Ok here goes - my SOA (this will be LONG)

Bumbelina

My net income is about £2000 per month but I'm self employed so it can vary. I also get child benefit of £116 and tax credits of £47, so the total is £2163. My husband's business has just gone down the pan and he is currently earning 0. He has just started a new job but it will be August before he gets any money that he can actually spend, as all his income until then will be taken up with running costs (he has to hire a van)

Outgoings:

Mortage 472.00
Secured loan (interest rate 6.9% over same term as mortgage) 169.00
Life cover on mortgage 34.00
Council tax 81.00
Gas and electric 91.00 (Yes I know, but we're in arrears)
Water 22.50
Phone and broadband 57.00 (need it for work)
mobile 10.00
house insurance 31.00
car loan 196.00
Childminding 40.00
school dinners 31.00
car insurance 36.00
petrol 100.00
husband's bike loan 112.00
bike insurance 18.00
Pensions 130.00
national insurance 24.00
Egg (husband's debt) 20.00
Capital one card (interest rate 18.9%, balance just under 2,000) min payment 50.00
MBNA card (interest rate 6.9%, balance £3,200, min payment about 38.00)
Children's karate, gym, swimming, Brownies etc 61.00
window cleaner 5.00
savings (to cover car repairs, road tax, MOT etc) 50.00
TV licence 10.00
Food - don't know yet because haven't set budget - will try to stick to 300.00. Normally spend about 450 a month but know that's too much.

Total = 2,190.50
Shortfall 27.50

I need a plan we can stick to over the next 3 months until husband is able to start contributing again. Obviously, if mine was going to be the only income long term we would have to get rid of the bike and some other stuff but we just need to manage until mid August and then we need to make a new plan to pay off all our debts - husband has business debts of about £22,000 in addition to the above - and we're both heartily sick of being in constant debt and desperate to get out of it.

Bit of good news - the Halifax have offered me a 0% credit card for 12 months so I can transfer the capital one onto it.

Please give me advice!!!

Annie_Fanny

Bumbelina wrote:

My net income is about £2000 per month but I'm self employed so it can vary. I also get child benefit of £116 and tax credits of £47, so the total is £2163. My husband's business has just gone down the pan and he is currently earning 0. He has just started a new job but it will be August before he gets any money that he can actually spend, as all his income until then will be taken up with running costs (he has to hire a van)

Outgoings:

Mortage 472.00
Secured loan (interest rate 6.9% over same term as mortgage) 169.00
Life cover on mortgage 34.00
Council tax 81.00
Gas and electric 91.00 (Yes I know, but we're in arrears)
Water 22.50
Phone and broadband 57.00 (need it for work) (yes you need it for work but it shouldn't cost this much! Who are you with? Ntl are doing internet, tv and phone for £15 for 3 months.
mobile 10.00
house insurance 31.00
car loan 196.00
Childminding 40.00
school dinners 31.00 (Ditch this. They can have packed lunches. Much healthier.)car insurance 36.00
petrol 100.00
husband's bike loan 112.00 Does he need the bike if he has a van? If not look into getting rid.
bike insurance 18.00
Pensions 130.00
national insurance 24.00
Egg (husband's debt) 20.00
Capital one card (interest rate 18.9%, balance just under 2,000) min payment 50.00
MBNA card (interest rate 6.9%, balance £3,200, min payment about 38.00)
Children's karate, gym, swimming, Brownies etc 61.00 (Ditch this or speak to the instructors and say you are having financial difficulties. They may let them go for free if not then the kids can do jigsaws at home.)window cleaner 5.00 (Ditch this. You can't afford it just now.)
savings (to cover car repairs, road tax, MOT etc) 50.00
TV licence 10.00
Food - don't know yet because haven't set budget - will try to stick to 300.00. Normally spend about 450 a month but know that's too much.

Total = 2,190.50
Shortfall 27.50

I need a plan we can stick to over the next 3 months until husband is able to start contributing again. Obviously, if mine was going to be the only income long term we would have to get rid of the bike and some other stuff but we just need to manage until mid August and then we need to make a new plan to pay off all our debts - husband has business debts of about £22,000 in addition to the above - and we're both heartily sick of being in constant debt and desperate to get out of it.

