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  • FIRST POST
    • JWPopps
    • By JWPopps 13th Dec 16, 7:03 PM
    • 265Posts
    • 1,416Thanks
    JWPopps
    Flush by 30?
    • #1
    • 13th Dec 16, 7:03 PM
    Flush by 30? 13th Dec 16 at 7:03 PM
    Hello!

    I'm fairly new to MSE and have become totally obsessed with reading everyone else's diaries, so I thought I'd do one of my own! Even if no one else ever reads it, I'm hoping it will be somewhere I can rant my rants and think my thoughts without a) boring my friends and family and b) embarrassing myself in front of friends and family!

    I'm 26 (27 in March) and have had a bit of a slog to get to where I am today which I will likely go into later... basically, money has always been something other people have. So, while my debts might not seem huge, making the payments every month is stopping me from really appreciating how far I've come and how nice it is to be earning a relatively good wage.

    The above paragraph sounds a bit up myself, actually. Oh well!

    Debts:
    Barclaycard: £1465.49 (19%)
    Sainsburys card: £75 (0%)
    Barclayloan: £6,673.36 (4.9%)
    Overdraft: £485.09 (I get charges as well but not sure of the %)
    Mortgage: £88,163.97 (34 years left on it, at 3.99%)

    I'm not stressing about getting my mortgage paid off at the moment; it would be nice to be debt free and have a nice emergency fund, and maybe even a fun fund, and to be making mortgage overpayments.

    Total debt I'm worried about then: £8,698.94

    Goals for 2017:
    Pay off Barclaycard and close
    Get Sainsbury's card to 0 every month (i.e. use only for groceries)
    Pay off overdraft
    Get loan down to £3,500
    Start an Emergency Fund
    Start a Fun Fund
    Start making mortgage OPs
    Chill the heck out about my finances for the first time in 11 years!!
Page 1
    • Seasidegal58
    • By Seasidegal58 13th Dec 16, 9:02 PM
    • 1,191 Posts
    • 6,694 Thanks
    Seasidegal58
    • #2
    • 13th Dec 16, 9:02 PM
    • #2
    • 13th Dec 16, 9:02 PM
    Good luck with your journey!
    Finally Debt Free! - July 2016
    Finished Emergency Fund- £10,000 April 2017

    Next Scrimpy Goal - Save for New Kitchen!
    My debt free diary - " Paid off the £31,000 - BUT still scrimping!"
    • Bobarella
    • By Bobarella 13th Dec 16, 11:04 PM
    • 10,450 Posts
    • 69,680 Thanks
    Bobarella
    • #3
    • 13th Dec 16, 11:04 PM
    • #3
    • 13th Dec 16, 11:04 PM
    Yes good luck to you.
    " Your vibe attracts your tribe"

    Debt neutral 27/03/17 from £40k in the hole 2012.
    Roadkill 17 £56.58 2016-£62.28 2015- £84.20)
    RYSAW17 £1900 2016 £2,535.16 2015 £1027.20
    • JWPopps
    • By JWPopps 14th Dec 16, 11:36 AM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    • #4
    • 14th Dec 16, 11:36 AM
    • #4
    • 14th Dec 16, 11:36 AM
    Thank you both! I'm feeling very positive
    • JWPopps
    • By JWPopps 14th Dec 16, 1:46 PM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    • #5
    • 14th Dec 16, 1:46 PM
    Soa
    • #5
    • 14th Dec 16, 1:46 PM
    Statement of Affairs and Personal Balance Sheet

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 0
    Number of cars owned.................... 0

    Monthly Income Details

    Monthly income after tax................ 1560
    Rent from Mum............................ 350
    Total monthly income.................... 1910


