Dilemma....

mrsmag

Ok here it is.............. yeek! A few notes first:

I haven't included childcare costs as they are deducted from our wages before they hit our bank, saving tax :j

I've guessed what I'll be paying in buildings insurance as we haven't got any currently

I live in Scotland so our water is in with our council tax

I've included £10 for oil which we don't have but its to cover wood for our stove (only really used in winter so this is an overestimate)

Our cars are our biggest drain, petrol, insurance and car tax included. But we can't afford to change them at the moment (hence the temptation to remortgage..... I do this when I look at what they are costing us :mad:

The extra £720 income is from my father in law who has my hubby as a director of his company, to gift him money so he doesn't get landed with inheritance tax

All food and snacks for us and baba are included in the groceries section

We've already saved some £ on travel expenses, this budget is based on my husband driving to a train station and getting a train to Edin, he now drives the whole way which unfortunately saves him a lot of money. We are looking at selling both cars, getting me another car and him a bike on the cycle to work scheme, and he can get the train and cycle (it was the fact he was still paying for petrol in addition to the train that was really expensive)

I have also stopped taking my car to work and paying for parking, I now get the train.

And I'm cancelling the gym

Phew, excuses over - get posting that budget :cool:

mrsmag

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 1100
Partners monthly income after tax....... 1350
Benefits................................ 80
Other income............................ 720
Total monthly income.................... 3250

Monthly Expense Details
Mortgage................................ 720
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 222
Electricity............................. 28
Gas..................................... 112
Oil..................................... 10
Water rates............................. 0
Telephone (land line)................... 30.6
Mobile phone............................ 75
TV Licence.............................. 12.37
Satellite/Cable TV...................... 7.2
Internet Services....................... 21.5
Groceries etc. ......................... 200
Clothing................................ 25
Petrol/diesel........................... 100
Road tax................................ 40
Car Insurance........................... 92
Car maintenance (including MOT)......... 42
Car parking............................. 0
Other travel............................ 455
Childcare/nursery....................... 0
Other child related expenses............ 35
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 17
Buildings insurance..................... 10
Contents insurance...................... 10
Life assurance ......................... 60
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 50
Entertainment........................... 25
Holiday................................. 50
Emergency fund.......................... 60
credit card payments ................... 600
Garden maintenance...................... 10
union fees.............................. 10
gym..................................... 37.29
window cleaners......................... 12
Professional fees....................... 76
Total monthly expenses.................. 3284.96


Assets
Cash.................................... 0
House value (Gross)..................... 320000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 5000
Total Assets............................ 331000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 125000...(720)......1.9
Total secured & HP debts...... 125000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Mortgage current acc...........15000.....0.........4
credit cards...................17000.....350.......0
Total unsecured debts..........32000.....350.......-


Monthly Budget Summary
Total monthly income.................... 3,250
Expenses (including HP & secured debts). 3,284.96
Available for debt repayments........... -34.96
Monthly UNsecured debt repayments....... 350
Amount short for making debt repayments. -384.96

Personal Balance Sheet Summary
Total assets (things you own)........... 331,000
Total HP & Secured debt................. -125,000
Total Unsecured debt.................... -32,000
Net Assets.............................. 174,000

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using Firefox browser.

Tebheag

Hi
Would recommend continuing paying as you are, you may be able to get another 0% CC next dec when it runs out you will get there in the end best way is to learn to control the money or you will just continue which is what we did would remortgae to pay debts off then it would all start again. Thankfully we are slowly sarting to sort ourselfs out !

backinbusiness

I believe the Cycle to Work Scheme isn't running at the moment, sorry

Million_Percent

Seems to me you are living way beyond your means. According to your SOA, you are effectively increasing your debt by almost £400 per month. You need to sort this ASAP or you will be very quickly in a hole so deep you won't ever get out. You mentioned a holiday home. Do you actually own this property? If so, could you sell it and clear all your debts with the revenue? I appreciate you may not want to consider it but, to be honest, someone with £32,000 of unsecured debt who can't afford the repayments simply can't justify having a holiday home.

Edit: relooking at the SOA it appears the credit card repayments have been double counted so perhaps the above statement doesn't apply.

