Facing tough realities

Stb_2 · 21 February 2017 at 11:49PM

I am a chronic over spender / optimist, I always tell myself I can sort overdraft within month or two of Christmas with money that will magically arrive! I also tell myself I'll budget better next month and get the credit card sorted.

Until 5 months ago these deceptions were OK because I "managed" - now my wife wants a divorce and I have to face up to the fact some of her complaints about my unhealthy relationship with money are true. The numbers aren't massive but the problem is real.

I owe £1,090 on a Virgin 0% balance transfer card and £5,800 on student loan.

Periodically I go into and then dig myself out of my over draft so I have a debt cycle. I've already done the following:

- identified an unneeded monthly direct debit for £15 a month and redirected to credit card so now paying £40 a month rather than £25 minimum. But I use it for expenses at work but often fail to repay (as I said silly mistakes)
- signed up for months free YNAB trial - LOVE IT! I can see what I need now and in 3 months time, allocating to my pots and enjoying not spending when don't need to

I have £75 to last me until last day of month, I can see if I don't spend it life is slightly easier next month and so on.

I'm a Dad to two kids and want to smash my poor money management so I can relax and focus on them. So I have small debts and poor money management skills, I want to have no debts and be a money management ninja!

:money:

-taff · 22 February 2017 at 12:04AM

Well, you've come to the right place for being a debt smashing ninja

[so funny! - clad in black throwing smash-debt-stars]
Good to know you have something in place to help you, i.e. ynab. I get very frustrated sometimes that imcome doesn't come in fast enough so I can play with it more. I got an ebay refund tonight, was staight on there to start playing with it....sad but true.
Hope your marriage can be saved, and good luck with the money stuff

Stb_2 · 23 February 2017 at 8:00PM

Thanks Taff, hopefully as you say things will be ok, either way need to sort this stuff out long term!

Stb_2 · 23 February 2017 at 8:20PM

So. Moved £50 from current acct to saver and updated YNAB. Excellent feeling. Then realised if hadn't been in overdraft would have kept all of £350 I got the other day from joint. Instead it's paid the overdraft.

Demotivating!

On the plus side though I have £50 extra on saver, have paid credit card minimum, paid for family bits and have £40 to last to Wednesday (payday!) When the whole thing starts again. Trying to roll the £40 into next month or as much as I can.

On the positive side I've budgeted and allocated for presents, scout camp and emergency fund and this is all in saver not current account so feeling a bit positive and a bit foolish (really want to budget that £350 rather than pay off over draft!!

Stb_2 · 27 February 2017 at 9:03PM

Right, here we are night before payday and for the first time ever I have:

Money left from last month - £37 no less!
I am not in my over draft, I will get all my salary to budget
I have saved another £50 this month and maintained previous savings balance of £100

So tonight I am worth £187! Woo hoo (We'll ignore the £1092 credit card debt for now!)

For the first time ever I am looking forward to payday not because I will be able to spend but because I will be able to budget! What an odd experience! Feels positive though so that's good.

Issues:

- looks like the divorce proceedings start tomorrow so may have to cough up for fees but I can do this from savings (amazing feeling, just wish could use for something positive)
- have taken out child care vouchers this month so cash flow has dropped
- I need to pay off some extra on credit card I think

Strengths

I HAVE MONEY AT THE END OF THE MONTH!!!!!!
I am not in my overdraft
I have a small savings pot and know my debts to the penny and when payments go out.
Have increased payment from £25 - £40 per month so will now undershoot 0% period, I may decide to shift some more off credit card over coming months as war chest grows
MY KIDS ARE AMAZING!

Right, I think that's about it. I am looking at selling my Brompton this month to try and get £400 into the pot, let's see what happens.

Bobarella · 27 February 2017 at 10:29PM

That is so good Stb well done! Money left is a great achievement.

newlifeahead · 27 February 2017 at 10:42PM

You have made a great start so far.

Good luck :money:

Stb_2 · 1 March 2017 at 12:09AM

Hi guys thanks for your support really appreciate it

Spend free day today on payday! Waiting to see what changes happen Ynab for new month am finding it a little confusing, may need to hit desktop version. In the meantime not spending a penny until budgeted, probably tomorrow at some point. The thought of scarcity of cash scares me but of course the less I spend due to budgeting the more I'll have to avoid credit card and the ever dreaded overdraft! So it's the curb to lifestyle I'm worried about - no mild inconvenience and sensible financial management for the first time ever, no gain I guess!!

Planning another SFD tomorrow and working from home Thurs or Fri so there's another one at least. Night Hike with Scouts Friday so no money needed there, birthday on 15th March so might a gift or two to cheer me up - maybe!!

Anyway there's always some thing to be grateful for, regardless of life's challenges!

Cheerio for now

Stb_2 · 2 March 2017 at 12:40AM

Struggling with Ynab, frustrating

Didn't spend at work today but bought a round after scouts at pub, all budgeted for so no worries

Off to sleep, cheers

Stb_2 · 3 March 2017 at 9:10AM

Bit of a double kick in the backside this morning, the Mrs wants £275 of me from savings for court application for divorce so my savings pot is wiped out to pay for a divorce. Great! No idea how to update YNAB to reflect this either getting a bit frustrated with it actually.

On the positive side because I saved last month I have enough to cover it from savings not overdraft or credit card so financial discipline paying off already.

Frustratingly 90% of monthly salary goes in joint which wife doesn't contribute to at all but she expects me to contribute to this and other things on top. Where am I supposed to get the money from? I might ask her to start paying in for last months so I can save more, whether she'll agree is another matter. Feel I'm being manipulated.

Anyway I've looked at the numbers and I can pay £275, have a little spending money and save a little if I am very careful. Priority is paying credit card and not going into overdraft. Will update progress. Want a no spend day today and all weekend.

Bobarella · 4 March 2017 at 12:18AM

Wow sorry to read that.

Facing tough realities

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