How can I save?

throughtherain

I can understand your position but the people on here don't accuse people, they just say it how it is, and it seems you don't agree.

For what it's worth, your salary is not that low, and your rent is very low.

My perspective is that life is full of compromises and you have to decide what you're willing to compromise on. For example if you want to live/work in London and take advantage of its benefits, there are sacrifices to make, such as spending lots on transport and not being able to afford lots of clothes/haircuts/entertainment. That's just the way it is. I'd LOVE to live in London but know that I couldn't afford it while still maintaining a high quality of life, so I don't.

I think you need to take a serious look at your life in general rather than just finances to work out what is really important to you and what direction you want it to go in. If you want to stop spending as much on transport then perhaps moving somewhere where you don't need a 4 hour commute would be better?

Oh, and having a car and paying huge public transport costs it's not surprising it's crippling your finances. You can't afford to do both.

vka1

Hey,


First of all, well done for posting your SOA. Secondly, take a deep breath and digest.


Hearing folk's feedback isn't easy, but stick with it. Once a day or two have passed, it will all be easier to read. Not everything will be relevant to you as we all live differently, as another poster said re holidays etc, it's all about what matters to you.


Everyone's lives are tough for different reasons, and being a single girl isn't easy. Research shows living costs per head are between £3- 5.5k more expensive for single folk than someone in a couple as there's noone to split the bills with. There's also noone to help sort this stuff out with. Stick with us.


Keep your entertainment costs – you need to see people and not be isolated, particularly if, as your earlier comments suggest, you've had depression or some such. Connecting with people is a priority. So, maybe it's the clothes or the holidays or the groceries that need to be cut back instead.


Anyway, there's my tuppence worth. Try to take all feedback on the chin for now. It's meant well, even if the tone sometimes seems a bit strong, no nuance in messages boards!


Posting was the right thing to do,


Vx

googler

The budget says you're £70 short to of repaying debts each month, yet you're spending these;

Clothing................................ 100
Other travel............................ 265
Haircuts................................ 25
Entertainment........................... 100
Holiday................................. 50

Total £540 per month where savings could be made - if you can save more than £70 on these, you start to clear your feet.

Do you really need to acquire £100 worth of NEW clothes per month?
If you cut down on other travel (what is this, if it's not included in your car and petrol expenses?) .....
Could you get your hair done bi-monthly, instead of monthly?
Entertainment and holidays can be sacrificed. Can't they?

Monkeynut

This is one of the nicest boards for support and help rather than people being judgemental, but to be honest - you asked for help, so have to accept that it may not always be what you want to hear.
I completely agree with the poster above who said it is all about compromises.

I would love to be able to spend £100 a month on clothes and £150 a month on entertainment and holiday fund. And to be honest, if I really wanted to, then I probably could just about afford to. But I have chosen not to because, like you, I would far rather pay off debts, make my home nice, and eventually save up for a deposit on my own home.

Look for savy ways to still have what you want, but cheaper! Clothes for example - you can get some fab bits on Ebay/Charity shops etc that are fantastic condition, good names, and hardly worn a lot of the time, but at a fraction of the price. So you could still treat yourself to a few bits each month, but wouldn't need to spend so much. If you have been spending this for a while, then have a look through your wardrobe and see if there are any things that you no longer wear that you can sell on Ebay, then use the money to buy something new. That way you are doing a money neutral swap in effect.

Same with entertainment, if you like going out for meals with friends, try and find places with special offers or vouchers. Restaurants etc are fighting for our business at the moment, so there are loads of vouchers that can be printed from the internet. That way you aren't having to give up your social life, as so one is saying you should, but just doing it more cheaply. If you like nights out at the pub etc, alternate between alcoholic drink, and soft drink and you'll end up spending less, but still enjoying your time with your friends.
Maybe also have a look into mystery shopping, and sign up to companies that do restaurants/cafes etc so you can have the occasional free meal out or lunch/coffee etc.

