Mon, Oct 6, 2008
Early twenty-somethings Michelle and Zack are three month newlyweds, with a modest combined annual income of $64,000. Working in retail, Zack decided to downgrade his job from management to sales - cutting his salary in half - so that he could go back to school. Their consumption did not decrease with these changes in their lives. Michelle feels the burden of their $21,000 debt more as Zack doesn't seem overly concerned about their finances, doesn't check or pay credit card bills, and continually spends more on the big ticket items, often without even consulting her. However, Michelle is not totally blameless as she is unaware of her exorbitant spending which goes out in smaller dribs and drabs. Gail needs them to earn more money on a consistent basis so that they can balance their budget. In creative ways, she makes them talk about things in their life they should have talked about before they got married but didn't, including what their future will look like.
Mon, Oct 13, 2008
As the household money manager, Tony admits that he has made a lot of mistakes in managing his, his wife Trish and their three children's lives. Much of their money has gone toward his lifelong obsession with low rider cars, he having stopped counting how many cars he's owned in his life when he hit number eighty-five. His parents bailed them out financially once paying off their then $36,000 consumer debt, which required them to re-mortgage their house, on the promise that Tony and Trish would change their ways. But things did not change, their consumer debt having spiraled out of control to a total of $78,000 including what they owe Tony's parents. However, Trish is also not totally blameless. She has not been assertive enough in their relationship to tell Tony to stop with the cars. She has the attitude that Tony is and should be the major breadwinner. While he works sixty hour weeks leaving him little time or energy to do anything else besides play with his cars, she seems to have settled for a low paying job. They moved into a townhouse two years ago, which was supposed to solve their emotional problems. It has only exacerbated them as Trish hates the run down place, which needs many repairs. These issues in combination lead to Trish using spending on herself as therapy, this spending which is much higher than either she or Tony believes it is. Their debt has also led to not being able to do things for their kids, and has broken their relationship with Tony's parents. To get them to a healthier place in their lives beyond them stopping the out of control spending, Gail has some individual challenges for them. Trish has to step up to the income plate and earn more money, and learn how to be more assertive so that she can be an equal in their relationship. Tony has to learn how to manage their money better by lowering their current credit interest rates, and to assess and actually accomplish some repairs in the townhouse. But their most difficult challenge may be the one they have to do together: fix their relationship with Tony's parents by owning up to their mistakes since the bail-out and being more open about what they are doing to address the financial problem.
Mon, Oct 20, 2008
Favel and Twain were broken emotionally and financially before they met, those problems largely from mistakes from previous relationships. Favel has two adolescent children from a past relationship, where the father was not in their lives. As such, Favel had to manage on her own, with no outside support. She contemplated giving the children up for them to have a better life than what she could provide. Twain divorced three years ago from his first wife. To get out of the bad situation, he, as part of the divorce settlement, decided to assume the debt they accrued as a couple. Favel and Twain met on the job - she a transit operator, he a transit supervisor - and are now married with a newborn (with Favel currently on maternity leave). They live in Favel's cramped apartment, although they dream of one day owning a house. Twain would also like to adopt Favel's two children. Despite the marriage having solved many of their emotional needs, it has not solved their financial problems - $37,000 in combined debt - which they have decided to keep as "his" and "hers" so as not to bring their past baggage into their marriage. They believe they are not spending frivolously, although Gail does show them that they are spending far above their means in cash - to where none of the three can say - with little in terms of material possessions to show for it. Gail wants them first and foremost to address their credit issue, as having a healthy credit rating is the only way they can achieve their longer term dream of home ownership. She also wants them to work as a couple and not individuals in dealing with their finances, which also includes teaching their children how to manage an allowance. But she also wants them to inject some husband and wife time into their lives, which will require Favel to get over the apprehension she has of leaving the kids with sitters.
Mon, Oct 27, 2008
Jacqueline and Grant met online as fans of Queen, and have now been married for six years with an infant child and another on the way. Jacqueline is also the queen of coupon shopping, she justifying spending on stuff because it's a good deal, not realizing that most of it is stuff she probably would not need. But it becomes less of a good deal when it is causing debt - their consumer debt currently at $53,000 - on which they have to pay interest. She believed she was managing their debt, but in reality was paying off their debt with more debt while she racked up more purchases. Grant's spending is on the bigger ticket items of vacations, he not caring if a vacation causes them to go into debt. While Jacqueline stresses about Grant's lackadaisical attitude about paying bills on time, Grant is stressed about their debt level, but doesn't have the wherewithal to do anything about it. Their financial problems are in part a cause of their crumbling house, which is in need of many repairs, but which is the lowest item on their priority list. Gail shows them that they have to place more of a priority on their house, their primary asset, which means making repairs and organizing all the stuff that Jacqueline has purchased. She gets them to place their vacations in their proper light as a luxury and not a need, vacations which they can only take if they have the money. And she needs them to start communicating instead of fighting or ignoring their issues.
