SOA - need help

Superbiatch

If your partner could increase their income, that would make a huge difference. Why do you say you would need to find a 2nd job? Anyone can be an Avon, Ann Summers or Betterware rep

tallyhoh

Hi,
Your grocery bill is huge (to me). I dont know what your diet requirements are but if you go over to the old style money saving forum & post it on there, you will have loads of suggestions on cost cutting.

MoodyBlues

Superbiatch - true but I reckon I might be able to get a few hours on a weekend at one of the old places I worked at which may be able to help us a lot.
tallyhoh - I'll take a look at that board. At one point last year we'd cut it back to £150 but I started getting sick. Can't really eat potatoes and have to avoid gluten. I don't do well on non-organic foods. Have cut back on meat saving a fair bit (spent £240 ish the last month).

[Deleted User]

MoodyBlues wrote: »

Hi all. In a bit of a hole and need advice. We have about £32000 worth of debt, are £127 worse off a month than we were this time last year and have had a number of large unexpected bills to pay in the last few years. Any advice at all would be appreciated.
It also seems like this computer is on its last legs (it keeps crashing) and as you can see we can't afford a new one!! I had written out a huge post before explaining everything. Doubt I'll be able to write what I did before.
Anyway...the satellite cost covers free calls to my wifes friends and family overseas (and this is actually saving us a ton of money). In addition to this the threshold has been lowered for the student loan deferment so we have had to start paying back the student loan earlier than I had anticipated.
My OH also has many friends and all his family overseas, we are with Talk Talk, and have inclusive overseas calls in out package (to overseas landlines) and we pay approx £25 per month, and includes the internet. This seems to be a lot cheaper than what you are paying and would be well worth it if it also covered the country you wife calls. An alternative is Skyee, Voipcheap, etc


Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2

Monthly Income Details
Monthly income after tax................ 1497 Any way to increase, overtime, second job?
Partners monthly income after tax....... 500 Any way to increase, overtime, second job?
Other income............................ 10
Total monthly income.................... 2007

Monthly Expense Details
Rent.................................... 800 Is this competative for where you are, could you move to a different area, or downsize?
Council tax............................. 110 Are you paying this over 10 months? Ask your council if you can spread this over 12.
Electricity............................. 30 Check comparison sites (EG Uswitch), and see if switching would be cheaper, if so check the cashback sites of incentives (Onepoll, Quidco, topcashback)
Gas..................................... 30 as above
Water rates............................. 23
Mobile phone............................ 42 If you are in contract, see if you can downgrade a tariff, if/when out of contract look at SIM only/PAYG deals - there are some good ones for £10pm
TV Licence.............................. 12
Satellite+ Telephone+ Internet.......... 55 as I said above, check with other companies, drop (or reduce) the TV, should be able to get internet and home phone combined for £20 pm, with international calls a few pounds more per month
Groceries etc. ......................... 300 For two, this can easily be cut back - drop brands, meal plan, batch cook, stick to a list, cook from scratch, visit the cheaper supermarkets (LIDL/ALDI)
Pet insurance/vet bills................. 27
Contents insurance...................... 16
Presents (birthday, christmas etc)...... 0 nothing?
Haircuts................................ 0 never?
Entertainment........................... 0 nothing?
Total monthly expenses.................. 1445


Assets
Shares and bonds........................ 10
Total Assets............................ 10

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Ll1............................10411.....220.......24.9 Because of the interest rate - this is the debt that you need to prioritise for overpayments when you manage to find a surplus in your SOA
Hf.............................7521......75.21.....6.95
Bc.............................1604......37........6.95
Overdraft......................1500......0.........0 Is there any monthly charge for this facility? If so what is it?
Loan...........................3450......194.......7.9
SLoan..........................7441......166.......4.4
Total unsecured debts..........31927.....692.21....-


Monthly Budget Summary
Total monthly income.................... 2,007
Expenses (including HP & secured debts). 1,445
Available for debt repayments........... 562
Monthly UNsecured debt repayments....... 692.21
Amount short for making debt repayments. -130.21 You can make this up by downgrading pay-for-tv, mobile, and being more organised with the groceries. In order to make things a bit more compfortable and be able to overpay your debts quicker, there really needs to be an increase in income - can either of you increase your income?

Also, is your SOA acurate, there seems to be nothing down for transport costs,entertainemnt, haircuts, clothes, gifts - are these correct? If not, keep a spending diary to see where all your cash goes.

Personal Balance Sheet Summary
Total assets (things you own)........... 10
Total HP & Secured debt................. -0
Total Unsecured debt.................... -31,927
Net Assets.............................. -31,917

Hi,

made some comments on the SOA above - hopefully some of them will be of use to you.
Also, if you have a good credit history, would it be worth yourwhile trying to switch some of the debt with higher APR to 0% or low life balance CC's?

D9

MoodyBlues

Thanks Domino9. I will definitely look into TalkTalk. Already spoke with the council tax people who will not move to a 12 month period. Will be talking with my mobile provider tomorrow.

Also, is your SOA acurate, there seems to be nothing down for transport costs,entertainemnt, haircuts, clothes, gifts - are these correct? If not, keep a spending diary to see where all your cash goes.

Transport is already paid for, entertainment we have the TV, computer games, reading etc we don't tend to pay for entertainment. We cut our own hair. We don't buy new clothes. We tend to make our own gifts. I know exactly where our money goes on a day by day basis. It all goes on debts and bills. I currently have no leeway as the student loan threw a spanner in the works.

clemmatis

MoodyBlues wrote: »

Superbiatch - true but I reckon I might be able to get a few hours on a weekend at one of the old places I worked at which may be able to help us a lot.
tallyhoh - I'll take a look at that board. At one point last year we'd cut it back to £150 but I started getting sick. Can't really eat potatoes and have to avoid gluten. I don't do well on non-organic foods. Have cut back on meat saving a fair bit (spent £240 ish the last month).

are gluten-free foods still available on prescription? I found some information about this at coeliac.uk

MoodyBlues

clemmatis wrote: »

are gluten-free foods still available on prescription? I found some information about this at coeliac.uk

I'm not sure. However last time it was it worked out as being more expensive for me as my doctor would no longer put the correct amount of items per script for the month. Either way it got expensive.

theoretica

Have you looked at the annual prescription certificate, for which I believe you can pay monthly?

http://www.moneysavingexpert.com/family/cheap-prescriptions

Tixy

Right based on your new SoA (post #11) things are looking much more realistic. And when you put in all those costs etc what it shows is that you need a different solution to your debts. I would seriously consider talking to one of the debt charities for some advice and to talk through your options. As you would have £430 odd a month for debt repayments then maybe a DMP would be appropriate in your situation.
This would allow you to live a reasonable life and tackle your debts at a realistic rate. Whilst I know it will affect your credit rating this is almost inevitable I fear, as you cannot carry on servicing £30k+ of debt on your current joint incomes. At least in a DMP its arranged in an organised manner and you may well find creditors will agree to freeze interest & charges on your debts.

iamana1ias

Why can't your wife earn more?