I cant afford $135/mo what can I do?

Hi. I'm Brian and I'll try to help.

If your concern is just the accounts themselves and not the storage they represent, like 1TB of OneDrive storage, you don't need a subscription to Microsoft 365 to keep your Outlook.com account that uses the Hotmail address and your kids should still be able to keep their accounts as well at the free tier but you won't be able to control their screen time or the other aspects of the family plan. If it's the family safety aspect of the accounts you need, then your only choice is Microsoft 365 Family.

If family safety is not the concern but you need more storage than the minimal 5GB of OneDrive for a free account, a Microsoft 365 Basic account for $20 per year will give you 100GB of OneDrive storage. Microsoft 365 Basic is for a single person. I hope this clarifies things.