Melissa Hill, author of The Smart Women's Guide to Staying at Home explains all.

'Resigning from a job to stay at home with your children is not giving up' says Melissa, a former financial analyst who walked away from the job to raise her two children.

Don't waste that experience!
Don't want to throw all that experience away? Think of it as a breather, rather than a lifelong career decision - after all, it may only last a year or two.

Will you be missing out?
Loss of status and delayed career progression are real fears but according to Melissa, they're often misplaced: 'A break of a year or two isn't going to have a massive impact on your skills portfolio.'

Working as a consultant one day a week, or keeping your skills brushed up with voluntary work or evening classes should be enough to keep you up to speed.

But how will we manage on less money?
A lone parent could consider working shorter hours, working from home, or taking a job share. If you're living in a two-income household don't underestimate either the expense of outside childcare or your financial clout at home.

'Childcare can cost upwards of £500 a month* - which is one hefty saving,' explains Melissa. 'Working lunches, gourmet coffees etc. can add up to £120 a month, and that's before you add on the cost of tights, travel and dry cleaning - and don't forget the unlimited cost of retail therapy.'

'A high maintenance, high stress life with no time to shop around or haggle costs thousands - when was the last time you had time to get three quotes from a plumber instead of calling out the emergency one at peak time? You may even find you can fix it yourself. Many women discover they have a real talent for DIY.'

But won't it get boring?
Only if you let it. Only you can decide whether the loss of earnings is worth the extra time spent with your children, but there's no reason for time spent at home to be a life of drudgery. Wealth is often in the mind. Buying on credit makes you look rich but you stay poor.

Melissa's advice is 'Think like the rich. They skimp on clothes and toiletries and spend on antiques - because they last longer and go up in value. They avoid debt like the plague. A rich person will buy a three-month-old used car in cash and ask for an alarm system to be fitted for free. Start thinking humble, not flash, and your expenses will go down in no time.'

Melissa's book The Smart Woman's Guide to Staying at Home is published by Random House (RRP £9.99).

*A typical full-time nursery place for a child under two in Great Britain now costs £142 a week, almost £7,400 a year [Source: Daycare Trust 2006]

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