamas with the son: $3,000  Hobbies/Activities: $1280 book club for wife, gym membership for both, movie nights etc.  Total: $4,280

12. Savings/Investments  401K Retirement Plan: $7,200 per year  General Savings: $5,000 for misc. or emergencies  College Fund. University of Rhode Island: $20,000  Total: $32,000

13. Personal Expenses  Health and beauty supplies bought at CVS: $40 a month  Life Insurance: $560  We send our son $100 a month for help with college supplies and food. Total: $2,250

14. The Big Picture

15. Follow Up  Left over income: $8,789  25% of our income was put into savings (however that includes college payments for our son)  ^^^^ We were very cheap for a lot of things. Example: no landscaping and only $50 spent on gifts all year.  Average income in the United States as of 2010: $49,445  We are well above average.  Poverty threshold for one person: $11,139  Poverty threshold for three person home=our scenario: $17,374