3rd Time Lucky LBM :(

daviesalie_2

I did it again...only I didn't just fall off the wagon, I crashed and burned!!

Day-to-day living has been ok (sort of) but not having put any plans in place for Christmas has resulted in the Credit Card being maxed again

To my defense I hadn't used my credit card since February, whereas before I was using it like a debit card, which is what got me in this mess in the first place.

So, I've picked myself up, dusted myself off and done a new SOA. If I cut back too much I've found that I don't stick to it, so I've upped my budget for some things and more importantly budgetted for Christmas next year!


Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2231.03
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2231.03
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 339.52
Management charge (leasehold property).. 0
Council tax............................. 77
Electricity............................. 68
Gas..................................... 0
Oil..................................... 0
Water rates............................. 46.63
Telephone (land line)................... 36
Mobile phone............................ 54.09 (this is for mine & DD's)
TV Licence.............................. 12.37
Satellite/Cable TV...................... 20.5
Internet Services....................... 0
Groceries etc. ......................... 216.67 (works out at £50 per week)
Clothing................................ 32.5
Petrol/diesel........................... 65
Road tax................................ 10.83
Car Insurance........................... 44
Car maintenance (including MOT)......... 10.83
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 250
Other child related expenses............ 22 (Scouts & Gymnastics)
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 7.68
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 115 (this incs xmas, birthdays, easter, fathers day, mothers day..the whole shabbang!)
Haircuts................................ 16 (inc the dog!)
Entertainment........................... 20 (monthly treat-takeway)
Holiday................................. 25
Emergency fund.......................... 21.67
Spends.................................. 43
Trust Fund.............................. 10
Total monthly expenses.................. 1564.29

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 4750 (£2000 is for a caravan I bought, mum lent me the money, this is being sold as soon as the season starts-inexcusable mad moment!) (Also selling my car and have already bought a cheap £250 runaround from a family member who's holding onto it until I sell my car)
Other assets............................ 0
Total Assets............................ 4750

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
MBNA...........................4000......100.......34.9
Next...........................575.......55........26.49
Lloyds Loan....................2347......75.26.....19
Overdraft......................3400......45........19.4 (just paying the interest)
Loan for caravan..............1800......86.67.....0
M&S CC.........................1600......33.34.....10
Tesco CC.......................100.......6.........15
Egg CC.........................0.........60........26.9
Lloyds CC......................1200......24........15.9
Total unsecured debts..........15022.....485.27....-

Monthly Budget Summary
Total monthly income.................... 2,231.03
Expenses (including HP & secured debts). 1,564.29
Available for debt repayments........... 666.74
Monthly UNsecured debt repayments....... 485.27
Amount left after debt repayments....... 181.47
Personal Balance Sheet Summary
Total assets (things you own)........... 4,750
Total HP & Secured debt................. -0
Total Unsecured debt.................... -15,022
Net Assets.............................. -10,272
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

I'm snowballing my cards, so every available penny I have left is going off the MBNA CC until I can sell my car then I hope to pay that one off - I've had sleepless nights about it! I'll have great pleasure telling MBNA where to stick their 34.9% interest rate!! :mad:

I'd welcome any thoughts on my SOA, anything you think I've missed, overpaying, or just a kick up the butt, I know I deserve it!

Thanks for reading...

Nottoobadyet

daviesalie wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2231.03
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2231.03
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 339.52
Management charge (leasehold property).. 0
Council tax............................. 77 do you get the single occupant discount?
Electricity............................. 68
Gas..................................... 0
Oil..................................... 0
Water rates............................. 46.63
Telephone (land line)................... 36
Mobile phone............................ 54.09 (this is for mine & DD's) this is really high, even for two phones! Can you reduce your package or go Payg?
TV Licence.............................. 12.37
Satellite/Cable TV...................... 20.5
Internet Services....................... 0
Groceries etc. ......................... 216.67 (works out at £50 per week) really good for 4 people! Well done
Clothing................................ 32.5
Petrol/diesel........................... 65
Road tax................................ 10.83
Car Insurance........................... 44
Car maintenance (including MOT)......... 10.83
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 250
Other child related expenses............ 22 (Scouts & Gymnastics)
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 7.68
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 115 (this incs xmas, birthdays, easter, fathers day, mothers day..the whole shabbang!) Per month? or is this the annual figure?
Haircuts................................ 16 (inc the dog!)
Entertainment........................... 20 (monthly treat-takeway)
Holiday................................. 25
Emergency fund.......................... 21.67 have you really been saving this? if so, where is the cash?
Spends.................................. 43 er, whats this? can you figure out where its going?
Trust Fund.............................. 10
Total monthly expenses.................. 1564.29