Your grocery bill is higher than mine, and we are a couple with a toddler. I know shopping for 1 isn't always meant to be half as much as shopping for 2, but think about things like buying in bulk and making big portions of things that you can split into single portions and freeze. Saves you time cooking every night as well. Our grocery budget is £40 a week, and we usually manage to stick to this, but we still eat well, and healthily, but allowing the odd treats here and there too. head over to the OS boards on here, and also the printable coupons thread, and make the most of them. Make sure with the coupons though that you only use them to save you money, not just buying for the hell of it if you don't need it, or if it more expensive than something else you can buy without a voucher! There is lots of discussion on there of people making the most of them, such as using them when an item is also on offer somewhere. You can get some really cheap bits and plan some meals around them (always meal plan and make a list for shopping!!) to cut your costs. Have a look at the drop a brand challenges too.

Do you take your own lunches and snacks for work? This was a massive money saver for me, and actually much better as I can take what I want rather than having to have whatever the work canteen or shop next door had available.

Corr, I've rambled on there haven't I!! Whoops

Try and take all the advice you are given here as it was intended - people are only genuinely trying to help, no one is being nasty or having any sort of personal attack at you.
If you have a look at other threads where people have asked for advice on their SOA, you will see that various suggestions are made time and time again to everyone.

Mikazaru

AliceBanned wrote: »

Hi all


Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 1
Number of children in household.........
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1564
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1564
Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 330
Management charge (leasehold property).. 0
Council tax............................. 75
Electricity............................. 20
Gas..................................... 40
Oil..................................... 0
Water rates............................. 2 Should this be £20?
Telephone (land line)................... 10
Mobile phone............................ 15
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 15
Groceries etc. ......................... 200
Clothing................................ 100 Cut, only buy essentials.
Petrol/diesel........................... 120
Road tax................................ 12
Car Insurance........................... 15
Car maintenance (including MOT)......... 45
Car parking............................. 0
Other travel............................ 265
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 15
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 15
Haircuts................................ 25 Can you wait longer between cuts or go to a college salon?
Entertainment........................... 100
Holiday................................. 50
Emergency fund.......................... 0
Total monthly expenses.................. 1469

Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 500
Other assets............................ 0
Total Assets............................ 500

No Secured nor Hire Purchase Debts
Unsecured Debts
Description....................Debt......Monthly...APR
Halifax cc.....................2000......20........21.9
Halifax o/d....................500.......20........17
Cap one cc.....................450.......15........12
Credit Union...................1100......110.......12
Total unsecured debts..........4050......165.......-

Monthly Budget Summary
Total monthly income.................... 1,564
Expenses (including HP & secured debts). 1,469
Available for debt repayments........... 95
Monthly UNsecured debt repayments....... 165
Amount short for making debt repayments. -70
Personal Balance Sheet Summary
Total assets (things you own)........... 500
Total HP & Secured debt................. -0
Total Unsecured debt.................... -4,050
Net Assets.............................. -3,550
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Can you cut your entertainment down by getting vouchers for meals out or cinema on a two for one? Have nights in with friends instead of nights out?
If the water is £20 then you have £90 shortfall, you can easily make this up by cutting your grocery bill. Then any savings you make can go towards the debt.
Can you sell your car if you use the train for work? That would clear one debt and then you'd have £170 to pay towards your debt a month.

RoseRed

Hi Alice,

You say that you want to live your life but you are currently trapped by debt. The sooner it is gone the sooner you can breathe, being in debt can greatly restrict out choices in life. You mention about going abroad and doing TEFL, it sounds like a wonderful thing to do, but you have debt and I assume no savings, debt is restricting you from doing more with your life. At the moment your outgoings are higher than your income, that means the situation is only going to get worse unless you do something to stop it. Remember that cutting back does not have to be forever, skip the holiday this year cut back on entertainment and limit clothing to the bare essentials, yes it is not great fun but it will mean your out of debt and able to choose where your money goes much sooner.

You mention that if you move back to london your travel savings are offset by rent, are the two pretty much equal? If so I'd say do it, your balance sheet is initially the same but you save the stress of the soul sucking commute. You can then use that extra time for more beneficial money making pursuits! Mystery shopping, daily clicks, paid surveys, free bingo sites etc, check out the up your income board for ideas. If you are fluent in several languages see if there is any freelance translating work you can find, I'm sure there are sites that can advise on this. You can also use the extra time maybe to do further courses or voluntary work to improve your employability.

