A lot of 2-income families have cut back to one, mine included. I'm not on contract right now, but since I worked at home to start with, it's not much of a hit psychologically, and I've sort of been "househusband" around here anyway. My wife has a great job, thank goodness, working at a successful community hospital.

Good news was that I actually got a tax refund last year. In fact, taxes eat a lot out of two income families. Make sure whichever one of you keeps the job adjusts their W-4 to reflect your new income and dependent status.

A lot of families are finding out to their surprise that one income without the extra taxes, transportation, and child care expenses isn't that much less than two. And if you have young kids, a mom or dad at home is priceless.