We had a four person family with a 25,000 dollar income. We had one working parent, an 18 year old, and a 6 month baby. It was very difficult making budget decisions. It was very limited in choosing. We thought about what we actually needed and not wanted. We thought a lot about what the youngest child would need. We ended up with about 370 left over for the year while saving 100 a month.
Our life happens card was that a child received straight A's and we had to go out to eat. We had enough money saved up to splurge on this opportunity. It didn't set us back at all really.