    Monthly Expense Details

    Mortgage................................ 397.98
    Council tax............................. 113
    Electricity............................. 25
    Gas..................................... 25
    Fuel for wood burner.......... 30
    Water rates............................. 28
    Telephone (land line)................... 18 (internet included)
    Mobile phone............................ 35
    TV Licence.............................. 12.12
    Satellite/Cable TV...................... 0 (I use my OH's Netflix!)
    Internet Services....................... 0
    Groceries etc. ......................... 300 (v. high, I'm hoping to get this down dramatically)
    Clothing................................ 0 (I genuinely haven't bought new clothes in 10 months)
    Petrol/diesel........................... 0 (don't drive)
    Road tax................................ 0
    Car Insurance........................... 0
    Car maintenance (including MOT)......... 0
    Car parking............................. 0
    Other travel............................ 135 (bus for work, travel to see OH)
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 25
    Pet insurance/vet bills................. 28
    Buildings insurance..................... 17.05 (includes contents)
    Contents insurance...................... 0
    Life assurance ......................... 37
    Other insurance......................... 15.25 (boiler cover)
    Presents (birthday, christmas etc)...... 50
    Haircuts................................ 0 (my friend's a hairdresser...)
    Entertainment........................... 120
    Holiday................................. 25
    Emergency fund.......................... 125
    Total monthly expenses.................. 1561.32



    Assets

    Cash.................................... 0
    House value (Gross)..................... 110000
    Shares and bonds........................ 0
    Car(s).................................. 0
    Other assets............................ 1000
    Total Assets............................ 111000



    Secured & HP Debts

    Description....................Debt......Monthly.. .APR
    Mortgage...................... 89000....(397.9)....3.99
    Total secured & HP debts...... 89000.....-.........-


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard....................1465......36....... .19
    Sainsburys Card................75........5.........0
    Barclayloan....................6700......150.2.... .4.9
    Total unsecured debts..........8240......191.2.....-



    Monthly Budget Summary

    Total monthly income.................... 1,910
    Expenses (including HP & secured debts). 1,561.32
    Available for debt repayments........... 348.68
    Monthly UNsecured debt repayments....... 191.2
    Amount left after debt repayments....... 157.48


    Personal Balance Sheet Summary
    Total assets (things you own)........... 111,000
    Total HP & Secured debt................. -89,000
    Total Unsecured debt.................... -8,240
    Net Assets.............................. 13,760


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



    I suspect the reason I don't recognise the figures above is because my overdraft facility isn't on here, because I've made a decision not to panic if I'm in my overdraft at the end of every month as long as my credit cards/loan are going down.

    And with that in mind... this looks much better than I thought! Hurray, perhaps my goals are achievable!
    Credit Card Debt: £720
    Loan Debt: £6,100
    Savings: £30



    [B]PAYDBX 2017 - #19 : 80% paid 6624/8280[/
    • Scott_Weiland
    • By Scott_Weiland 14th Dec 16, 5:23 PM
    • 661 Posts
    • 1,631 Thanks
    Scott_Weiland
    • #6
    • 14th Dec 16, 5:23 PM
    • #6
    • 14th Dec 16, 5:23 PM
    good luck with your journey
    Debts 15981.64 total paid 2078
    Cashback Earnings YTD £167.28 Survey Earnings YTD £570.88
    • Cheeseface
    • By Cheeseface 14th Dec 16, 8:08 PM
    • 136 Posts
    • 384 Thanks
    Cheeseface
    • #7
    • 14th Dec 16, 8:08 PM
    • #7
    • 14th Dec 16, 8:08 PM
    That doesn't look too bad at all. You get that debt right down quickly. Good luck, I've subbed!
    • JWPopps
    • By JWPopps 15th Dec 16, 1:01 PM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    • #8
    • 15th Dec 16, 1:01 PM
    Money, money, money!
    • #8
    • 15th Dec 16, 1:01 PM
    Gosh, you're all such a lovely bunch!

    I actually got in a bit of a funk with myself yesterday after doing my SOA, because I was thinking 'well, if I'm actually doing that well, how come there always seems to be so much more month than money?'

