One of the realities of cost cutting in this recession is the furlough. Indeed, the furlough is being used as the “weapon of choice” for cost savings, rather than pay cuts or firings. Well, I guess when you get right down to it, a furlough really is a pay cut of sorts.

A furlough is forced, unpaid time off. Some companies are forcing workers to take one day a week off, without pay. Others are requiring that workers take a week’s worth of unpaid vacation during a quarter.
There are other set-ups for furloughs, depending on where you work. A furlough can …read more

If your household’s lifestyle pushes you to keep spending income several months into the future (i.e., live beyond your means and rely heavily on credit cards), it is time to take stock of your expenses.
List down all your expenses. Be absolutely honest and categorize them into:
(a) necessary
(b) can be spent if there’s money left after paying for necessary expenses
(c) luxury
(d) keeping up with the Joneses.
Obviously, the best move is to stop spending at Category (a).
image from Microsoft Clipart