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 4750 (£2000 is for a caravan I bought, mum lent me the money, this is being sold as soon as the season starts-inexcusable mad moment!) (Also selling my car and have already bought a cheap £250 runaround from a family member who's holding onto it until I sell my car)
Other assets............................ 0
Total Assets............................ 4750

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
MBNA...........................4000......100.......34.9
Next...........................575.......55........26.49
Lloyds Loan....................2347......75.26.....19
Overdraft......................3400......45........19.4 (just paying the interest)
Loan for caravan..............1800......86.67.....0
M&S CC.........................1600......33.34.....10
Tesco CC.......................100.......6.........15
Egg CC.........................0.........60........26.9
Lloyds CC......................1200......24........15.9
Total unsecured debts..........15022.....485.27....-

Monthly Budget Summary
Total monthly income.................... 2,231.03
Expenses (including HP & secured debts). 1,564.29
Available for debt repayments........... 666.74
Monthly UNsecured debt repayments....... 485.27
Amount left after debt repayments....... 181.47
Personal Balance Sheet Summary
Total assets (things you own)........... 4,750
Total HP & Secured debt................. -0
Total Unsecured debt.................... -15,022
Net Assets.............................. -10,272
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Just some suggestions, TBH it seems like you are doing quite well. Do you really ever have that £181 available for overpayments at the end of the month?

Pollycat

A few things occur to me - if you have 3 kids shouldn't you have something in benefits income?
How old are your kids?

Water rates seem high to me. Are you on a meter?

Where do the 2 cars come in?
If you DO have 2 cars are you sure the car-related costs in your SOA are enough?

Landline sounds high at over £100 per quarter, as does £1380 per annum on gifts.
Can you talk to the family and agree to cut back or cut out altogether, at least until you are debt-free?

No kick up the butt from me, it sounds like you're addressing most things.

daviesalie_2

Hi Nottoobadyet and thanks for your response.

Yes, the c.tax is single occupancy, although its over 10 months, which I prefer, as I find it more satisfying to pay off a lump to my cc's in feb & march. Likewise, my water is over 10 months, it is expensive, but its average for my area. I've looked into a meter as my water board have a comparison tool, and mine would work out more expensive on a meter

I'll look into the mobiles, mine is only £23, the rest is DDs, she's on her final warning for going over her contract! Hopefully I can change the tariff - thankyou, it didn't occur to me how high it actually was.


The £115 for gifts is per month! Eeek! I know its a lot, but believe it or not I have cut back on presents. I buy for my mum & dad, no longer buy for my brother & sister, just their kids and of course mine. It also includes the xmas food shop. I don't feel I can cut back any further on this, as I don't feel other people should go without because of my stupidity, if it takes me a year longer to clear my debts I'm willing to take it on the chin.

The £50 a week food shop has fallen by the wayside recently, but I know when I put my mind to it I can do it - Farmfoods and Lidl are my saviours!!

I had been saving for my emergency fund, but used it to buy the new car, but I will continue with it because I think my fridge freezer is about to pop its clogs!

My £10 a weeks spends are my safety net/comforter - I sometimes spend it all and other weeks I don't touch it. I'm going to do a sealed pot in 2011, so whatevers left over will be going in there, honest

daviesalie_2

Pollycat wrote: »

A few things occur to me - if you have 3 kids shouldn't you have something in benefits income?
How old are your kids?

Water rates seem high to me. Are you on a meter?

Where do the 2 cars come in?
If you DO have 2 cars are you sure the car-related costs in your SOA are enough?

Landline sounds high at over £100 per quarter, as does £1380 per annum on gifts.
Can you talk to the family and agree to cut back or cut out altogether, at least until you are debt-free?

No kick up the butt from me, it sounds like you're addressing most things.