    I suspect some wider financial context of why I'm here might answer that...

    I left home at 16 for personal/family reasons. This was in hindsight a really, really good idea emotionally and for my relationships with various family members, but was also an absolute nightmare financially.

    Good things happened, including spending some time living with a family friend who taught me to cook cheaply and to pay my bills before anything else, but then I ended up in a council flat and realised I wasn't even sure what bills I had to pay! For example, I assumed water was free, on the grounds that unlike electricity I'd never heard of someone's water being turned off.

    It should be no surprise to anyone that by the time I was ready for university at 18 I had managed to get in some debt with the water company, NPower and the council. With NPower it was because they didn't send me a bill for a year and therefore I 'forgot' to keep chasing them for it and didn't pay them anything... teenage logic. The council debt was rent arrears, which I blame an ex-boyfriend for but actually I should have never told him he could move in, so the responsibility does indeed still lie with me there.

    Anyway, University was an opportunity to ditch the council flat AND the boyfriend. Over those three years I slowly paid off my debts and I'm not quite sure why, but none of them ended up on my credit file so I was very lucky there. I was also by that stage terrified of debt in all its forms, so I shunned those massive overdrafts banks hand out to students like penny sweets, and instead took a £200 overdraft on the grounds that I was earning £200 a month minimum at the little shop I got a job in, so could always pay my overdraft off.

    I obviously wasn't rich during this time, since it was a massive pain in the a**se to get the student loans company to believe my parents weren't financially supporting me, and also over the holiday periods I was technically homeless, so I did a fair bit of sofa-surfing and also took any jobs over summer that came with accommodation - Camp America, teaching English at a private summer school down south, a paid internship, that kind of thing.

    After graduation I got a low-paid job and an expensive flat, followed by a slightly-less-low-paid job and a dirt cheap house, then a better job and a nice flat and eventually a job I love that pays well and a mortgage!

    But somewhere along the line I also got a credit card. And the house I bought needed a new roof, so I got a loan for that.

    Also, I developed a habit of just buying stuff I don't need - I think this is evidenced by my SOA. If I wasn't in the habit of buying stuff I don't need, I'd have loads of money in savings, but I don't.

    So... over the next few days I think I'm going to have a really hard think about what I can and can't give up to be more financially savvy... thanks for all your support guys!!
    Credit Card Debt: £720
    Loan Debt: £6,100
    Savings: £30



    [B]PAYDBX 2017 - #19 : 80% paid 6624/8280[/
    • Scott_Weiland
    • By Scott_Weiland 15th Dec 16, 5:17 PM
    • 661 Posts
    • 1,631 Thanks
    Scott_Weiland
    • #9
    • 15th Dec 16, 5:17 PM
    • #9
    • 15th Dec 16, 5:17 PM
    Re your soa if it was me re it i would change 2 things

    Firstly get that food bill down 300pm is high is that just you and your mum? 200-225 is more realistic

    Second get registered with topcashback.co.uk and have a look at quotes for these things your pet insurance, boiler cover, builds cover and life insurance easily a 20-30 saving there amonth.
    Debts 15981.64 total paid 2078
    Cashback Earnings YTD £167.28 Survey Earnings YTD £570.88
    • natsplatnat
    • By natsplatnat 15th Dec 16, 5:45 PM
    • 2,658 Posts
    • 2,360 Thanks
    natsplatnat
    Have look at the "de-motivator" to see what the annual cost of things you buy regularly is. That special coffee / magazine / cake each week can add up!

    Also, a spending diary is great for highlighting where those pesky pounds go. It may be just a couple of quid (or less) here and there but it really does add up quickly. You only need to run it for a couple of weeks to see!


    I also champion the weekly cash allowance.... yes, I give myself an allowance. This is for all the smaller, frivolous items. If it runs out, I can't buy anything. Having done this for many years, I now find I usually have a small surplus each week. I either roll this forward to the next week (and really go wild with an extra £2.75) or it goes in my change pot!


