help required - fed up hamster in wheel

young-and-free

all,

first time poster here. Cant believe I am typing this as i have did well so far in life, got a good job and stuff, but wanted the dream, the bmw, nice flat in town, good clothes, nights out. I am completely washing my face at the moment and living on cards. I have a decent salary of £48k and am in my late 20's and not spending as much as some of my friends - but i am more and more worried about paying for stuff on the never never. I have got the feeling that I can just about catch it before it gets out of hand, but have been reading this website for a couple of weeks now. A woman in work was on it telling how she gets free deals on pizzas and stuff - before i didnt care about gettin an offer on something - after all i was living a millionaire lifestyle. What an idiot.

I have did a SOA as seems to be required first step on here and wondered what advice people could give me. Looking at it laid out like that I can probably guess where the flack is going to come on.

Ireally hope I can catch this before it goes too bad - i should be looking to save to settle down in a few years and provide for a family - does something happen to you in late 20's that makes you change to this way of thinking?

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 2728
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2728
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 320
Rent.................................... 750
Management charge (leasehold property).. 80
Council tax............................. 128
Electricity............................. 90
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 11.99
Mobile phone............................ 45
TV Licence.............................. 12.5
Satellite/Cable TV...................... 58
Internet Services....................... 25
Groceries etc. ......................... 220
Clothing................................ 100
Petrol/diesel........................... 240
Road tax................................ 40
Car Insurance........................... 68
Car maintenance (including MOT)......... 50
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 14.99
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 21.4
Life assurance ......................... 22.9
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 20
Entertainment........................... 300
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2617.78

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 20000
Other assets............................ 0
Total Assets............................ 20000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 16000....(320)......0
Total secured & HP debts...... 16000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Virgin.........................4000......40........0
Natwest........................3000......70........0
Halifax o/d....................1600......0.........0
Total unsecured debts..........8600......110.......-

Monthly Budget Summary
Total monthly income.................... 2,728
Expenses (including HP & secured debts). 2,617.78
Available for debt repayments........... 110.22
Monthly UNsecured debt repayments....... 110
Amount left after debt repayments....... 0.22
Personal Balance Sheet Summary
Total assets (things you own)........... 20,000
Total HP & Secured debt................. -16,000
Total Unsecured debt.................... -8,600
Net Assets.............................. -4,600
Created using the SOA calculator at.
Reproduced on Moneysavingexpert with permission, using IE browser.

loveGSDs

hello and welcome to mse,

iv only recently joined too however began to look at my spending and saving about a year ago when i decided i wanted to move house.

im in my mid 20's so maybe something does happen around this age! LOL

Anyway, from looking at your SOA, there's loads you can do

e.g your groceries is very high for 1 person, entertainment and fuel for your car is also high. plus i know it wont be popular with you, put £320 a month on car payments is a lot - any thoughts of downsizing?

good luck

:j

debtfreegonnabe_2

Hiya Y and F, today is my first day here so I cant give you much advice, but if you read my posts I am in a similar situation to yourself, but on a smaller scale but just as bad for me as my earning not as high as yours.

Probably like me, its not the case that you have not got enough money to pay your debts but more a case of wasting money that could go to pay off your debts quicker ?

I'll keep an eye on your thread, like to see how you get along

DFGB

young-and-free

Thanks for reply - my car is a second hand BMW M3 convertible which is my pride and joy but i am struggling to run it to be honest. It is out of warranty and the tyres cost 250 a pop and dont even ask about how much i spend on super unleaded petrol. The first time anything gos wrong with it i am stuffed. I need a car for work and the miles is racking up. I dont want to get a deisel though:eek:.

Watalie

young-and-free wrote: »

Thanks for reply - my car is a second hand BMW M3 convertible which is my pride and joy but i am struggling to run it to be honest. It is out of warranty and the tyres cost 250 a pop and dont even ask about how much i spend on super unleaded petrol. The first time anything gos wrong with it i am stuffed. I need a car for work and the miles is racking up. I dont want to get a deisel though:eek:.

It might be your pride and joy but if it's going to take you under, it's sooooooo not worth it.

Last year my partner had to get rid of his Pride & Joy so I kinda know what you are going through but as I said to him - "The car doesn't make the man"

There are loads of other (cheaper) options out there - doesn't cost anything to look!

MFWannabe

young-and-free wrote: »

all,

first time poster here. Cant believe I am typing this as i have did well so far in life, got a good job and stuff, but wanted the dream, the bmw, nice flat in town, good clothes, nights out. I am completely washing my face at the moment and living on cards. I have a decent salary of £48k and am in my late 20's and not spending as much as some of my friends - but i am more and more worried about paying for stuff on the never never. I have got the feeling that I can just about catch it before it gets out of hand, but have been reading this website for a couple of weeks now. A woman in work was on it telling how she gets free deals on pizzas and stuff - before i didnt care about gettin an offer on something - after all i was living a millionaire lifestyle. What an idiot.

I have did a SOA as seems to be required first step on here and wondered what advice people could give me. Looking at it laid out like that I can probably guess where the flack is going to come on.