Mon, Nov 3, 2008
Beth and Steve have the traditional perception that the man should be the major household breadwinner, which does not match the reality of their relationship. As such, they both "keep score" of who pays for what. Resentment has crept into the marriage because of it as Beth has taken an extra job to pay off their $23,000 debt which she sees more as Steve's (largely his student loan). Beth always questions Steve about money which makes him feel emasculated, like she doesn't trust him, which he feels she should. Steve, who spends much of his "non-working" time performing stand-up, wants to be supportive about money issues but doesn't know how, as he didn't have those life skills of knowing how to manage a household before living with Beth. Beyond their spending, Gail wants them to manage their money better, including planning for imminent inevitabilities - namely both their aged cars needing to be replaced - and for their want to have a baby in the next couple of years. But Gail needs them most to work together toward the common goal of managing their collective money, and not look at it as his money or her money especially in paying off "their" debt.
Mon, Nov 10, 2008
Divorced twenty-nine year old Innis, who makes $50,000 a year, is the father of two young children. After splitting from his ex, he lived in his car with just a bag of clothes until he convinced his mother to let him stay at her one-bedroom apartment, sleeping on the living room sofa, temporarily until he got on his feet. What was supposed to be two months has now turned into over a year, he having saved no money at all and literally confining his mother to her bedroom. He pays no rent and whatever debt of his has been paid has been paid by his mother, who has had to take out loans to do so. Including what he owes his mother, his debt sits at $31,000. He has been dating Rachel for over a year, she who too lives at home. Thus, the two have nowhere they can go for privacy, which means that that they spend much time out spending money just to be together. Innis pampers her, but at the same time she considers his inability to manage his money as an obstacle to moving their relationship to the next level. Gail basically has to get Innis to grow up and be a man, which means owning up to what his slacker life has caused, and being responsible to those in his life instead of just sponging off them.
Mon, Nov 17, 2008
Early twenty-somethings Kristine and Adam are relative newlyweds. Kristine is the current household breadwinner, earning $35,000 a year, while Adam has a nominal income while he goes to school in Marketing. He has failed some courses, which has only prolonged his schooling and the associated costs. Kristine has been spoiled all her life, their current financial situation which has not changed that mentality. Although they both spend recklessly, Kristine doesn't believe what Adam spends money on is worth it, primarily action figurines and take-out coffee. They both realize that they are clueless when it comes to many life skills, largely due to their young ages, but they don't know what to do to get on the right path. Their debt is only at $20,000, but it is large considering their income. Gail has to get Adam to start working to ease the debt burden which is falling solely on Kristine at the moment. She shows them how close they are to living on the edge, and what they need to do to mitigate the risks if, for example, Kristine lost her job or couldn't work. She also gets them to think about what they have to do to maintain the love in their current newlywed marriage for the long run based on their expectations.
Mon, Nov 24, 2008
Married for one year, Allison and Chris have a modest $44,000 income. Allison is a full time doctoral candidate and does TA work on the side, while Chris, who trained to become a police officer, struggles to find his career footing, currently working in a lumber yard, his fourth job in a year. The more dominant Allison has dumped all the household finances on Chris, despite Chris having previously stated that he is not very good with money. In part because of their modest income, Chris decided the best way to deal with their debts was to "earn" money by gambling, that act which had the opposite effect. Chris realized the error of his ways, and has been in gambling rehab for six months. Not only do they now have $40,000 of consumer debt - $25,000 of which is a result of Chris' gambling - but he has lost Allison's trust. Gail knows the source of their problems is in their relationship, not only in Allison struggling to forgive Chris, but also an issue that Chris in turn has struggled to address with Allison about what he has been feeling. In helping the couple with their relationship, Gail may also get Chris to get a better handle on his career wants.
