Is Part-Time the Way to Go?

Today almost half (42%) of all households are two-income households. Conventional economic theory and perhaps common sense would say that having a second wage-earner will make the family more resilient in the face of unemployment or unforeseen financial setbacks than a traditional family with only one wage-earner. There's also the idea that two incomes enable a family to save more and have more breathing room with regard to bills.

However, there is an entirely different school of thinking that says the increase in the number of two-income households with both parties working full time is reactionary. It's because families choose not to make it on one salary alone. Or, rather because we've become a society of big wants, we've pushed the tides in the favor of the two-income household. Larger homes, newer cars, child care, and the "keeping up with the Joneses" mindset are contributors to this employment culture.

For families looking to explore all sides of the employment conundrum, working part-time can be factored into the decision-making process, particularly for those who are concerned about living on one salary alone. This opens up more doors for individuals trying to create a better work-family balance.

Families with young children could be those who benefit the most from having one adult work part-time rather than two full-time workers. Let's explore the pluses and minuses to the part-time equation.

Part-time Work Pros

1. More time for family: Fewer days spent working and shorter hours free up more time for home life. That can help reduce stress and lessen feelings of guilt over working rather than sharing time with the kids or spouse.

2. Tax benefits: Part-time workers will not make as much as full-time counterparts. While that means less of a salary, there will also be fewer taxes taken out of the check. Also, smaller earnings may drop a household into a lower tax bracket. Consider talking with an accountant to see how much you would save if you took a pay cut with a part-time position.

3. Save money on certain expenses: Working part-time could enable you to cut back on child care expenses. Today child care costs many families several thousand dollars per year. Many full-time salaries go strictly to transportation costs, clothing, food, and child care. Eliminating some of those expenses could benefit the family.

4. Stress reduction: Do you fret over taking a day off when your child is sick? What about if you have an after-school appointment? A flexible part-time schedule can enable you to work around events that may foil a full-time schedule.

Part-Time Work Cons

1. Less money: The first down side to working part time is that you'll earn less money. This will involve taking a look at expenses and making cuts. It may also prevent you from buying "bigger and better," if that is a priority to you.

2. Passed up at work: Because of your part-time status, you may be passed up for high-profile assignments or others may give work to those who are around full-time. Others may view you as on the "mommy or daddy track" rather than looking for advancement.

3. Loss of benefits: Some companies do not offer health benefits or 401(k) participation for part-time workers. Therfore, you'll have to see if the family can be put on a spouse's plan.

4. Full-time work, part-time pay: It can be possible that work responsibilities slowly increase even though you are on part-time status. Therefore, you may end up doing more or putting in a couple of more hours without being reimbursed as a full-time worker.

5. Child care: It may be more difficult securing child care on a part-time basis. Some centers or schools have a minimum amount of days or time for students.