Bit of good news - the Halifax have offered me a 0% credit card for 12 months so I can transfer the capital one onto it.

Please give me advice!!!

Do you have any savings tucked away?
Any chance of a 0% loan from a family member?

**purpleprincess**

How many of you are there in the house? You could cut right down on the food bill. Take a look on the Old Style board for tips.

aimme13

was just thinking the same.....the thing that jumps out at me is the food bill mine is £80 for three people (kids do get free scholl meals) so i know this would bump it up a bit. Im guessing by your child benefit that you have 2 kids (sorry if i got this wrong) so i think you can easily cut your food bill, as purple princess said look on th o/s board they have been a great help for me

LookingAhead

Hi there!

Just to say two things really.

You can get broadband so much cheaper (I pay £14.49 per month for a soon-to-be-upgraded-for-free 2mb link with plusnet) and can you work on your phone package too? PlusNet will launch their own line rental and free 01 & 02 calls for £15 I think it is in July or line rental and 240 mins free per month to 01 & 02 numbers for £11.

Also, to echo what everyone else has said, your food bill is massive and you can shave tonnes off this and be healthier too!

Definitely check out the Old Style board and their "mega index" for heaps of recipes and other tips for the home to save money. It's a fantastic thread.

tesuhoha

Could you possibly find a way to stop paying the pensions for a couple of months and then maybe start up again once your OH is working.

OberonSH

I'd agree with all the above. Not much else I could add to the above savings.

Can you freeze the pensions for a few months, or make reduced payments?

Get the kids to help you turn the house over and get the stuff on Ebay or Amazon. You will be surprised how much you accumulate with kids in the house, and not only will you get money back, but the house will be less cluttered and easier to tidy!

Meal plans. And shopping lists. Do not go shopping without them. I plan a week ahead for my little family (just me and DD) usually based around what I have in the house already and then get only what I need for that week. I've saved loads of money that way, and stopped having a house full of sweets and crisps and 'it was on offer' stuff. Get the kids involved (if they're old enough) and it can be a lot of fun too.

LookingAhead

Ahhh yes, good one OberonSH - meal plans! Excellent! I've saved money since meal planning home made healthy food and using up what's in cupboards. Deffo recommended.

jessicamb

Hi Bumbelina

Sorry about the news - I hope everything works out ok for you all.

I'm quite new to this too so I cant really offer you any advice - except to say good luck.

Bumbelina

There are four of us in the house - me, husband and two children aged 8 and 5. We did have a clear out before christmas and made £600 selling things on Ebay, so nothing left now really. We're pretty good at decluttering. I'll definitely look into the phone/internet costs - we're with Ntl and it comes to about £57 a month for broadband, TV and phone - I didn't think that was too bad, but I suppose it depends on how many phone calls.

I have one child on packed lunches and one on school dinners (the 5 year old) she would be devastated if she had to go back on sandwiches (she never used to eat them) but I suppose it's an option

My sister has offered to pay for the children's activities until we get straight, bless her

Good idea about freezing the pensions - will look into this

Will cancel window cleaner - every little helps

Food - this is the big one - how much do people spend on the shopping? I thought if I could keep it to about £75 (including toiletries, cleaning products etc) a week I'd be doing well. Is it possible to do it for less and still eat healthily? I always cook from scratch and never buy ready meals, apart from the odd frozen pizza and fish fingers. Also, I don't eat dairy produce for health reasons so buy soya products instead. I'd love to know how to do it for less - will look at old style board.

As I said, the immediate situation is temporary and in August we should have a good bit more disposable income so will need to make a new plan then. We are both committed to paying off all the debts asap so will spend these next 3 months getting into good habits and then when the extra money comes in it can all go on debt repayments.

Do you think we should make provision for things like house repairs and clothing? I haven't included those in my SOA.

Cheers
Bumbelina

lynzpower

Hi bumbelina

Im one of these doing100 a month for 2 with toiletries & cleaning. IM quie surprised that you are spending this much if yu are cooking everything from scratch already

Do you have plenty in the cupbaords? Do you ever throw food out?