Advice on SOA

njs1999

Hi

Any advice on how to reduce debt appreciated:

Wasn't sure about the whole mortgage thing, so don't know if this reads right, but my real target is to try and wipe out any credit card debt.

Thanks for looking

Most of this is half of what my other half pays...

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2057
Partners monthly income after tax....... 2300
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 4357
Monthly Expense Details
Mortgage................................ 500
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 69
Electricity............................. 25
Gas..................................... 25
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 40
TV Licence.............................. 6
Satellite/Cable TV...................... 30
Internet Services....................... 8
Groceries etc. ......................... 50
Clothing................................ 0
Petrol/diesel........................... 200
Road tax................................ 15
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 ......................... 0
Other insurance......................... 10
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 10
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1043

Assets
Cash.................................... 0
House value (Gross)..................... 195000
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 197000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 190000...(500)......0
Total secured & HP debts...... 190000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Credit card....................2900......50........0
Credit card....................2847......50........0
Credit card....................1193......50........0
Credit card....................3220......50........0
Credit card....................1214......50........0
Total unsecured debts..........11374.....250.......-

Monthly Budget Summary
Total monthly income.................... 4,357
Expenses (including HP & secured debts). 1,043
Available for debt repayments........... 3,314
Monthly UNsecured debt repayments....... 250
Amount left after debt repayments....... 3,064
Personal Balance Sheet Summary
Total assets (things you own)........... 197,000
Total HP & Secured debt................. -190,000
Total Unsecured debt.................... -11,374
Net Assets.............................. -4,374
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

FireWyrm

Your SOA is wildly inaccurate since your figure for groceries is strangely low and I'm suspicious of the £10 figure for 'entertainment'. You bring in more money than many on this board and on paper at least, you have enough extra per month to pay off all your outstanding debts free and clear in around 4 monthsmof you put your mind to it. Therefore, your SOA is either completely inaccurate. I suggest a spending diary for 30 days and come back with a realistic and accurate SOA, I'm sure we can advise then.

HappyMJ

Your numbers are very low. I would expect your electric and gas to be higher. Your TV licence should be more. Your groceries are far too low. You have no allowance for clothing even just £10 per month per person to replace worn out items is a start. you don't want to be reaching for the credit card when the shoes falls apart. Car insurance has a cost. Car maintenance has a cost. As you are dependant on each other you should have some life insurance. Put something for haircuts even if it's just a trim using clippers every now and again just put something down to replace it if it were to break. Is entertainment accurate I would epect £10 per person per week especially on your level of income.

Get the figures accurate and proper advice can be given. As it is at the moment you can clear your debt in 4 months.

njs1999

£150 per quarter each for gas and electricity is pretty accurate. I don't spend that much on going out/entertainment, etc, as had to cut back after getting married last July.

Also, £100 per month on food, etc. Don't spend much on clothes, as I wear a uniform for work and knock about in stuff I have. Car insurance is paid for by family member.

Bills, etc are joint so I pay half

rising_from_the_ashes

njs1999 wrote: »

Wasn't sure about the whole mortgage thing, so don't know if this reads right, but my real target is to try and wipe out any credit card debt.

Most of this is half of what my other half pays...

Sorry don't understand the above - are the mortgage / utilities estimates or actual amounts?

If you've included both salaries and household costs are shared (whatever the split) then you need to include the total figures paid and the total debts .... or I'm afraid it really won't make sense as the disposable income side (and therefore amounts to pay the debts) will be wrong.

Same with the "missing" things.....

njs1999 wrote: »

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2057
Partners monthly income after tax....... 2300
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 4357
Monthly Expense Details
Mortgage................................ 500
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 69
Electricity............................. 25 Is this accurate - seems low?
Gas..................................... 25Is this accurate - seems low?
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 40
TV Licence.............................. 6 Should be £12.12
Satellite/Cable TV...................... 30
Internet Services....................... 8
Groceries etc. ......................... 50 For 2? Seems really low
Clothing................................ 0 Need something here - even if it's low
Petrol/diesel........................... 200
Road tax................................ 15
Car Insurance........................... 0 Need figure here
Car maintenance (including MOT)......... 0 and here
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0 Need figure here
Pet insurance/vet bills................. 0
Buildings insurance..................... 15
Contents insurance...................... 0 Incl above?
Life assurance ......................... 0
Other insurance......................... 10 What's this?
Presents (birthday, christmas etc)...... 0 Need figure here
Haircuts................................ 0 and here
Entertainment........................... 10
Holiday................................. 0 and here - even if low
Emergency fund.......................... 0 and here
Total monthly expenses.................. 1043

