Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Treadingonplaymobil
    • By Treadingonplaymobil 12th Feb 17, 9:56 AM
    • 1,060Posts
    • 10,159Thanks
    Treadingonplaymobil
    £67,031.92 is a frightening number indeed....
    • #1
    • 12th Feb 17, 9:56 AM
    £67,031.92 is a frightening number indeed.... 12th Feb 17 at 9:56 AM
    £67,031.92. Seriously. £67,031.92. That is a SCARY number. I can't believe our debt has peaked (and it is the peak, I am determined) at this level.

    Our light bulb moment actually happened a few months back, but it's taken since then of wrangling utilities and carefully watching out income/outgoings (using You Need a Budget) to really figure out where we were overspending and how the monthly shortfall of anything from £200-£1,000+ was happening.

    We have literally nothing to show for this debt, it's just crept up over the past 8 years or so, and has always been at manageable levels, but back in October we realised we were spending more on credit cards each month than we were paying off.

    We committed that cardinal sin of taking out a consolidation loan, but alongside it we looked really carefully at our spending over the next couple of months, budgeted realistically for what we spend and have (I think) picked off all the easy 'low hanging fruit' of budget cuts and really identified why we were overspending.

    The main reason for the debt is, erm, me. Not that I'm the biggest spender (neither of us are amazing), but because I am self employed with a hugely variable income and basically worked out our budgets on the basis I would always earn my 'best' month's income. Which was, with hindsight, maybe a TINY bit deluded.

    The aim of this diary is to keep us on track with actually reducing our debt every single month, not doing it in a three steps forward, two (or four) steps back sort of way. Having sat down and put our numbers into the whatsthecost site, it appears that we are looking at 7 years and 1 month of repayments to clear the debt (and that's assuming we can get rid of the shortfall showing below). I REALLY want to reduce this term as that just seems bonkers.

    SOA below, with a couple of explanatory notes.

    Statement of Affairs and Personal Balance Sheet

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 3
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 250 (variable, but this is the minimum I have earned in any month in the last 5 years)
    Partners monthly income after tax....... 2711.86
    Benefits................................ 192
    Other income............................ 0
    Total monthly income.................... 3153.86


    Monthly Expense Details

    Mortgage................................ 698
    Secured/HP loan repayments.............. 0
    Rent.................................... 0
    Management charge (leasehold property).. 0
    Council tax............................. 174 (including overpayment for a period when we messed up during a house move 18 months ago and didn't restart the direct debit for the new property. Will drop by a little under £50 after either March or April, can't remember which)
    Electricity............................. 52 (gas and electricity are one combined DD, I haven't checked the exact split but the total is £104)
    Gas..................................... 52
    Oil..................................... 0
    Water rates............................. 104 (also including a debt from previous property, but I think this will be included for another 6 months or so. I'm not sure what our actual usage is)
    Telephone (land line)................... 18.5 (includes internet)
    Mobile phone............................ 85 (£45 for my contract, which I use for work as well, £40 for DH)
    TV Licence.............................. 12.12
    Satellite/Cable TV...................... 0
    Internet Services....................... 0 (included in landline cost)
    Groceries etc. ......................... 520 (Includes £40 for one lot of school lunches. I am REALLY struggling to reduce this, but feel I could and should be able to!)
    Clothing................................ 100 (growing children, plus see notes below re clothes)
    Petrol/diesel........................... 225 (90% DH commuting costs)
    Road tax................................ 16.27
    Car Insurance........................... 25.22
    Car maintenance (including MOT)......... 30
    Car parking............................. 0
    Other travel............................ 50
    Childcare/nursery....................... 70 (this will disappear in April as child 3 gets free 15 hours)
    Other child related expenses............ 81.85 (music/swimming lessons x2, cubs and beavers, National Trust membership as they love visiting them)
    Medical (prescriptions, dentist etc).... 5
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 27.07
    Contents insurance...................... 0
    Life assurance ......................... 16.26
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 90
    Haircuts................................ 20
    Entertainment........................... 135
    Holiday................................. 75
    Emergency fund.......................... 25
    Total monthly expenses.................. 2707.29



    Assets

    Cash.................................... 0
    House value (Gross)..................... 210000
    Shares and bonds........................ 0
    Car(s).................................. 800
    Other assets............................ 0
    Total Assets............................ 210800



    Secured & HP Debts

    Description....................Debt......Monthly.. .APR
    Mortgage...................... 173733...(698)......3.14
    Total secured & HP debts...... 173733....-.........-