Ireally hope I can catch this before it goes too bad - i should be looking to save to settle down in a few years and provide for a family - does something happen to you in late 20's that makes you change to this way of thinking?

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 2728
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2728
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 320
Rent.................................... 750
Management charge (leasehold property).. 80
Council tax............................. 128 - Does this include single person discount?
Electricity............................. 90
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 11.99
Mobile phone............................ 45 - This is high; see if you can lower it
TV Licence.............................. 12.5
Satellite/Cable TV...................... 58 - This is high; either lower it to absolute minimum or get rid and use freeview
Internet Services....................... 25 - This is high; can you not combine it with satellite if you keep it or shop around for chepaer deals
Groceries etc. ......................... 220 - High for one person; you could cut this down
Clothing................................ 100 - Use what you have for now or at the very least cut this in half
Petrol/diesel........................... 240
Road tax................................ 40 - Really? What car is it?
Car Insurance........................... 68 - this is very high; use comparison sites to see if you can get it cheaper
Car maintenance (including MOT)......... 50
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 14.99
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 21.4 - This is high; use comparison sites to see if you can get it cheaper
Life assurance ......................... 22.9
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 20
Entertainment........................... 300 - You really need to cut this down to approx £100 while you pay off your debts. Invite friends round instead of going out
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 2617.78

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 20000
Other assets............................ 0
Total Assets............................ 20000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 16000....(320)......0
Total secured & HP debts...... 16000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Virgin.........................4000......40........0
Natwest........................3000......70........0
Halifax o/d....................1600......0.........0
Total unsecured debts..........8600......110.......-

Monthly Budget Summary
Total monthly income.................... 2,728
Expenses (including HP & secured debts). 2,617.78
Available for debt repayments........... 110.22
Monthly UNsecured debt repayments....... 110
Amount left after debt repayments....... 0.22
Personal Balance Sheet Summary
Total assets (things you own)........... 20,000
Total HP & Secured debt................. -16,000
Total Unsecured debt.................... -8,600
Net Assets.............................. -4,600
Created using the SOA calculator at.
Reproduced on Moneysavingexpert with permission, using IE browser.

Hi
Welcome to MSE. I have put some comments above. You also need to enter the APR's for your loan and credit cards.
Reference the car; is it on finance or are you able to sell? I would seriously consider selling it and getting something a lot cheaper

Hope this helps. People on here will help you sort this out.

MFWannabe

young-and-free wrote: »

Thanks for reply - my car is a second hand BMW M3 convertible which is my pride and joy but i am struggling to run it to be honest. It is out of warranty and the tyres cost 250 a pop and dont even ask about how much i spend on super unleaded petrol. The first time anything gos wrong with it i am stuffed. I need a car for work and the miles is racking up. I dont want to get a deisel though:eek:.

Sorry; was replying when you typed this. You seriously need to think about selling if you can't afford to run it.
I recently sold my pride and joy and now have a 'practical car' which was very kinldy given to me but it really hepled out in a big way.

Nothing feels as good as being debt free:)

young-and-free

thanks dfgb, i like the bit at the bottom of your message - do i need it or want it - my life story i am afraid. you are right i dont feel desperate but annoyed that how did i end up like this. sorry to say that friends are all spenders and just feel pressure to keep up. bought a private reg from the dvla for £250 to hide the fact the car is second hand which now feels a bit sad.

girlracer

young-and-free wrote: »

Thanks for reply - my car is a second hand BMW M3 convertible which is my pride and joy but i am struggling to run it to be honest. It is out of warranty and the tyres cost 250 a pop and dont even ask about how much i spend on super unleaded petrol. The first time anything gos wrong with it i am stuffed. I need a car for work and the miles is racking up. I dont want to get a deisel though:eek:.

Hi Y and F, Welcome to MSE
have you considered selling your car, i see on your SOA you value your car at £20000, would you not consider selling it and getting something a bit cheaper ? Alot of decent new car for half the price of your bmw, just a thought

All the best

Watalie

young-and-free wrote: »

thanks dfgb, i like the bit at the bottom of your message - do i need it or want it - my life story i am afraid. you are right i dont feel desperate but annoyed that how did i end up like this. sorry to say that friends are all spenders and just feel pressure to keep up. bought a private reg from the dvla for £250 to hide the fact the car is second hand which now feels a bit sad.

Oh luvvie - they aren't friends if they don't understand that not every wants to live on the never never... real friends wouldn't give a sh*t if you pulled up to them in a banger or a BMW... Don't be too hard on yourself, you're taking the right step forward.

young-and-free

thanks for replies so far - wow didnt realise so many replies so quick. Its quite amazing - in the last 10 minutes i have got another browser window open at the autotrader website and there is a good second hand BMW 318 coupe for only 9k. The car is on HP so I could sell it but nervous about downgrading. I shoudl get 16k for it to clear the balance but would a dealer take this and let me take out finance for a smaller car? I have no cash so would need to finance a cheaper car anyway, and need a reliable car to go out to see customers.