40 years old and never budgeted

wdb2009

I have always been in debt for as long as I can remember. I have never defaulted on anything, but my debt has grown and grown.

In the past I used CCs for holidays, entertainment, living expenses and "stuff" but I havent used them for over 3 moths now and Im trying to tackle my debts. Im selling my house and moving into rented accomodation. The house has already sold... I get the proceeds in a few weeks....The rent will be cheaper than my mortgage and also the equity from the house will pay off ALL my debts. I should be elated but can't help feling like I am vulnerable by not having "assets"...how stupid is that! no point having assets if you are in a plie of debt I figured.

I would love to continue to be a "homeowner" but I would much rather be debt free. I dont know if I will ever get a mortgage again, especially at "my age" !!!!

So for the first time in over 15 years I will not owe a bean to anyone.

But I have never, ever budgeted for anything. I'm ashamed to say that in the past when I was younger I never even used to check my bank account on a regular basis! Whatever I wanted I just bought, and I used cards to do so.

But at the age of 40 I'm scared that I cant budget. I dont even have basic skills or any self restraint when it comes to spending!! Where the heck do I start...is there a basic guide or tips that anyone can give me. Isnt that pathetic??

tiff

I'm in a similar situation, I'm 40 too and never used to budget, used to pay for hols and things on cc and only pay the minimum payment. Woke up properly a year ago, got another job and have been paying off the debt. I did a budget using the old spreadsheet on MSE, they now have a better version www.budgetbrain.com

List all your incomings and outgoings and see how much you have left. I also have several accounts (pots) on my online banking so that I can save for Christmas, car expenses, holidays etc. I have arranged standing orders to start end of Jan to put money into these three accounts and after the last year of budgeting and paying off debt we know how much we can afford to save.

Now that we know what we can afford, we're not afraid to spend which is a relief after all those years of worrying about debt and money.

I would do the budget now, so that when your debts are paid off in a few weeks you will know exactly what your situation is.