    All the best on your journey - Nats x
    Last edited by natsplatnat; 16-12-2016 at 11:23 AM.
    LBM ,- Wed 19th Nov 2008 £21,225 PAID OFF
    *DEBT FREE 28th September 2015*
    *2017 cashback pending £175.35, paid £??*
    (2011=£137.30, 12=£66.39, 13=£102.61, 14=£214.97, 15=£159.51 16=£213.05)
    Pro.Ac £10.10 + £126.19 paid
    SAVINGS TO CLEAR STUDENT LOAN £0.00 (£528.56 paid off)

    • Sun Addict
    • By Sun Addict 16th Dec 16, 11:09 AM
    • 4,761 Posts
    • 28,344 Thanks
    Sun Addict
    Hi JWP, just come across your diary. Well done on getting yourself sorted so young. I wish MSE had been around when I was your age, I had 2 young children, a mortgage and very little money. Still not completely sorted now!

    Some great advice been given already, good luck with your journey!
    Virtual Sealed Pot 2018 £20.70
    December 3 NSD
    Weight loss 2/7lbs
    Mr SA finally in remission December 2013
    • Kitten868
    • By Kitten868 16th Dec 16, 1:14 PM
    • 846 Posts
    • 1,727 Thanks
    Kitten868
    Hello lovely. I think you sound like you've done really well. And life can cause debts but I don't think you can feel hard on yourself about it. You have acknowledged that the big spends have lead to lots of little spends and your dealing with it but you can't live without a roof. Groceries are my downfall too. Keep up the good work xxx
    Loan 1 £7100/£8000
    Loan 2 £5100/£5800
    Total £12200/£13800 12% PAID
    • jvr
    • By jvr 16th Dec 16, 1:32 PM
    • 326 Posts
    • 1,142 Thanks
    jvr
    Hi


    Well done on posting your SOA I am still working up the courage to do that!
    We are similar age with similar debt and mortgage, I have the same feeling when I look at my expenses... why do I always run out?! but I realise it is the fivers here and there that I am sure are adding up to the £150 or so I seem to be running over!
    Good luck with your journey I'm looking forward to seeing how you do


    Starting point: £9000 needed to clear debt and pay for the holiday
    Now: £1900/£9000 paid......... £7100 to go!
    • Cheeseface
    • By Cheeseface 17th Dec 16, 6:58 PM
    • 136 Posts
    • 384 Thanks
    Cheeseface
    Definitely start a spending diary. Write down everything and you can see where it's going.

    Mine is ok apart from the eating out section. I spend far too much there. I'm going to focus on that next month.
    • JWPopps
    • By JWPopps 19th Dec 16, 11:11 AM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    Well, you're all very helpful - and I think I definitely need to hear some critical/supportive voices to keep me going.

    This morning I have paid off what I owed on my 0% Sainsburys card, so tomorrow when that's showing as a zero balance I'm going to balance transfer as much as possible from my Barclaycard. No point racking up unnecessary interest charges.

    I am also splitting my income into budgets: Bills (including minimum payments), debt overpayments, savings and then 'other' for a little bit of the niceties. So, if I really, really want a coffee from the canteen at work, that comes out of the niceties budget. Then if I want to do something later in the month and can't afford it... well, I'll know who to blame.

    Will also build in a spending diary - that's a fab suggestion
    Credit Card Debt: £720
    Loan Debt: £6,100
    Savings: £30



    [B]PAYDBX 2017 - #19 : 80% paid 6624/8280[/
    • ramblehan
    • By ramblehan 19th Dec 16, 1:47 PM
    • 400 Posts
    • 924 Thanks
    ramblehan
    welcome and good luck with your new diary.
    I had your level of debt when I was in my early 30's and didn't tackle - now it's double so I just want to give you mega encouragement to get it sorted now - and then reap the rewards later on!

