Featured Stories

A Working Family’s Budget

Location, Location, Location

A news reporter, a bank teller, and their teenage son own a home in Stoughton, Massachusetts. The family earns an annual income of roughly $70,000, and after taxes, their monthly take-home pay is approximately $4,667. As with most families, housing is their largest expenditure, and transportation is their second largest. Their monthly budget is as follows:

At the end of each month, this family is nearly $200 short of covering its basic living expenses. Rather than cutting costs elsewhere, they may be able to bring expenses in line with their income by lowering transportation costs—even if it means paying more for housing by moving to another part of the Boston area.

The same family could cover costs—with a little left over each month—if it moved to Watertown, Massachusetts. The cost of owning a home is slightly higher, but because the city is better situated in terms of jobs and public transit and is more “walkable” than their old neighborhood, transportation costs would likely be lower. In Watertown, this family’s monthly budget would be as follows:

By moving to Watertown, this family would not only save over $200 per month but would also reduce its carbon emissions by walking more frequently and taking public transit.