Thursday, January 29, 2009
A few months ago the Governor issued a directive for all state employee's salaries to be cut by 10%. In exchange there will be two days off a month. (5% pay = about 8 hours of work). I am always skeptical of these types of things, as I have see other directives go no where. A court order was issued today stating the the controller is order to implement the pay cut. So it is looking more and more likely. While I will believe it when I see it in my paycheck (and I take the two days off), I am pretty much excepting the paycut as fact. Ethan's paycut went into affect this month. So now the reality of 10% less income. Luckily, Ethan and I live a comfortable life style. We are able to save about 30% of our income for investments and retirement. There are other luxury expenses that we can do without which will be cut. A big relief will come in June when our lease car goes back and we wont have that payment anymore. While I dont want a paycut, I feel we all need to do our part to reverse the budget crisis.