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard....................6880.21...156...... .0
    MBNA...........................9614.71...98....... .0
    Parental loan..................20000.....0.........0 (see notes below)
    Tesco loan.....................21000.....377.......10
    Total unsecured debts..........57494.92..631.......-



    Monthly Budget Summary

    Total monthly income.................... 3,153.86
    Expenses (including HP & secured debts). 2,707.29
    Available for debt repayments........... 446.57
    Monthly UNsecured debt repayments....... 631
    Amount short for making debt repayments. -184.43


    Personal Balance Sheet Summary
    Total assets (things you own)........... 210,800
    Total HP & Secured debt................. -173,733
    Total Unsecured debt.................... -57,494.92
    Net Assets.............................. -20,427.92


    Created using the SOA calculator at stoozing.
    Reproduced on Moneysavingexpert with permission, using other browser.


    Regarding the (relatively) high clothes expense, it is a combination of 3 growing children (8, 6 and 3), plus the fact that my job is in the fashion industry, and as a self employed person I need to have the right sort of 'look' in order to get work (think along the lines of a self employed personal shopper - people need to see you looking good in order to book with you).

    The parental loan was for a house deposit. The parent in question has no idea about our debts. She is not desperate for the money back and isn't charging us interest, but has asked us to save £150-200 every month into a savings account and then once we've saved a decent sum to either repay them or 'reborrow' it for work on the house (basically they want us to be able to make repayments if they suddenly need the extra income, but meanwhile are happy for us to benefit from it. I am not saving the money while our debt payments are so high - we are hoping to have paid enough off that if the parent ever needs it that we can reborrow it and pay them back). This isn't great, but realistically I think the best solutions is to treat it as the lowest priority for snowballing - once we have paid back the other debts we will throw the entire £630+ at this debt.

    So, there is a freaking enormous shortfall every month, which is somewhat depressing. Most months it is covered by the fact that I earn more than my 'bare minimum', but it is those months where it isn't covered that the debt creeps up again, and I am a total disaster for going 'oh well, we've spent on the credit card, we might as well keep going' and buying more clothes or something for the house - this is probably a significant proportion of our debt problem.

    We have managed to get rid of the balance on the one credit card we were spending on, so the remaining ones are both on 0% deals (although one expires in September). I have not cut up the remaining credit card, because we don't have an emergency fund in case of eg boiler repairs, but it has not been used for all of a month, and I hope to keep it that way.

    A DMP or similar isn't really on my horizon right now - I feel like we should be able to make the cuts to make our budgets balance, and I am optimistic that as my income goes up (when I can work more as child 3 starts school) that we will be able to make overpayments.

    My plan for now is:
    1) Try to wiggle those budget numbers around enough that we don't have a shortfall any more.
    2) Make a plan for any months where I make extra - do I use it for an emergency fund, as a fund to cover future months' shortfalls, to throw money at the debt to try to reduce minimum payments in case of future 'shortfall' months?
    3) Try to make more money. Not quite sure how this will work as I am largely limited to working around DH's working hours (I work evenings and weekends and the 5hrs childcare per week we are paying for for child 3).

    Now that's all down in black and white I am feeling a combination of relieved (to be clear on the numbers) and immensely stressed (by the semi-regular £180+ shortfall).

    Onwards and downwards (for the debt, not me)!

    edited to add: the original £67,031.92 figure was based on the total figure for the Tesco loan, which included all interest payable over the entire term of the loan. I have updated the debt figure in my signature and in all posts going forward as at 4th June 2017 to reflect that actual current debt balance rather than the balance plus interest over the lifetime of the loan. This has knocked £7,911.62 off the debt figure, but means that each monthly payment will have the interest for that month deducted from it, so it won't affect the DFD if I don't make overpayments.
    Last edited by Treadingonplaymobil; 04-06-2017 at 2:58 PM.
Page 2
    • Honeysucklelou2
    • By Honeysucklelou2 13th Feb 17, 1:41 AM
    • 483 Posts
    • 1,772 Thanks
    Honeysucklelou2
    School meals are free for children in Reception, Y1 and Y2. Y3 to Y6 are chargeable.

    Totally get the idea of not wanting your children to miss out. I have National Trust membership as it quickly pays for itself and allows days out across the country should you want that. With my children, particularly as they have got older, I've had to limit what they can do, so one daughter has chosen not to have music lessons because she preferred to do something else. We don't do swimming lessons but
    I try to take them swimming as often as time and budget allow.

