SETUP:
1. Create A Sim and plop him/her in a empty new residential lot (preferably starting with smallest one).
2. Once loaded, surround the whole lot with a fence, so nobody could enter it, all while leaving a 1x1 or 2x1 (horizontal space) in it like shown below.
3. Get your Sim a job (doesn't matter which one, as the challenge will be enforcing peanut pay.
4. Have additional community lot that serves for your Sim to satisfy their physical/emotional Needs, before you can purchase said amenities.

Rules:

• The Loaded Households starts with ZERO Simeleons, which you subtract by any mod or familyfun cheat needs you can.
• Rod Humbles computer can't be used or sold; Your Family needs to reach of its certain value. So either delete unpackaged gift, or stuff the computer in inventory till then.
• (Now this is tricky one, as it requires a bit of tedious work), Now, every job based on its level, makes you 1§ PER DAY (plus addition §1 more for its job entry level). So either manually reduce funds with FamilyFunds, or if you're mod - config all career salaries to pay literal peanuts.
• You may NOT sell or DELETE A FENCE, until you earn enough simoleons to buy a floor title (3§ carpet as I checked) - which can be used to expand the vacant space to one tile. Rebuild fence (w/o walls) so rest tiles are closed off, all while subtracting money back to its extreme state.
• Walls can be used to replace segment of fence (if you can afford), as well roof can be build over them, entries/windows can be created etc. etc. Be creatived and improvised so your Sim don't die/gets stuck/shooed/idle confused.
• Try making the whole house a labirinth or by any means keep it consistent.
• The layout of furniture, objects and structural stuff have to be that, fixiated in a way that leaves only a row of FREE space for the Sim to manuever around (hence the name of the challenge); Thereby at start, I suggest placing objects on the very of the edge, while leaving second vertical row for Sim to walk around and interact with the objects on their right or left (ill post an image of what I mean.
• If you encouter a difficulty of keeping your Sim alive and not fired, have them satisfy their hunger/hygiene/sleep/etc at a local commercial shelter lot you accomodate in their town.
• I wouldn't recoomend at the start of the challenge have your Sim make money by digging stuff (albeit as much realistic it is), as that kinda defeats the point of having your pixelated person to struggle. Have the Sim work their way to make money.
• If you don't have a way for Sim to travel on foot, you can set a phone immediately for them.
• If your lot gets to small, even or without adding more floors, you can move out. If your family expands with each new family member or addition, you can stretch the tile limit to one more tile row (as Sims be complaining with the traffic).

I playtesting it, so - so far it works.