January20

mrsmag wrote: »

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 1100
Partners monthly income after tax....... 1350
Benefits................................ 80
Other income............................ 720
Total monthly income.................... 3250

Monthly Expense Details
Mortgage................................ 720
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 222
Electricity............................. 28
Gas..................................... 112 This is huge! Are you paying arrears?
Oil..................................... 10
Water rates............................. 0
Telephone (land line)................... 30.6
Mobile phone............................ 75 Can you lower this? Again it's a huge amount of money!
TV Licence.............................. 12.37
Satellite/Cable TV...................... 7.2
Internet Services....................... 21.5
Groceries etc. ......................... 200
Clothing................................ 25
Petrol/diesel........................... 100
Road tax................................ 40
Car Insurance........................... 92
Car maintenance (including MOT)......... 42
Car parking............................. 0
Other travel............................ 455 What is this. On top of £100 for petrol again it's a huge amount of money.
Childcare/nursery....................... 0
Other child related expenses............ 35
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 17
Buildings insurance..................... 10
Contents insurance...................... 10
Life assurance ......................... 60
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 50 Do you really spend that much every month on haircuts? Can you find a cheaper alternative?
Entertainment........................... 25
Holiday................................. 50
Emergency fund.......................... 60
credit card payments ................... 600 I'm assuming this is the for the CC and the current account debt? might be better to move it from here to the unsecured debt bit so your soa is more accurate
Garden maintenance...................... 10 Can you do the garden yourself?
union fees.............................. 10
gym..................................... 37.29
window cleaners......................... 12 again can you do this by yourself for a while?
Professional fees....................... 76
Total monthly expenses.................. 3284.96


Assets
Cash.................................... 0
House value (Gross)..................... 320000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 5000
Total Assets............................ 331000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 125000...(720)......1.9
Total secured & HP debts...... 125000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Mortgage current acc...........15000.....0.........4
credit cards...................17000.....350.......0
Total unsecured debts..........32000.....350.......-


Monthly Budget Summary
Total monthly income.................... 3,250
Expenses (including HP & secured debts). 3,284.96
Available for debt repayments........... -34.96
Monthly UNsecured debt repayments....... 350
Amount short for making debt repayments. -384.96 this is not really accurate though is it, as it looks like your repayments are further up on your SOA so do you really have a £384.96 deficit each month?

Personal Balance Sheet Summary
Total assets (things you own)........... 331,000
Total HP & Secured debt................. -125,000
Total Unsecured debt.................... -32,000
Net Assets.............................. 174,000

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using Firefox browser.

I thought the cycle to work scheme was an ongoing scheme and it's up to your employer to sign up to it? I know my employers dragged their feet to allow us to benefit from it (because if it doesn't make them money they don't really want to know!), but hen they finally did and gave the employees a set period of time to sign up to it.

curlytop12

mrsmag wrote: »

statement of affairs and personal balance sheet

household information
number of adults in household........... 2
number of children in household......... 1
number of cars owned.................... 2

monthly income details
monthly income after tax................ 1100
partners monthly income after tax....... 1350
benefits................................ 80
other income............................ 720
total monthly income.................... 3250

monthly expense details
mortgage................................ 720
secured/hp loan repayments.............. 0
rent.................................... 0
management charge (leasehold property).. 0
council tax............................. 222
electricity............................. 28
gas..................................... 112 is this right??
oil..................................... 10
water rates............................. 0
telephone (land line)................... 30.6
mobile phone............................ 75 see if you can drop a tariff if in contract,or go payg
tv licence.............................. 12.37
satellite/cable tv...................... 7.2
internet services....................... 21.5
groceries etc. ......................... 200
clothing................................ 25
petrol/diesel........................... 100
road tax................................ 40
car insurance........................... 92
car maintenance (including mot)......... 42
car parking............................. 0
other travel............................ 455
childcare/nursery....................... 0
other child related expenses............ 35
medical (prescriptions, dentist etc).... 10
pet insurance/vet bills................. 17
buildings insurance..................... 10
contents insurance...................... 10
life assurance ......................... 60
other insurance......................... 0
presents (birthday, christmas etc)...... 20
haircuts................................ 50this needs to be reduced
entertainment........................... 25
holiday................................. 50-use this for debts for a while?
emergency fund.......................... 60-do you actually have this?
credit card payments ................... 600-this should not be here-it goes out in the section below on unsecured debt,so at the mo you are counting this twice:)
garden maintenance...................... 10-do it yourself for a while?
union fees.............................. 10
gym..................................... 37.29- i know you are already cancelling this
window cleaners......................... 12
professional fees....................... 76
total monthly expenses.................. 3284.96