Assets
Cash.................................... 0
House value (Gross)..................... 195000
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 197000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 190000...(500)......0
Total secured & HP debts...... 190000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Credit card....................2900......50........0
Credit card....................2847......50........0
Credit card....................1193......50........0
Credit card....................3220......50........0
Credit card....................1214......50........0
Total unsecured debts..........11374.....250.......-

Monthly Budget Summary
Total monthly income.................... 4,357
Expenses (including HP & secured debts). 1,043
Available for debt repayments........... 3,314
Monthly UNsecured debt repayments....... 250
Amount left after debt repayments....... 3,064
Personal Balance Sheet Summary
Total assets (things you own)........... 197,000
Total HP & Secured debt................. -190,000
Total Unsecured debt.................... -11,374
Net Assets.............................. -4,374
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Sorry can't comment on strategy for debts until the figures in the SOA are confirmed as being your costs & debts (in which case only incl your salary / share of the house etc) or joint

njs1999

Also, this has put my wife's monthly income for some reason, I thought it would've just allowed for my incomings/outgoings

rising_from_the_ashes

njs1999 wrote: »

Bills, etc are joint so I pay half

So ... if this SOA is your 1/2 of the bills & your debts - you need to remove your OH's salary from the income.

HappyMJ

njs1999 wrote: »

£150 per quarter each for gas and electricity is pretty accurate. I don't spend that much on going out/entertainment, etc, as had to cut back after getting married last July.

Also, £100 per month on food, etc. Don't spend much on clothes, as I wear a uniform for work and knock about in stuff I have. Car insurance is paid for by family member.

Bills, etc are joint so I pay half

You must be in a cold house. Fair enough if you want to use that figure then OK.

I agree you don't spend much on clothes but you can't put £0 down as a figure so put at a minimum at least £10 per person per month. Do you wash this uniform? Put the costs of that somewhere.

It's not just food....it's all groceries. Generally £100 per person per month is what most normal people spend on all groceries and moneysavers can get that down to £50 per person per month with a good deal of effort.

Why is family member paying car insurance when you have so much excess income...it's going somewhere. Where?

njs1999

I've tried it again, without wife's income, so hopefully will be more accurate

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household.........
Number of cars owned.................... 2
Monthly Income Details
Monthly income after tax................ 2057
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2057
Monthly Expense Details
Mortgage................................ 500
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 69
Electricity............................. 25
Gas..................................... 25
Oil..................................... 0
Water rates............................. 20
Telephone (land line)................... 20
Mobile phone............................ 40
TV Licence.............................. 6
Satellite/Cable TV...................... 30
Internet Services....................... 8
Groceries etc. ......................... 50
Clothing................................ 10
Petrol/diesel........................... 200
Road tax................................ 15
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..................... 8
Contents insurance...................... 8
Life assurance ......................... 8
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 6
Entertainment........................... 10
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1058

Assets
Cash.................................... 0
House value (Gross)..................... 197500
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 199500

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 190000...(500)......0
Total secured & HP debts...... 190000....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
CC.............................2900......0.........0
CC.............................2847......0.........0
CC.............................1193......0.........0
CC.............................3220......0.........0
CC.............................1214......0.........0
Total unsecured debts..........11374.....0.........-

Monthly Budget Summary
Total monthly income.................... 2,057
Expenses (including HP & secured debts). 1,058
Available for debt repayments........... 999
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 999
Personal Balance Sheet Summary
Total assets (things you own)........... 199,500
Total HP & Secured debt................. -190,000
Total Unsecured debt.................... -11,374
Net Assets.............................. -1,874
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

Tabatha_Kitten

rising_from_the_ashes wrote: »

So ... if this SOA is your 1/2 of the bills & your debts - you need to remove your OH's salary from the income.

Or better still, why not do the soa to include both salaries and full amounts for all expenditure then work through your problems as a couple.

HappyMJ

njs1999 wrote: »

Unsecured Debts
Description....................Debt......Monthly...APR
CC.............................2900......0.........0
CC.............................2847......0.........0
CC.............................1193......0.........0
CC.............................3220......0.........0
CC.............................1214......0.........0
Total unsecured debts..........11374.....0.........-

Monthly Budget Summary
Total monthly income.................... 2,057
Expenses (including HP & secured debts). 1,058
Available for debt repayments........... 999
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 999
Personal Balance Sheet Summary
Total assets (things you own)........... 199,500
Total HP & Secured debt................. -190,000
Total Unsecured debt.................... -11,374
Net Assets.............................. -1,874
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

I still don't agree the figures are realistic but anyway,...

You need to find out and enter all the APR's for all the debt's. These I assume are debts you ran up in your name and were not for the benefit of the household as you are paying them out of your excess income.

You need to pay all the minimum payments due then attack the highest interest charging debt first. You can according to your SOA and with no help from your partner clear your debts in 1 year. If your partner helped you then you could clear the debts together much quicker.