    All the best with your debt free journey.
    Last edited by Honeysucklelou2; 13-02-2017 at 1:51 AM.
    paydbx #90 £475/£10,000.
    Loan £17k - paid off in Aug 2017. Home improvement loans £3342 March 2017. £3206 in Oct 17
    • Treadingonplaymobil
    • By Treadingonplaymobil 13th Feb 17, 5:26 AM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Groceries is definitely your target. If your kids are eating beans on toast because they've had a hot lunch, and you're eating mostly vegetarian food, I am completely mystified as to where that 500 is going. Can you swap to a cheaper supermarket? Tracking and meal planning will probably do loads to help just on its own.
    Kids' clothes and even your clothes are another one to be tackled: I'm on a lot of FB swap-and-sale groups for high end labels, and I see a lot of stuff come up that's still new season but half the price because someone's worn it twice and decided they don't love it - is that worth seeking out for a few of your favourite brands? Kid 3, I think, could be well outfitted by hitting the thrift stores in a posh area!
    Originally posted by armchairexpert
    These are definitely coming out as the two areas that I need to do something about immediately. Cheaper supermarket is the first step, plus some wardrobe planning to see what my kids actually might need over the coming months. Haven't ever even looked at FB groups for this sort of thing!

    If your grocery bill is high because you can't resist buying a new toy or magazine then shopping online could be your answer to cutting your shopping budget significantly.
    I too think you should cancel the holiday, is it really only going to cost £300 + £100? What about food and spending money while you're there?
    Originally posted by FatVonD
    I'm confident the holiday will only cost that - self catering so just normal food bill, and no additional activities to pay for. I also couldn't begin to contemplate telling the parents that we were too broke to afford it when we'd said yes four months ago!
    Online shopping for food could work, but actually I've done really well before by just going to Aldi/Lidl (with a strict list) and then buying extras that we really in Sainsburys. I used to shop for a lot less, it has definitely crept up again over the past 3 months, and by more than just the food price increase.

    Totally get the idea of not wanting your children to miss out. I have National Trust membership as it quickly pays for itself and allows days out across the country should you want that. With my children, particularly as they have got older, I've had to limit what they can do, so one daughter has chosen not to have music lessons because she preferred to do something else. We don't do swimming lessons but
    I try to take them swimming as often as time and budget allow.
    Originally posted by Honeysucklelou2
    Swimming is fairly essential for us (coastal location, spend a lot of time at the beach), but I think I need to have a little internal rule that if they want to start something new then they'll have to choose between it and music until our debt is much more manageable.
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • Treadingonplaymobil
    • By Treadingonplaymobil 13th Feb 17, 5:48 AM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Day 2

    Wow, so much food for thought yesterday. A huge thank you to everyone who took the time to comment, help me really clarify what the stupid parts of the budget are and what needs to be tackled first - it's so helpful to get an outside perspective, as some numbers become so normalised that it seems impossible to change them.

    Some plans...

    To do today:
    1. Check children's wardrobes and establish what might need buying in the next two months, and how to do it for less
    2. Pack snacks for journey to visit family today, so we don't get tempted to stop and buy anything on the way
    3. Have a NSD

    To do this week:
    1. Redo our budget to ensure that even if I only earn my minimum of £250 per month, that the shortfall is gone, whether it has to come from clothes, food, entertainment or whatever. It's lovely to try to earn extra to cover it every month, but I need to get us to a position where if I don't that we're not getting further into debt.
    2. We are away visiting family from today until Thursday, so no worries about food shopping until then (DH at home, but can make do with what's in the house, there is loads), but I'm going to challenge myself to make Thursday's top up shop to get us through until the following Tuesday (normal food shopping day) come in at under £30.
    3. List child 3's old cot on eBay
    4. Menu plan for next week and use MySupermarket to keep the cost down to <£60 for the week
    5. DH - water meter reading to make sure our direct debit is accurate
    6. DH - gas and electricity readings, to make sure direct debit is accurate

    I did have a list of longer term aims, but I know I am much better at looking long term and making lovely optimistic plans, and ignoring what's happening right now, so I have deleted it and am going to concentrate on getting those short term goals in place before I think more long term.
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • ani*fan
    • By ani*fan 13th Feb 17, 6:28 AM
    • 1,498 Posts
    • 3,680 Thanks
    ani*fan
    This looks to me like a solid plan. Bravo!