assets
cash.................................... 0
house value (gross)..................... 320000
shares and bonds........................ 0
car(s).................................. 6000
other assets............................ 5000
total assets............................ 331000


secured & hp debts
description....................debt......monthly...apr
mortgage...................... 125000...(720)......1.9
total secured & hp debts...... 125000....-.........-

unsecured debts
description....................debt......monthly...apr
mortgage current acc...........15000.....0.........4
credit cards...................17000.....350.......0
total unsecured debts..........32000.....350.......-


monthly budget summary
total monthly income.................... 3,250
expenses (including hp & secured debts). 3,284.96
available for debt repayments........... -34.96
monthly unsecured debt repayments....... 350
amount short for making debt repayments. -384.96

personal balance sheet summary
total assets (things you own)........... 331,000
total hp & secured debt................. -125,000
total unsecured debt.................... -32,000
net assets.............................. 174,000

created using the soa calculator at www.makesenseofcards.com.
reproduced on moneysavingexpert with permission, using firefox browser.

once you take out the doubled-up credit card payments,have another look at the soa.
Good luck

mrsmag

Hmm I don't think we're drastically beyond our means, I think we've been hit hard by being a bit naive when I went back to work part time after having my daughter, my monthly salary was £2400 full time, now it should be £1300 or something (I can't remember as nursery comes out of it and its hard to calculate because of tax etc). So I think that's hit us quite hard, where I thought we'd be able to absorb it better as I never restrained myself when it came to spending. I thought if I cut back, which I have - to the point where I don't spend anything without selling something first!- we'd be fine, which I'm sure we will be. To be honest, I am absolutely confident that we are better off with me working part time and spending time with my daughter, rather than working full time and having this paid off in a year.

Its just hard not being able to buy clothes etc without selling first, as a lot on here probably know it stings when you have to cut back. I suppose I'm guilty of being a bit spoiled and looking for the cheat so that I can enjoy day to day rather than cutting back and actually feeling that sting.

Although it costs more in the long term, it would be painless day to day to consolidate onto the mortgage and pay less per month, over the same time period as the mortgage is currently running. I just have to remember that if I don't re-mortgage then I'll be paying less for the remaining 12 years of the mortgage after I pay off the cc and current acc. And that may become important if interest rates rise.

Also, that reminds me of another point about my current account debt - I put it under unsecured, but its linked to my mortgage account so it might be secured?! I have the facility to take out what we've paid in so to speak. We got a mortgage of £150,000 and owe £125,000 so technically we could get another £10,000 out of that acc if you see what I mean? As long as it doesn't go above what they lent us. They just charge base rate on it.

Our holiday home is a family home that's been in the family for a century and is 'owned' by my mother, who has transferred the deeds to my brother and I. This is the first time in its history that its been rented out, and we are pleased with progress so far. It can only be good to keep it and make some money from it, over its lifetime it will more than pay for its cost. She transferred the deeds to us after the death of my father, I think bereavement makes people more aware of their own mortality and she didn't want us to be involved in some legal wrangle or pay hefty tax bill on it should she die.

That's a bit of a !!!!!! with the cycle to work scheme, I wonder if he knows that...... I think our work intranet still advertises it, maybe that's old (hehe it removed my sweary word above, lol!)

mrsmag

Ok questions and answers:

Haircut - this is the only thing I still spend on for me, I usually go once every 8-10 weeks and get cut and colour which is £100 a time, its really hard to get a haircut that involves colour for less than this and be happy with it! And I can't do colour myself as its colour and highlights and I'm too grey now to not do it! Babies add a million grey hairs, lol! I have, however, discussed the issue with my hairdresser and we have said that I will get cut, colour and highlights once then cut and small amount of highlights next time, and alternate from there so that should bring the bill down to £90-100 one time, then £60 next time so monthly budgeting of about £40.

Electricity - forgot to mention this, my husband recently changed from EDF who were charging us £75 gas £55 electric each month, to Scottish Hydro electric who were charging £55 gas £28 electric. Then randomly our usage went up by 1000 units, we can't work out how this has happened and are trying to figure it out. We have underfloor heating and it used to be on a direct on/off switch, we got that changed to a normal powerpoint so that we could plug in a timer for it so the cold floor was warm when we got up (god I am spoiled) and so we wondered if using that plug has mean that it is on all the time?! That is the only rational explanation we have for it. I am thinking its more like a mistake though, and hub is supposed to be sorting this out - I haven't had an update recently but I'm sure he hasn't done it. He's busy and I should probably do it, but he re-arranged the supplier and I think he wants to sort it.

