Critique our budget. Family of six.

Despite our high income, we have not be able to make any significant progress in terms of savings due to massive debt and bad luck (new homeowners with an insane amount of required home repairs and post divorce legal fees) that consume my end year bonus. Also, five years ago, we made 70k in NYC and we were making 190k until June last year.

My husband is a stay at home dad who homeschools our twins. I work from home. Our kids are 3,3, 13, and 16.

Current in savings: $4,500 (401k)

**$30,000 (regular savings. See bonus comments at the end)

Net monthly income from salary: $20,997

Child Support: $1,650

Here is our budget for January:

Kids

Private school tuition: $5,068

Allowance: $400

Flights for oldest kids to visit their dad: $500

Clothing: $50

Activities: $300

Au Pair: $1,700

Debt

Credit Card Min: $1,335

Student Loans: $0 (after pause: $1,300)

Car 1 (2018 Pacifica): $375

Car 2 (2014 Crosstrek): $325

Food: $1,500

Entertainment: $1,525 (birthday fund, holiday fund, subscriptions, memberships, and tickets)

Housing

Mortgage and Taxes: $5,343

Utilities: $1,035

Supplies: $280

Housecleaner: $800

Services: $924

Gift fund: $500

Discretionary Spend: $225

Insurance: $373

Gas: $400

Remaining Funds from Salary: $39

I joined my company mid-year so I received a pro-rated bonus last week. My bonuses are guaranteed.

2022 Bonus: $30k (net)

Legal fees: 10k (planned)

Emergency Fund: 10k (planned)

Family Travel: 10k (5k scheduled. Additional 5k planned)

2023 bonus: ~$63k (net) (estimated)

Debt: 50k (planned)

Emergency Fund: 6.5k (planned)

Family Travel: 6.5k (planned)

ETA: Wanted to clarify that vacation really means traveling to see family and traveling due to sporting events that my kids participate in.

ETA 2: Updated Approach

Sell our home. Our home is currently valued 300k more than we paid for it. A friend who is a local real estate agent believes we should be able to easily sell at that price.
Rent a home with all in expenses of around 3k.
Pay off all credit card debt and restart paying down federal student loans.
Establish 6 month emergency fund and save remaining funds.
Reduce entertainment expenses to $500.
Max out 401k.
Set aside 1k month for traveling.

Result: $5,018/month left over from regular income for savings. Bonuses can be fully allocated for future savings (tax advantaged and taxable).

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