I should add at this stage that my SOA is new and not tried and tested yet. I'm hoping everything will go smoothly :cool:

My kids are 20 months, 12 & 16. I've lumped my child tax credit, wages and maintenance all in one, as some is weekly and the other monthly (nightmare to work out a budget to!).

The 2nd car is actually a caravan I bought last year, which my mum lent me the money for! My moment of madness that I bitterly regret now. On the plus side I should sell it for more than I paid for it. Anyone want to buy a 5 berth caravan?? :rotfl:

The landline includes my broadband, which I know is still high but I'm bound to the contract for another 8 months or so And it also includes approx £5 a month for extra calls, which I have just explained to my son costs me £60 a year which he will be paying if he doesn't stop!

katsu

daviesalie wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household......... 3
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2231.03
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2231.03
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 339.52
Management charge (leasehold property).. 0
Council tax............................. 77
Electricity............................. 68
Gas..................................... 0
Oil..................................... 0
Water rates............................. 46.63
Telephone (land line)................... 36 check you can;t get a better deal on this as it seems dear.
Mobile phone............................ 54.09 (this is for mine & DD's) How old is DD? Put DD on a PAYG sim with £10pcm and then DD needs to fund the extra.
TV Licence.............................. 12.37
Satellite/Cable TV...................... 20.5 go freeview for a while.
Internet Services....................... 0
Groceries etc. ......................... 216.67 (works out at £50 per week) :T
Clothing................................ 32.5 can you reduce this with charity shop and ebay bargains?
Petrol/diesel........................... 65
Road tax................................ 10.83
Car Insurance........................... 44
Car maintenance (including MOT)......... 10.83
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 250
Other child related expenses............ 22 (Scouts & Gymnastics)
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 7.68
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 115 (this incs xmas, birthdays, easter, fathers day, mothers day..the whole shabbang!) :eek:
Haircuts................................ 16 (inc the dog!)
Entertainment........................... 20 (monthly treat-takeway)
Holiday................................. 25
Emergency fund.......................... 21.67
Spends.................................. 43
Trust Fund.............................. 10
Total monthly expenses.................. 1564.29

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 4750 (£2000 is for a caravan I bought, mum lent me the money, this is being sold as soon as the season starts-inexcusable mad moment!) (Also selling my car and have already bought a cheap £250 runaround from a family member who's holding onto it until I sell my car)
Other assets............................ 0
Total Assets............................ 4750

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
MBNA...........................4000......100.......34.9
Next...........................575.......55........26.49
Lloyds Loan....................2347......75.26.....19
Overdraft......................3400......45........19.4 (just paying the interest)
Loan for caravan..............1800......86.67.....0
M&S CC.........................1600......33.34.....10
Tesco CC.......................100.......6.........15
Egg CC.........................0.........60........26.9 have you just cleared this debt or is £0 a typo? If you have cleared the debt you are not paying egg £60pcm so can throw that off your debt too.
Lloyds CC......................1200......24........15.9
Total unsecured debts..........15022.....485.27....-

Monthly Budget Summary
Total monthly income.................... 2,231.03
Expenses (including HP & secured debts). 1,564.29
Available for debt repayments........... 666.74
Monthly UNsecured debt repayments....... 485.27
Amount left after debt repayments....... 181.47
Personal Balance Sheet Summary
Total assets (things you own)........... 4,750
Total HP & Secured debt................. -0
Total Unsecured debt.................... -15,022
Net Assets.............................. -10,272
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

£115pcm for pressies seems :eek: to me.

I do christmas for 23 people (big family) for ~£200, and they don't think we are meanies I do this by getting sale pressies, BOGOFs, bargains from Charity Shops, handcrafting gifts etc. I shop all year round (I get a huge amount at the start of the year) and always have gifts in a box ready for someone's special day etc. I buy cards etc in the sales too and store them for Christmas. In addition to Christmas we do gifts for weddings, new babies etc but honestly, nothing that could justify spending over £1k pa.

Look at the interest rate of your highest debt and increase your £1380 by that, to get a feeling for what staying in debt longer is really costing you.

The people you give gifts to aren't "going without" if you spend less on them - it isn't like they are starving and you are giving them food. Gifts are luxuries and nice to haves. What people want most of all is time together and affection, not stuff.

