What % of your take home do you use to pay debt?

mildredalien

I'm spending £447/£1387 per month on repaying debts at the moment:

£150 loan (to my parents so thankfully interest free)
£150 credit card (overpaying)
£55.79 loan (16 payments left)
£92 (3 minimum/fixed low payments to credit cards)

That's 32% of my income - higher than I had imagined!

The credit card I am overpaying will be paid by June this year, and the loan to my parents will be paid off in October this year. That means a £300 'payrise' by the end of this year!!

I say payrise, having written it all down I can see the light at the end of the tunnel, so that payrise can be put towards overpaying the remaining credit cards. Interesting thread

Malky

£180 out of £3K joint take home pay = 6%

All I can say is that my wife is good with money

fedupandskint

Mine is 70% of my monthly pay

25% on mortgage
25% on debt repayment
20% on bills, food and fuel, insurance etc

I never thought of it in this way 50% on mortgage and debts. If I didn't have all of these debts I would be in a better position and be overpaying on the mortgage

Don't know what happens to the rest as there never seems to be any leftover. Oh well one day I will be in a better position - in approx 3 yrs time

LillythePink

Ours is 30% and that is just mortgage!

immoral_angeluk

£1480 wages (not including other benefits child maintenance etc)
£161 on car loan
Bout £30 on my 2 credit cards..

so 12% if my maths is correct.. Will be less than that soon as I've paid off another card though..

The scariest part for me is that some months I have to spend well over 50% of it on nursery fees alone!!! :eek:

mi_jardin

While we aren't paying the council tax at the moment its nearly 2/3rds, but next month it will be back down to the normal amounts, just under half.

nogoodwithmoney11111

remember to gross up your "effective pay rises" when you become debt free. We were paying any spare cash we had at our debts and this was averaging about 50% of our take home. That is net however, so 50% grossed up for a tax payer is about a 75% taking into account tax and NI. A 75% payrise - simply incredible, and a statistic that motivated us even more to get there quickly.

ali-t

errr, embarrassingly it is about 50% excluding the mortgage and w ith the mortgage it goes up to 75%.

Lucy1010

My circumstances have changed recently because I have stopped smoking which allows me to throw another £200 p/m at my debts.

My debts stand at £6,000

I earn £1809 p/m

I can pay £700 towards my debt

(I am single if that helps)

Empty_pockets

£600 or 25%