    A few thoughts...

    You mentioned your children have really good quality clothes that they sometimes grow out of before they're worn, could you sell some of these on ebay or elsewhere?

    Getting snacks arranged in advance is brilliant. Part of this is being much more organised than you've ever been before. Same goes for food shopping and meal planning.

    You could try gumtree for selling the cot. It's more local so buyers know they have to pick up and that you're not prepared to try and post a cot.

    If you're in credit with the gas or electricity, get them to refund the cash. It's yours.

    I totally agree that dealing with immediate concerns is the way forward. If you look too long term then it beomes very disheartening and maybe overwhelming.

    My apologies if I sounded too severe yesterday. You do sound like you have a better hold of this today and that's great. I hope you and the children have a lovely few days with your family.
    If you know you have enough, you're rich.
    • angelpye
    • By angelpye 13th Feb 17, 7:56 AM
    • 988 Posts
    • 3,710 Thanks
    angelpye
    Someone bought their 'A' game! Sounds like you have a plan

    You can do this and you will find a way that suits you plus cutting down can be quite addictive!

    I am by the sea too and totally agree with swimming lessons as a necessary.

    I have always done well on Eb@y when I actually put the effort in to list kids clothes - don't get anywhere near what I paid for them but all adds up. Even bundles of more worn clothes have sold - although I made sure pics clearly showed they were not in nearly new condition.

    Hope you enjoy your time away
    Happiness is wanting what you have...
    Debt Jan 2017: £2589.22 DFD: Sept 2022 April 2022 but this Marching Minimalist can beat that!
    Use it or Loose it gym target: Feb'17 5/6 Mar 4/6
    EF £0/£4200
    • Honeysucklelou2
    • By Honeysucklelou2 13th Feb 17, 8:26 AM
    • 483 Posts
    • 1,772 Thanks
    Honeysucklelou2
    I too am in a coastal location but ultimately if I can't afford swimming lessons, then I do the next best thing and take them as much as I can afford to. I did begin with swimming lessons, amongst other activities but the overall cost was too much and I was getting into more debt to continue them, hence why I stopped. Schools are obliged to teach swimming as part of the National Curriculum and lots of schools do extend that to KS1 as well.
    Everybody's debt busting journey is different, for me I've had to cut back on children's activities until I'm in a better financial place. We still have days out but these tend to be NT days out or beach days.

    Good idea to sell any high end clothes on EBay.
    Last edited by Honeysucklelou2; 13-02-2017 at 9:33 AM. Reason: Clarification
    paydbx #90 £475/£10,000.
    Loan £17k - paid off in Aug 2017. Home improvement loans £3342 March 2017. £3206 in Oct 17
    • Macey1510
    • By Macey1510 13th Feb 17, 10:25 AM
    • 82 Posts
    • 300 Thanks
    Macey1510
    Good luck with your goals!
    • GeorgianaCavendish
    • By GeorgianaCavendish 13th Feb 17, 11:20 AM
    • 505 Posts
    • 2,896 Thanks
    GeorgianaCavendish
    Just wanted to pop in and say good luck! I think you've done really well in getting your SOA done and identifying the spendiest areas.
    I'm very new to these boards myself so don't have much to say apart from good luck! I've subscribed to your thread
    • Kittencat
    • By Kittencat 13th Feb 17, 12:51 PM
    • 630 Posts
    • 3,971 Thanks
    Kittencat
    Are you providing packed lunches for the 6 and 8 year old? All school meals are free now for Primary aged children, regardless. Good luck!
    Originally posted by zippygeorgeandben
    My little one is in Reception and we still pay if she wants hot dinners.
    May 2017 ..... debt was £37,000..
    June 17' - we now owe £34,500.
    • Treadingonplaymobil
    • By Treadingonplaymobil 13th Feb 17, 5:11 PM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Getting snacks arranged in advance is brilliant. Part of this is being much more organised than you've ever been before. Same goes for food shopping and meal planning.

    If you're in credit with the gas or electricity, get them to refund the cash. It's yours.

    My apologies if I sounded too severe yesterday. You do sound like you have a better hold of this today and that's great. I hope you and the children have a lovely few days with your family.
    Originally posted by ani*fan
    I'm hoping there's a bit of credit on the gas and electricity and we can get refund and/or reduce the DD a bit. No idea though - will be depressing if it turns out it's exactly right or a bit short! Will be an incentive to put some energy saving measures in place. And yes to the organising - part of my job is being killer at organisation and planning, I need to apply those skills here.
    And the harshness yesterday from anyone wasn't a problem - I posted here to get ideas and be accountable, and you were all doing exactly what was needed.