........and I've just realised that the big bill is gas........... I have absolutely no idea why that is that high, I do remember they put up their rates just after we switched, sob!

Phones - spoiled spoiled spoiled. I have a blackberry and he has an iphone (old and contract due for renewal). I see that we could save money there, but I am tied into a 24 month contract (18mths left) and I don't want to ask him to change as he has NO luxuries. NEVER buys clothes, never goes out, never spends money he hasn't got and feels incredibly guilty that he has had to work away for 3 years (leading to expenses++++++ as he works for NHS and they don't pay accomodation/travel to a normal place of work) and even now that he's home he's working an 80 mile round trip away. Neither of us want to move as we love our house, my job is here, our parents are here (they provide 50% of our childcare, and its nice to be close to them when you've got kids)

Again, I agree that hubby's travel expenses are HUGE Glasgow to Edinburgh train ticket for a month = £350 or something (he has the exact figures) we live in a town with no direct line to Edin, so he drives to train (which we recently realised although it seems close is 10miles away!!!!! He drives a honda civic type R, you can imagine the petrol costs) So that's why our new plan is for him to cycle there and get the train. Should save about £100 a month in his petrol. The other petrol costs are just mine! I work 6 miles away but its a commuter town, so the drive is slow and petrol guzzling. So I now get the train This is pre-these changes budget.

Windows - I am going to ask if we can just get them done quarterly

Garden, I do myself (sometimes!) that's an ambitious budget, I would never spend that but I think its wise to save it just incase. In reality this tenner doesn't exist as it goes on other things that we haven't managed to save up for yet

Emergency fund - no, this does not exist. I'm trying to show myself that if I try to save for this I have no money for shoes!

mrsmag

Ok, changed the credit card payments! Because it was asking for minimum payments I didn't think it was going to calculate that as a payment because I pay more, doh!

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 1100
Partners monthly income after tax....... 1350
Benefits................................ 80
Other income............................ 720
Total monthly income.................... 3250

Monthly Expense Details
Mortgage................................ 720
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 222
Electricity............................. 28
Gas..................................... 112
Oil..................................... 10
Water rates............................. 0
Telephone (land line)................... 30.6
Mobile phone............................ 75
TV Licence.............................. 12.37
Satellite/Cable TV...................... 7.2
Internet Services....................... 21.5
Groceries etc. ......................... 200
Clothing................................ 25
Petrol/diesel........................... 100
Road tax................................ 40
Car Insurance........................... 92
Car maintenance (including MOT)......... 42
Car parking............................. 0
Other travel............................ 455
Childcare/nursery....................... 0
Other child related expenses............ 35
Medical (prescriptions, dentist etc).... 10
Pet insurance/vet bills................. 17
Buildings insurance..................... 10
Contents insurance...................... 10
Life assurance ......................... 60
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 50
Entertainment........................... 25
Holiday................................. 50
Emergency fund.......................... 60
credit card payments ................... 250
Garden maintenance...................... 10
union fees.............................. 10
gym..................................... 37.29
window cleaners......................... 12
Professional fees....................... 76
Total monthly expenses.................. 2934.96


Assets
Cash.................................... 0
House value (Gross)..................... 320000
Shares and bonds........................ 0
Car(s).................................. 6000
Other assets............................ 5000
Total Assets............................ 331000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 125000...(720)......1.9
Total secured & HP debts...... 125000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Mortgage current acc...........15000.....0.........4
credit cards...................17000.....350.......0
Total unsecured debts..........32000.....350.......-


Monthly Budget Summary
Total monthly income.................... 3,250
Expenses (including HP & secured debts). 2,934.96
Available for debt repayments........... 315.04
Monthly UNsecured debt repayments....... 350
Amount short for making debt repayments. -34.96

Personal Balance Sheet Summary
Total assets (things you own)........... 331,000
Total HP & Secured debt................. -125,000
Total Unsecured debt.................... -32,000
Net Assets.............................. 174,000

Created using the SOA calculator at https://www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using Firefox browser.