Please have a think about reducing your pressie budget some more.

All the best.

whiteguineapig

i amazed by how much you spend on presents, i put away £5 a week and that does everything , (i don't have small children to buy for tho)
surely you don't have to spend this much

daviesalie_2

Hi

With regard to DDs mobile it was a 2 year contract which doesn't end til Dec '11 - but she now knows that if she goes over it comes out of her pocket.

Yes the egg is a typo unfortunately, it should be £1,900 I'll have to add that to my sig.

Re the £115 for gifts, you're both right, it was actually nearing £1500 not £1000 - doubly shocking!

Its taken four attempts, but I've now got it down to £82 a month. Here's the list, what do you think?

50 DD Birthday
50 DS1 Birthday
35 DS2 Birthday inc party (Dad pays half)
15 Mam Birthday
15 Dad Birthday
30 BF Birthday
20 Nephews 1+2’s Birthdays
10 Nephew 3’s Birthday
200 DD Xmas
200 DS1 Xmas
75 DS2 Xmas (Dad pays half)
20 Mam Xmas
20 Dad Xmas
40 BF Xmas
20 Nephews 1+2’s Xmas
10 Nephew 3’s Xmas
10 DD Easter
10 DS1 Easter
5 DS2 Easter (Dad pays half)
5 Dad Fathers Day
10 BF Fathers Day
5 Mam Mothers Day

No wonder I'm in debt!!!!!!

orangesmartie

If it were me I would cut out the presents for the nephews - or if you really feel the need perhaps a card and a fiver for their birthdays, and a tin of family sweets (£5) for christmas.

I would also get rid of the easter gifts. If you really want to get the kids something, buy easter eggs on easter monday when they are reduced.

I would also cut the christmas amount for the kids. but its easy for me to say, as I don't have kids. But i know my mum and dad didn't spend that much on my sister and I when we were younger. Your youngest child isn't really old enough to want lots of stuff or really understand you've spent £100 or £250. Your elder children are old enough to understand that money is limited and therefore the budget will be somewhat reduced.

Alternatively, you could tell the elder two if they want the same budget for christmas, they need to clear out some of their old stuff for boot sales/ebay. That way you get a bit of money coming in to off set it, and clear a space for the new stuff.

I'm sorry if that sounds harsh.

katsu

Great to see the effort you are putting into this Alie, congrats on being so thorough and honest.

I'd cut down the easter money - a nice easter egg does not need to cost £10. I'd either make savings on the weekly groceries and get the eggs within that budget (not at £10 each!) or cut them to £5 per egg max, and a £1-2 egg for the little one. This saves you another £13 and you should be able to get a good egg for less than £5 TBH.

For the little one, £150 still seems excessive for Christmas, I'd have thought that £50 in total should buy a couple of toys?

Start looking at the nephews. What can you get them in the january sales/charity shops? Try and cut the budget in half for them - how old are they?

Pollycat

daviesalie wrote: »

The £115 for gifts is per month! Eeek! I know its a lot, but believe it or not I have cut back on presents. I buy for my mum & dad, no longer buy for my brother & sister, just their kids and of course mine. It also includes the xmas food shop. I don't feel I can cut back any further on this, as I don't feel other people should go without because of my stupidity, if it takes me a year longer to clear my debts I'm willing to take it on the chin.

I too think your spend on presents is way over the top, given your current debt.

I do appreciate what you say about not wanting people to go without but don't you think your Mum & Dad would understand if you cut back on what you spend on their gifts?
Maybe even your siblings would be agreeable to spend less on gifts for the kids.

It's fine to say you're OK if it takes you more than a year to clear your debts because you still want to buy gifts for family, but for as long as you are paying interest on your debt, those presents are costing you more than you've budgeted - IYSWIM.

I'm assuming the spend against DS2 relates to the 20 month old, do you think that a child that age would notice if you didn't spend £150 at Xmas and £75 on his birthday?

I'd shave £5 each from your Mum, Dad & nephews' gifts - and as suggested by orangesmartie cut out the Easter gifts apart from buying a pretty basic egg from Tesco on BOGOF.

THAT'S what I'd do but it's really down to you whether you want to continue with the gift buying, it just seems such a large lump out of your budget.