    Someone bought their 'A' game! Sounds like you have a plan

    You can do this and you will find a way that suits you plus cutting down can be quite addictive!

    I am by the sea too and totally agree with swimming lessons as a necessary.

    I have always done well on Eb@y when I actually put the effort in to list kids clothes - don't get anywhere near what I paid for them but all adds up. Even bundles of more worn clothes have sold - although I made sure pics clearly showed they were not in nearly new condition.
    Originally posted by angelpye
    Hadn't even thought about selling properly worn out clothes - have been merrily charity shopping or donating to friends. Will improve on that in future! thanks for the words of support.

    Just wanted to pop in and say good luck! I think you've done really well in getting your SOA done and identifying the spendiest areas.
    I'm very new to these boards myself so don't have much to say apart from good luck! I've subscribed to your thread
    Originally posted by GeorgianaCavendish
    Thank you! Lovely to have you aboard :-)
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • copperman05
    • By copperman05 13th Feb 17, 5:57 PM
    • 75 Posts
    • 123 Thanks
    copperman05
    Just wanted to say hello and good luck, have you tried using budgeting software like YNAB (YouNeedABudget)? I've found it invaluable in getting my finances sorted, and strangely even fun to use.
    LBM Oct'16 at £51,264
    Jan '17 £25,059 (Sold car)
    May '17 £19,349
    DFD Projection Dec '18 Aug '18
    Gazelle Intensity!
    • Treadingonplaymobil
    • By Treadingonplaymobil 13th Feb 17, 8:01 PM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Just wanted to say hello and good luck, have you tried using budgeting software like YNAB (YouNeedABudget)? I've found it invaluable in getting my finances sorted, and strangely even fun to use.
    Originally posted by copperman05
    YES! YNAB saved our bacon, it was using that which gave us our LBM and turned the whole thing around. We use it religiously, and I can completely see why were in such dire straits beforehand - we had no bloody clue how much money we had at all.
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • Treadingonplaymobil
    • By Treadingonplaymobil 13th Feb 17, 8:09 PM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Woohoo, survived the day. Feeling positive, updates below...

    To do today:
    1. Check children's wardrobes and establish what might need buying in the next two months, and how to do it for less: Done! List not as short as I'd hoped, but one item crossed off immediately as arrived at relatives to be given some hand me down dresses and leggings for child 3. Will write out in full at some stage.
    2. Pack snacks for journey to visit family today, so we don't get tempted to stop and buy anything on the way: done!
    3. Have a NSD. Not quite done (unavoidable toll en route to relatives), but budgets unaffected as I scrabbled the toll together out of our change tin at home before leaving.

    To do this week:
    1. Redo our budget to ensure that even if I only earn my minimum of £250 per month, that the shortfall is gone, whether it has to come from clothes, food, entertainment or whatever. It's lovely to try to earn extra to cover it every month, but I need to get us to a position where if I don't that we're not getting further into debt. I have done this already, yay me! I will post it in the form of an updated (and wildly depressing, but accurate) SOA when I get home at the end of the week.
    2. We are away visiting family from today until Thursday, so no worries about food shopping until then (DH at home, but can make do with what's in the house, there is loads), but I'm going to challenge myself to make Thursday's top up shop to get us through until the following Tuesday (normal food shopping day) come in at under £30.
    3. List child 3's old cot on eBay
    4. Menu plan for next week and use MySupermarket to keep the cost down to <£60 for the week
    5. DH - water meter reading to make sure our direct debit is accurate.
    6. DH - gas and electricity readings, to make sure direct debit is accurate.