Mon, Dec 1, 2008
Despite earning more than almost any couple she's counseled on the show at $150,000 annually, Gail believes that thirty year olds Marissa and David are also one of the most difficult and at risk of any couple she's ever met because of the $60,000 of consumer debt they've racked up in only nine months (with their total consumer debt sitting at $73,000). They recently bought their first house, and spent much money in filling it with stuff. They also realize that they do overindulge themselves, especially on joint spa treatments and expensive meals out (as they consider a meal prepared by a world renowned chef a special treat... which they do over and over). One issue of contention, however, is lavishing their extended family of both their mothers and her brother with among other things these special treats, as Marissa sees it as her way of showing love, about which David does not fully condone. In addition, David has been facing some health issues, which have not yet been fully diagnosed, and which they have made no contingency for if it is something serious. Gail wants them not only to speak to their family about their situation to lower expectations from what has been happening, but also for them to show their love in less expensive, more constructive and financially smarter ways. They also have to plan for the possibility of an emergency, most specifically if anything was to happen to David and his income earning.
Mon, Dec 8, 2008
Dating for six years, Bobbi-Jo and Steve, both campus police officers, earn a comfortable combined income of $130,000. They both contribute to their indulgent lifestyle, which includes doing many renovations on their house, furnishing that house, eating out regularly, and having a fleet of mountain bikes. Financial mismanagement led to the break-up of Steve's first marriage, something that he does not want to happen with Bobbi-Jo, while Bobbi-Jo is at this point in their relationship still somewhat unconcerned about where they are financially, preferring to live in the here and now. Their wedding next summer they have not placed a budget on, and they have not really talked about it or what it will cost. Even without that, they are $69,000 in consumer debt, which is sixty percent higher than they guesstimated. Gail has to get them to get their heads out of the sand and take control of their finances. Their wedding in seven months will be the big test, which they have to budget for and figure out how they will pay for it.
Tue, Dec 23, 2008
Shauna and Nick had a long distance relationship until Shauna moved from St. Louis to the Toronto area to be with Nick six months ago. At the time, Nick bought a house for the two of them in which to live. However, both have found that being together is not the total fairytale each envisioned largely because of the way they relate to each other through their money. Nick admits that they both spend recklessly, but he blames Shauna for carrying more debt (although in reality, her debt is only slightly higher than his). Nick believes he is carrying more than his half of the household bills. He also admits that he has been unable to let go of the mentality that things are "his" and "hers" instead of "theirs". Shauna feels isolated in many ways, shopping which she uses as a means to deal with that loneliness. In addition to all these issues, Shauna's father passed away soon after her move, which required them to make several trips to St. Louis. Nick accuses her of holding out on their relationship by not dealing with her father's estate and his life insurance policies in a more timely manner. Because of these issues, Shauna questions Nick's commitment to her. Gail wants them to organize their work lives, both by making more effort to earn more money (which both do not maximize) and by cleaning out what is considered their home office where Shauna would do much of her work. She also wants them to work as a team in their life, which includes Shauna closing the loose ends on her St. Louis life. The challenge Gail issues with regard to mending their relationship is thrown for another loop.
Wed, Dec 24, 2008
Rainer and Faith have no concept of their exorbitant spending, he in particular always underestimating exponentially their financial outlays. Recently with close to $30,000 in credit card debt alone, Rainer reluctantly accepted his parents' help to pay off that debt, only for Rainer to rack up even more credit card debt. Now engaged, Faith goes along with Rainer's ride, the two still in what was their dating mode of always going out to impress and have fun, and not denying themselves their guilty pleasures. Thirty and twenty-seven respectively, they still see their spending as typical for young people their age. In addition to needing money for the wedding, they now also have a mortgage. This debt problem may even be worse if they decide to have a baby sooner than later. They are not only scared of that extra debt, but of setting a bad example for their future children. Gail has to figure out the root of their spending addiction, which she learns is overcompensation for him, and self-esteem for her. She has to show them that couples their age can make wise spending choices relative to their income. She has to show them that whatever budget they set for themselves, they are not denying themselves but being satisfied, which means entertainment that is more often than not free. And she has to show them in real terms what their lives will look like if they continue on their current path.
Thu, Dec 25, 2008
Three week newlyweds Paul and Robyn earn a combined income of just over $100,000 annually. They used to go out and do things - most expensive - until they bought their house. Now they largely spend their time at home not knowing what to do but sit on the couch and watch TV. Robyn, in particular, feels like the house is an anchor. They have no savings and they financed their wedding on credit. They still plan to go on their $7,500 honeymoon over the Christmas holidays, and expect upcoming large Christmas bills. They use one debt source to pay off another. Their money issues have negatively affected their relationship. Gail shows them that they have unrealistic views of how much they are earning, how much they are spending, and how interest is calculated on debt. Gail issues life challenges to them on how to live within their budget. She makes them look realistically at that upcoming honeymoon. And she makes them review their relationship in light of that anchor which they call their house.