    Subscribed x
    • JWPopps
    • By JWPopps 19th Dec 16, 2:18 PM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    welcome and good luck with your new diary.
    I had your level of debt when I was in my early 30's and didn't tackle - now it's double so I just want to give you mega encouragement to get it sorted now - and then reap the rewards later on!

    Subscribed x
    Originally posted by ramblehan

    Oh thank you ramblehan! I am quite keen to get it down - the bank keep telling me I could borrow more but that's absolutely the opposite of what I want. But the temptation's always there and on a 'bad' day sometimes I think to myself... well... if they're offering it... but I've seen too many people I know/care about get shafted by debt to let myself fall for it. I hope.
    Credit Card Debt: £720
    Loan Debt: £6,100
    Savings: £30



    [B]PAYDBX 2017 - #19 : 80% paid 6624/8280[/
    • JWPopps
    • By JWPopps 20th Dec 16, 10:04 AM
    • 265 Posts
    • 1,416 Thanks
    JWPopps
    Income
    Salary: £1560 a month
    Rent from Mum: £350 a month (but only until May, since she's meant to be moving out then)
    2nd job: Maybe £70 every 2 months.

    My 2nd job isn't really a job as such, basically I offer my spare room out for a homeless charity, and I get paid expenses for it. In the year and a bit I've been doing it I've never had a house guest 'cost' me more than about £3.50 a night, so quite a bit of the payment I get is put towards bills and stuff. But it's irregular, which I'm actually happy about because if they were calling on me every night I'd be very sad about the state of homelessness in my town (I kind of am, but it's not too bad if you know what I mean).

    Having done a proper look at what I'm spending etc, my monthly expenditure should only cost me £1540 a month, including groceries, debt payments and travel to see my boyfriend. Unfortunately, as noted, my spends have been higher than that recently. Some of that is decorating stuff from Homebase which really I can't/won't regret, because I would like to live in a house I'm really happy in and that meant I had to paint over the pink. Also, I've just been treating myself a bit too much, with coffees and stuff. So I know I need to cut down on that.

    My current plan is that I will split my income:

    £1200 to stay in my current account, which will cover ALL bills and minimum payments.

    £360 to go into my 'monthly budget' - by which I mean, travel to see my boyfriend, doing nice things with friends on occasion, and stuff for the house.

    £350 from Mum will currently go immediately into savings and debt overpayments - but not mortgage overpayments.

    Any money I get from hosting will go straight into overpaying on the mortgage.

    Hopefully that's a nice manageable way to live within my means (and not get into more debt), while making sensible use of all my income. Obviously I'll need to reconsider after May, if my mum does get a place of her own by then. I'm considering offering to take in a longer-term lodger from the homeless charity if that happens but we'll see.

    Still, feeling hopeful!
    Credit Card Debt: £720
    Loan Debt: £6,100
    Savings: £30



    [B]PAYDBX 2017 - #19 : 80% paid 6624/8280[/
    • ramblehan
    • By ramblehan 20th Dec 16, 11:30 AM
    • 400 Posts
    • 924 Thanks
    ramblehan
    Wow - putting up a homeless person, what an interesting and worthwhile thing to do - I'd love to do it, but my DH is way too cautious. I used to volunteer with a free breakfast club for homeless & low income and really enjoyed it.

    Sounds like you have firm plans. There's a web money management tool called YNAB - might be worth a look - you do have to pay a subscription for it, but I have found it really useful for helping me to be able to save in different pots. Instead of looking in your bank account, you use YNAB so you spend against the budgets you have set rather than what's in your account.

    TTFN Ramble x
    • baaluo
    • By baaluo 20th Dec 16, 12:54 PM
    • 13 Posts
    • 3 Thanks
    baaluo
    Good luck! Hope you figure it all out.
    I personally don't have high hopes for 2017 considering brexit, trump and the current situation of the world.
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