    Some more aims to follow tomorrow
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • angelpye
    • By angelpye 13th Feb 17, 8:45 PM
    • 988 Posts
    • 3,710 Thanks
    angelpye
    Wow! Sounds like you had a very productive day! The SOA may be depressing for now but it will get better and just think when you are earning more there will be more for the debt busting and a few family treats
    Happiness is wanting what you have...
    Debt Jan 2017: £2589.22 DFD: Sept 2022 April 2022 but this Marching Minimalist can beat that!
    Use it or Loose it gym target: Feb'17 5/6 Mar 4/6
    EF £0/£4200
    • angelpye
    • By angelpye 13th Feb 17, 8:46 PM
    • 988 Posts
    • 3,710 Thanks
    angelpye
    Ps. Plus an accurate SOA means not getting into further debt of course!
    Happiness is wanting what you have...
    Debt Jan 2017: £2589.22 DFD: Sept 2022 April 2022 but this Marching Minimalist can beat that!
    Use it or Loose it gym target: Feb'17 5/6 Mar 4/6
    EF £0/£4200
    • Drawingaline
    • By Drawingaline 13th Feb 17, 9:44 PM
    • 187 Posts
    • 762 Thanks
    Drawingaline
    What a fantastic start!
    • Allotrope
    • By Allotrope 13th Feb 17, 11:12 PM
    • 155 Posts
    • 404 Thanks
    Allotrope
    Well done! Following you on your journey and wishing you lots of luck
    • Treadingonplaymobil
    • By Treadingonplaymobil 14th Feb 17, 6:00 AM
    • 1,060 Posts
    • 10,159 Thanks
    Treadingonplaymobil
    Day 3

    And onwards we go.

    Good news this morning - my snowball calculator hadnít taken account of the £96.14 CC DD that went out (itís ok, my budget knew it was coming!), so my Debt Free Date has come forward one month without me having to do anything. OK, so itís not overpaying, but itís nice to see that actually I have budgeted for something and itís happening as planned.

    I mentioned yesterday that I'd written a clothing list for the children. Here it is, mainly as a reminder to me not to buy more:
    1. Leggings for child 3 (already got as a hand me down on arrival at relatives)
    2. Tops/dresses for child 3 (already got, as above)
    3. Wellies for child 3
    4. Possible wellies for child 1 and 2, need to double check sizes
    5. School shoes for child 1 (almost definitely)
    6. School shoes for child 2 (probably)
    7. Jumper for child 1
    8. School jumper each for child 1 and 2

    I liked my To Do list yesterday, so to continue in that theme...

    To do today:
    1. Pay in cheque received as a refund for a cancelled magazine subscription (tiny amount, only about a tenner, so it's been sat in my purse waiting to be paid in for a fortnight).
    2. NSD, ignoring some posting for business (budgeted for in business account - which incidentally has no overdraft or debt, in case anyone sees this and wonders! - and not related to personal budget).
    3. Update YNAB (budgeting app, for anyone not familiar) and make sure everything is on track.
    4. Do 2 hours work today while relatives take the children out - the work that earns me my guaranteed £250 a month can be done anywhere, so will attempt to get ahead on that so I can spend some time working on other things later in the week.

    To do this week:
    1. Redo our budget to ensure that even if I only earn my minimum of £250 per month, that the shortfall is gone, whether it has to come from clothes, food, entertainment or whatever. It's lovely to try to earn extra to cover it every month, but I need to get us to a position where if I don't that we're not getting further into debt. I have done this already, yay me! I will post it in the form of an updated (and wildly depressing, but accurate) SOA when I get home at the end of the week.
    2. We are away visiting family from Monday until Thursday, so no worries about food shopping until then (DH at home, but can make do with what's in the house, there is loads), but I'm going to challenge myself to make Thursday's top up shop to get us through until the following Tuesday (normal food shopping day) come in at under £30.
    3. List child 3's old cot on eBay
    4. Menu plan for next week and use MySupermarket to keep the cost down to <£60 for the week
    5. DH - water meter reading to make sure our direct debit is accurate
    6. DH - gas and electricity readings, to make sure direct debit is accurate
    £67,031.92 is a frightening number indeed... The debt free diary of one family and their enormous debt
    LBM debt on 12th Feb 2017/DFD: £58,608.13/1st Dec 2026
    debt on 2nd Aug 17/DFD: £55,011.96/1st May 2025
    • boxofpaws
    • By boxofpaws 14th Feb 17, 8:19 AM
    • 404 Posts
    • 1,735 Thanks
    boxofpaws
    Great start to day 3!
    Debt 03/01/17 = £42000
    Debt today = £31900
    • motivated
    • By motivated 14th Feb 17, 9:46 AM
    • 2,273 Posts
    • 3,392 Thanks
    motivated
    Hi
    You sound like you are making good progress already. I need to get as organised as you.

    We also have a mountain to climb but with hard work and determination it can be done.

    Good luck on your journey
    M
    I have arrived in DMP land and I like it, I may stay a while
    Short term goal £735/£1796

    0/98 payments
    SPC # 91
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

3,858Posts Today

8,114Users online

Martin's Twitter