Self-doubt - what will happen after DFD?

redstararnie76

I haven't paid all my debts off yet, but I'm well on my way...
Now for Gawd's sake, don't let my dad know (as he's been advising me of this for 25 years and I've only recently got the habit!), but I've found the process of properly budgeting really liberating! Now I can save money, pay off my debts and buy the occasional treat without feeling a sense of guilt, because I've planned for it all. I don't see this changing when I'm debt-free - all that really means is that there should be a larger budget to play with!
After making sooooo many financial mistakes, I'm having to pay the price, but actually now that I've faced up to it, ironically I feel much better than when I was stupidly spending without thinking...

Daffykjs

Dinah93 wrote: »

I got into debt because I saw my wage as this huge sum of money that could buy all kinds of treats. I became debt free last month and the first thing I did was draw up a budget so that my new found 'wealth' didn't trick me again! Now we put £250 a month into a trips and holidays account, and have a staggering 13 different savings accounts, 8 of which are for piggybank banking to help us budget.

All the money you throw at the debts now, you need to work out how you're going to spend/save this once you get debt free and read all of Martin's articles on budgetting, it takes a bit of getting used to but I think the stabalisers can come off my DF-bike soon.

D x

This is the main thing that got me into trouble too!!!! It seemed like a lot of money and so I thought i didn't have to think about it!! 'I'm not extravagent after all'!!

Good to see it's not just me that's done this! and also good advice for the future! I'll definitely be taking this on when i'm finally debt free!

Jo1972_2

Hi, new to this but wanted to post!

I finished paying off my £40,000 of debt in December and life has been pretty good since then!

I wasn't sure what to do once I had money to spare so I have just been saving! One day I want to get on the property ladder so it is now save save save!

It is indescribable how great it is not having the worry of debt hanging over you - I will NEVER be that stupid again!! No more sleepless nights worrying where the next penny will come from!

Good luck to those still paying their debts off - you will get there and it will feel SOOOOOOOOOOOOO good!!

Jo

xx:T

poorandindenial

Hi Debtoxing

I can very much relate to your post, I have been debt-busting for 18 months and will hopefully be debt-free in April next year (fingers crossed)

I constantly think about the things that I can have/do when I am debt-free and then get over excited about it. But in the back of my mind is a master plan that involves me saving up enough money to buy a house outright (not for the fact of owning a house - I am not really bothered about that, but to take some of the pressure off me when I am (much) older)

I have just come through a period of being less debt-busty than I was for a year and actually I feel better for the fact that I am not frustrated and a bit ashamed of my wardrobe/shoes anymore, I now feel ready to face the heading-to-debt-free-world again.

Anyhow I just wanted to post and say that I feel your pain

bouncing_ball

Well I have nearly reached my debt free day, and on negotiation for my last few debts to go bye bye

But I am now extremely fearful as I will no longer be in debt and under constant pressure, I have set up a new budget plan which is being even more important since I am moving over seas for a new job but am petrified of getting back into debt and overspending

I want to learn to start enjoying life a bit again and am already panicking as I am going away this weekend and am questioning if I can afford to go even though tickets are not even costing £ 50 for a return

Does anyone else know how not to deal with this panic feeling and what I can do to ease my worries

Worried anxious but very relieved DFD arrival

ixwood

It's easy..budget!

One spreadsheet is all it takes. Work out how much per year you want to spend on things, divide by 12 and then put that much away each month. If you're realistic, then pretty much all expenses will be covered and you'll know exactly where you are at all times.

It also means you don't overspend without realising. Thinking that whatever they've got each month is spendable, is what gets a lot of people into debt. They spend whatever they've got and forget about the big expenses until they come.

Annually, cars need a MOT, service, TAX, Insurance. Add repairs and new tyres every now and then and it all adds up to a lot of money. So probably around £100 a month is car money and not really spendable.

Houses need maintenance, things need repairing and boilers and appliances need replacing periodically. Put £50-100 away per month to cover things when they happen.

Holidays. Budgets vary to your taste obviously, but a little as £50 per month gives you a nice £600 annual holiday budget.

Some bills are annual, or quarterly, so put the money by for when they've due.

Etc etc you get the idea. You'll even get a bit of interest on your money that you've set aside.

I have an offset mortgage with multiple linked accounts that makes automating budgeting easy. Money just goes out to the various accounts on the 1st of the month. What's left can be spent without worry. Anything left at the end of the month can go wherever (on mortgage overpayments in my case!).

It obviously depends on what you spend money on, but for an idea, my accounts/budget areas are: Bills, holidays, Xmas/Birthdays, Car (running), House maintenance/appliances, emergency fund and new car. It probably sounds a bit sad, but it's nice to know that's everything's covered.

You may find that seeing your little stashes steadily grow is addictive and resent paying interest to anyone when you can get it instead.

gb57

Budgeting and living within your means are a pleasure, not a task! The only debt I have ever had was a mortgage. When I was totally skint I lived in totally skint mode, as I earned more I spent more, but never more than I had left over after paying all the essential bills and putting some away "for a rainy day". It is a mindset - for me it was drummed into me in childhood. I was one of 6 children and my mum had to live on a very tight budget. Yes, I did feel fed up about wearing hand me downs and "sensible" shoes that would last all winter, etc, etc, but its character building! Also as an adult I don't look back and think I had a miserable childhood.

As for giving your children experiences they will remember all their lives - I know times have changed, but our holidays were on a farm in Dorset, staying in the holiday home of the rich titled lady for whom my mum did the cleaning. She kindly let us use the place for free. We were city kids, so we loved the freedom of staying in the country, climbing trees, "helping" the farmer, watching animals, building a dam in the stream, just playing! And being taken to the "seaside" on nice days was wonderful. Those memories have always stayed with me along with - blackberrying in the autumn (then eating bottled blackberries all winter), playing cricket and having "fuzzy burr" fights with dad in Epping Forest (we were poor but he had a company car, so could take us out at weekends), etc etc We still laugh about the car getting stuck in the mud and having to be pulled out by the AA - dad had taken us out to give mum a rest at home with the baby (and then she got 5 muddy kids to bath!)

A happy memorable childhood is not built on toys, presents, WIIs, Xboxes, expensive holidays, or other expensive things. Lots of love and fun and doing things as a family will be what your children remember. Go build them some sandcastles..

Debtoxing

Gosh - thanks to all the people who've been posting their stories here since I last visited! It's really interesting to hear how people have coped with maintaining their debt-free status.

I know continuing to budget is the way forward - but I fear I may get carried away and start budgeting for too much! Believe it or not, gb57, I was also brought up to scrimp and save and wear hand-me-downs. I even got through university without any debt and without any overdrafts. Then I married DH and all of a sudden we had two incomes and I could have pretty much anything I wanted for the first time in my life - I guess we just got carried away. Madness I know, but still...can't change that now.

L.

P.S. We've built several fantastic sandcastles. In fact, we've got bored with sandcastles, and have branched out into sandfarms and sandzoos as well. And we're already planning to build a sand Jurassic Park in August!!! Isn't the seaside just the most FABULOUS place in the world?! :j