SAN DIEGO -- These days, making ends meet can be a juggling act.

It is no longer about choosing between buying necessities and luxuries, but rather figuring out which bill could be paid.

"It's really tough out there …," said Kent Hess.

Kent and his wife, Lisa, are newlyweds. They were both laid off from their teaching jobs this past summer.

"I am basically living out of the garage here," said Kent.

Despite cutting expenses dramatically -- including commuting on a motorcycle to save money -- financial hardship has forced the couple to move in with their parents.

"It was tough to look into his eyes and say, 'Yes, I can provide for your daughter' when I'm living in their house and all I can say is that I'm a good teacher they just don't know it," said Kent.

Even though the couple has college degrees and work experience, they have not been spared by the economic slump.

They are not alone, as the Center on Policy Initiatives' Murtaza Baxamusa said 800,000 San Diegans lived in economic hardship last year. He said the numbers for 2008 are bound to be worse.

"After 2007, we anticipate that because of the loss of employment and the increasing cost of living that the situation of San Diegans will worsen," said Baxamusa.

Working people at low and moderate income levels are particularly affected by the economic crunch.

"Just for a single individual to live in San Diego and just for health care, child care and the rising cost of living takes $28,500 dollars just to survive in San Diego," said Baxamusa.

But San Diego is where Kent and Lisa choose to live. Kent said hopefully the economy will turn around soon.

Kent recently learned he would be getting his job back, but right now he does not know where or what grade he will be teaching.