Another option is to move into a shared house with other professionals. I have 2 friends in there late 30's who have done this. Both initially felt that they were admitting defeat, shared housing is for those in their teens and twenties etc, but they both love it. It saves on bills and entertainment and again it does not have to be forever! Even a year could make a huge difference in your debt levels and you could find some new local friends.

Don't see getting out of debt to be a never ending slog against adversity, see it as a path to freedom and being able to live the life you truly want.
Good luck,
Rose

a_pedant

Re Groceries, look on amazon for a book called "feed your family for £5 a day", this is what I use. It is chock full of tasty, easy to cook, cheap food that tastes great thanks to a focus on fresh veg (I find as a single person the veg quantities are small enough to pick up on the way home from work). The £5 needs to be scaled up for inflation (the book was published early 90s) but it is also based on a family of 4, so for just me I find it's about £2 a day = £60 a month. Low enough to have pizza on payday without breaking the bank!

And the clothes. I know there are arbitrarily different standards of appearence expected from women than men; I know there are different dress codes at different employers; and I know that dressing well can be a psychological boost. But £100 p/m is £1,200 p/a is a full 5% of your annual income! Perhaps work the charity shops, or online, or work out what is needed and what is wanted.

Holiday; have you got a plan that you know you need a certain amount for, or are you just putting it back for something you later decide. Perhaps making a plan will let you find that you only need say £30 per month, or it may still be £50.

Hermia

OP - I don't think anyone on here is being unsupportive, but I think we all just feel that there is no point whinging when you could just be getting on with it. People are pointing out the good things you have (okay salary, amazingly cheap rent) just so that you can see you have something positive on your SOA. We all know how hard it is - we wouldn't be on here otherwise! I live alone and can relate to what you say. When I compare what I pay in rent and utilities compared to the couples I know it's not great. I also have exactly the same problem that you have in that rent near where I work is high, but living further away means more travel bills. The only way I manage to save money (and pay for the few things that really matter to me) is being very frugal in other areas.

You say you need to go out and have holidays because you are on your own and don't want to be stuck at home. I have lots of single friends who have very hectic social lives, but don't spend a lot. I have one friend who has three holidays a year fairly cheaply. You say you have a season ticket for the train. Are there any places you can go to using the season ticket at the weekend? If you are imaginative you can have a good social life without spending a fortune. And you can look good without buying clothes every month!

Ultimately there is no point whinging and complaining. You just have to get on with it. The problem with being angry and bitter is that it takes all your energy. You know, I spent yesterday working with people with special needs and it was absolutely exhausting, but really helped them and their carers. Yet, I earn £30k less than my cousin who has some non-job in PR (even he cannot explain what he actually does!). But, what do I gain by sitting around getting annoyed by it all? Nothing. Once you let it all go you can have a clear look at your situation and try to improve it.

googler

Groceries - when you eat at home, what (if anything) do you drink with your meal?

Soft drinks, like Coke at £1.78 for 2 litres?
Alcoholic, such as wine at £3? £5? or higher per bottle?

If so, this will soon mount up, and you could liberate some pennies here to pay off some debt

Drink water. Essentially free out of the tap; if need be, get a filter jug from Lakeland or similar.

When out at work, do you dine in an office canteen, or buy your lunch from a sandwich shop, or variations on this? If so, you're essentially keeping someone else in business with the money that you could be using to pay off your debts. Buy a lunch box, make up your own.

Take your food supplies with you on workdays, and DON'T TAKE ANY MONEY. You won't spend it in the shops if you don't carry it with you.

You could save by making up a packed lunch and taking that with you.
If there's a microwave or oven facility at your place of work, make up big batches of home-made soup and take a portion of that with you, or heat some up before you leave in the morning and take a flask.

dancingfairy

The travel is high - like it is for a lot of people. Is there any way you could maybe meet friends in a more central location and use your train tickets rather than a car as well? perhaps you could use a car club for the journeys you need a car for? would that work out any better?
Best of Luck
df