I suppose that a pay cut is better than an outright layoff these days. On the plus side, looking for ways to be more frugal and to trim the monthly budget doesn't have to be painful. It can be fun. There are so many books and website resources for this kind of thing, it might be encouraging to look through some of the ideas to see which are feasible.

We live in one of the most expensive countries in the world (Japan). This is the land of $500 strawberries (don't ask). But not all strawberries cost $500 and a few years ago, a whole bunch of ex-pats got together and compiled a HUGE list of great ways to save money and ideas on how to make living in Japan more affordable.

Hey... That just gave me a new thread idea! :-)