Debt Free before the baby comes!!

yummymummy2012

Well I have been lurking in the background for a few months and with lowering job security for me and OH thought it was best to start a diary to document what we intend to do.

As you can see from the title we are expecting, if this doesnt focus us I dont know what will, so we have until March to try and get this debt busted as baby is due 5th April. We luckily have enough savings to buy all the baby stuff so this wont add to the debt but would like it gone so we have a fresh start.

The main focus is to pay of CC1 first as CC2 is 0% until Jan, then takle the overdraft that has been haunting me at this level since I was at Uni (10 yrs ago!!)

Menu's are planned for this week to eat what we have in already and tesco online order placed to stock up the freezer on staples and things we can batch cook with, going to look at what we can sell on ebay and put some more detail into our monthly budget. I am fine with all the regular payments but then we just leave a lump sum at the bootm of the spreadsheet for fuel, food, spends (pub!!) etc and I want to set some limits for this each month as we never keep track of it and always go over.

Any advise, support or suggestions to help on this journey are very welcome:D

yummymummy2012

Looking at doing a SOA but dont know where the link is if anyone can help?

yellowcrocus

SOA Calculator: http://www.makesenseofcards.com/soacalc.html


Congratulations

My DD2 is 6 weeks old so I know what you are letting yourself in for!:rotfl:

yummymummy2012

Its an exciting but scary time :eek: thanks for the link

yummymummy2012

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 0
Monthly Income Details
Monthly income after tax................ 2900
Partners monthly income after tax....... 1800
Benefits................................ 0
Other income............................ 425
Total monthly income.................... 5125
Monthly Expense Details
Mortgage................................ 533
Secured/HP loan repayments.............. 0
Rent.................................... 600
Management charge (leasehold property).. 0
Council tax............................. 173
Electricity............................. 80
Gas..................................... 0
Oil..................................... 102
Water rates............................. 45.92
Telephone (land line)................... 40
Mobile phone............................ 70
TV Licence.............................. 12.5
Satellite/Cable TV...................... 56
Internet Services....................... 0
Groceries etc. ......................... 250
Clothing................................ 0
Petrol/diesel........................... 150
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 15
Contents insurance...................... 0
Life assurance ......................... 24.78
Other insurance......................... 23
Presents (birthday, christmas etc)...... 300
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Mortgage paayment protector............. 37.8
Savings................................. 925
Total monthly expenses.................. 3438

Assets
Cash.................................... 0
House value (Gross)..................... 110000
Shares and bonds........................ 1200
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 111200

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 103000...(533)......4
Total secured & HP debts...... 103000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
CC1............................3679......1000......17.9
CC2............................4618......500.......0
Overdraft......................2792......0.........0
Total unsecured debts..........11089.....1500......-

Monthly Budget Summary
Total monthly income.................... 5,125
Expenses (including HP & secured debts). 3,438
Available for debt repayments........... 1,687
Monthly UNsecured debt repayments....... 1,500
Amount left after debt repayments....... 187
Personal Balance Sheet Summary
Total assets (things you own)........... 111,200
Total HP & Secured debt................. -103,000
Total Unsecured debt.................... -11,089
Net Assets.............................. -2,889

This is the SOA. Not included any cash as assets as the savings are going on baby stuff until we have all we need then will transfer it to debt repayments. Mobiles this is for me and OH £35 per month each tied in for 18mths. Sky OH has HD and 1 sports package, will probably keep this unless the job situation changes. We both pay into pensions through work so wages are after all outgoings like this. Phone and broadbacd are with BT, and we are trying to reduce the electic consumption:o

beanielou

The one thing that really jumps out at me is presents at £300.
Is this a typo?
If not it can be cut drastically.
Even dropping it to £100 pm which is £1200 for the year would save you £200 pm.

yummymummy2012

Thanks beanielou, I think I just bundled everything else into this as meals out treats for each other and PUB but think we could do with actually looking at what this is spent on so we can reduce it. Well I did my maths wrong so have updated my signature to show the correct starting debt. OH's money has transfered for the month so first CC payments made and new totals in signature.

Nursery painting commenced last night, OH is not very neat so I did the edges as he rollered! Tesco delivery due today to fill up the freezer, all bills paid, fuel in the car and have £100 for the rest of the month until payday. Cricket club meal on Friday but I will be on soft drinks, it is in the village so no taxi's so will see how much spends OH has left for his beer. Friends were due next weekend but that has been cancelled, so that should be a cheap one, then seeing Imelda May at the end of the month. I will be designated driver so no taxis again, just OH beer money. I think we may stick to budget this month if we saty out of the pub (a bit tricky when it is 500yrds away!) but we will try:o Wish me luck!

yummymummy2012

Off to the dentist this afternoon, after living down here for nearly 2yrs finally registered at an NHS one and with my shiny new maternity exemption card shouldnt have anything to pay!! Working from home tomorrow to wait in for the plumber (bath taps broke 4 mths ago!! and hes still not fixed them) so no petrol to be used and home made lunch so it could be a NSD :j the first of many this month I hope, think i will try and make OH lunch for tomorrow as we have food coming tonight, we can bith save some money then.

Alice_in_Poorland

How did the dentist go? Not too painful I hope.

Did you manage another NSD? I had my 2nd NSD in row today, how happy am I (compared to how I was 4 days ago!!).x

yummymummy2012

Alice, Hi was feeling like I was talking to myself a bit on here. Dentist was fine quick in and out as they couldnt do any xrays and an appointment for 6 mths so it did end up a no spend day, unlike yesterday:o

We finished painting the nursery and had a plumber in all day replacing some radiators and taps (paid for by our lovely landlady) so decided to go to the pub for tea to treat oursleves. £44 gone so quickly!! So I have £100 cash left for the month, this do on Friday so depends how much OH drinks, then we are out for a meal Sat at a friends so only cost of a bottle of wine there, and friends round to play a boardgame on Sun (they are bringing nibbles). HM lunch today and HM chillie out of the freezer so today is sorted but I have to buy a stamp and some coffee for OH's morning fix so wont be a NSD. It is surprising how hard these are to acheive

Oh well at least I am now keeping track of all of these little spend, so I can try and do something about it.

Thinking of plans for Sat (providing the weather is good), think I need a list
-plant my strawberry plants out before they die in the greenhouse -put some straw on the potato plants
-get OH to did the bags of chicken sh##t from our friends in the village into the compost heap
-oil the garden furniture and put away for the winter
-sort out the gargage
-finish tidying the house (seems a never ending job)

That should keep us out of trouble;)

Alice_in_Poorland

Hi there, glad the trip to the dentish went OK.

Isn't it crazy the way money just goes sooo quickly. I know once you break into any note is just seems to disappear. I have started to make a note of everything we spend, hopefully it will explain how I can get through a £20 note so quickly!!!!

Sounds like you've got a busy weekend ahead. I like lists (which annoys my OH). I usually write down the jobs that need doing on a daily basis and for the weekend. The boys play a lot of sport so there isn't much time at the weekend to do chore's as such so it pays to keep ontop of things.........shame I didn't keep on top of the finances

Take time to chill.xx