Seriously Irresponsible Spender :( ..Desperately need advice....

in_a_pickle9

Triggles wrote: »

The parking is a necessary evil unfortunately. The only reason I questioned it was because you had parking expenses but no vehicle expenses. If it's a company car and they pay all expenses, that makes sense.

If you are renting, then contents insurance is a good idea. Life insurance, I guess that depends. We have children, so obviously life insurance (and a will) is a must for us. If you have anyone that relies on you for assistance (elderly parents, siblings, partner, whatever) it never hurts to look into it. You can get good term coverage at a number of places for as little as £5 per month.

Good idea to quit smoking. Every time you think about lighting up, just picture yourself puffing away on a rolled up five pound note... you may just as well smoke the money itself, it's such an expensive habit. The smoke also causes discolouration to your clothing, teeth, and most likely car interior (if you smoke in your car). That not great either.

As far as clothing goes, I can see the need to replace tights, as they are irritatingly easy to damage. You can minimise wear and tear on your shoes by taking good care of them, for example, I always kept a pair of flats in my car, and slipped them on (and the heels off) when driving. Easier to drive in, and less wear on the good shoes. Also helpful if the weather is rainy or snowy, as you don't have wet feet that slip off the pedals. Your work suits should last longer than 3-4 months. Are you replacing suits/outfits that have actually worn out? Or are you simply buying new because you're looking for a change. If wearing out, look at why it's happening so you can remedy it. If looking for a change, try using different accessories - new look with less expense.

As far as grocery shopping is concerned, if you meal plan, it will be much less expensive. You also won't have to keep popping back into the shop throughout the week, which is the "kiss of death" at our house. The more frequently we go to the shop, the more impulse buys we end up with. We try to avoid it at all costs.

Once you've figured out your budget for expenses, then figure out what you have left over. Even if it's a small amount, put a little aside for emergencies, then use the rest to start paying off your debts. Then as you pay off one debt, use that money towards another debt, and so on. Once the debt is paid, make sure you put that money you were putting into debt into savings instead.

As far as spending, you'll have to develop that self-discipline. And even though your partner is handling all the bills, make sure you know what is going on. Not because of any trust problems, but simply because if he is ever ill or called away for some reason (work/family/whatever), you need to know how to handle the accounts just in case.

Hi Thanks for your help....

Good idea about wearing different shoes for driving as I go through so many pairs of work shoes and thinking about is, its driving that makes them tatty and wear down so quick. As for the work suites, I seem to buy quite cheap suites, some I even buy from Primark and they just don't last 2 minutes, the dresses split, zips go etc so I spend a fair bit on work dresses/skirts/jackets. I like the next suites but they just seem to be expensive £70-£100 for a suite, but maybe this would work out cheaper in the long run?

As for the food shopping...my weakness exactly is picking up my lunch on my dinner hour and thinking "oh I'll just pick some of this and that up"....before I know it I've spent £20-30 2-3 times a week. I also find it difficult as I spend alot of time at my partners at the minute so food doesn't last,stay in date or get used when I do a shop and I end up then nipping to the supermarket with my partner and spending again!! grrr......however we have agreed that in a few weeks when we are living together we will do a food shop once a week and thats it. I'm also going to start making a pre packed lunch for us both daily so we don't spend at work...(however I think he will still spend as about 8 of them cook a meal together daily) but thats up to him.

I am seriously trying to change my mindset as I need to start feeling financially secure and I would love more than anything to have a rainy day fund. As soon as something unexpected crops up, I'm panicking about where I'm going to get the money from etc.

Thankyou for your help x

in_a_pickle9

XXSCOTSLASSXX wrote: »

On your soa the Rossendale debt shows as £20 .... Monthly payment as £450 per month am assuming this is an error and figures have been inputed in wrong order .... therefore once amended ul have an extra £430 available for repayments??

OOOps, yes sorry this is the wrong way round.....I am going to do another SOA as I don't think the above one includes everything....

in_a_pickle9

gfplux wrote: »

Does your partner know of your irational and erratic behaviour. Have you discussed it with them. Maybe they can be of help.

Yes he does know that I spend money when I am skint and I'm quite open with him about it, however I don't think he's perfect with money either but hes 10 years older and I is a tad more responsible and most of all has a good credit history.

in_a_pickle9

rising_from_the_ashes wrote: »

Haven't looked at the SOA in detail (the "normal" MSE one is here http://www.makesenseofcards.com/soacalc.html).

Just wanted to say that I was you IYKWIM a couple of years ago.

I've never managed to budget properly and when annual things came in, they just got stuck on an ever increasing credit card balance:o

Best advice I was ever given - set up a separate account for all your bills. Transfer a set amount each month to cover them (and a tiny bit extra if you can for the odd emergency) and don't touch it ever

You never need to worry about d/debits not being paid, what's really left in your account etc:T

Re everyday budgeting for annual bills, I now also have 3 savings pots (I did get up to 12:o:o when I first started as was worried about combining them!) - House & Car, Pets and Others (clothes, dentist, presents etc).

I keep a spreadsheet for each one and note the transfer amount each month and the money to be paid out each month (I pay everything on my credit card & clear each month so only one payment in & one payment out each month which makes it nice & easy:)).

Touch wood - is working really well and is starting to get easier (I had to overpay pots at the start to get them to enough money to pay stuff that fell early in the year).

Treat the pots like the d/debit account - nothing is taken out of there, unless it's for that particular thing. HTH & good luck:)

I have recently started using a seperate account for bills and have started doing it, but things are still a little messy, I have just opened a new account with RBS and Natwest both with Visa cards as I had visa electron and maestro and found I was restricted in using the cards in certain places.
So the plan is to use Natwest for Salary and RBS for bills and stick to it every month. Do you still use the 3 different savings? This is quite a good idea....I have an account with Halifax and 2 savings accounts with them, a current and savings with Yorkshire bank and now a current account with Natwest and RBS....not sure if this is too many??? Or maybe I could utilise them to save seperate for different things and record on a spread sheet? Is this a good idea?????

in_a_pickle9

theoretica wrote: »

You are moving in with your partner to save, but don't have savings down on your SOA. Is the agreement that you will pay your debt off fast before you save? I suggest you make your debt overpayments, or payments into a savings account directly after payday so you don't see tempting money left over.

As you have a spending problem can you change your habits so you stop spending time near shops or other places you are likely to spend? Do you have hobbies to take up your time away from shops?

What have you bought you could sell? Selling things on (and seeing how much less you get than you paid) may reduce the attraction of buying, as well as paying off some debt, and perhaps using up time when you might be tempted to buy.

Hi by debt over payments do you mean if I have extra money left over, to transfer money in to a savings account to pay extra on debts?

I have just got back into going to the gym and training, also I have recently become interested in sewing, so I am doing a course in september to learn dressmaking and hoping long term I can make some money out of this.

In regards to what I have bought....nothing of any value really, I pick random bits and bobs up in the supermarket and bits and bobs but nothing of any value, however with moving I am having a clear out so will be putting what I can on ebay. I did a carboot a few month ago and got rid of alot then.

in_a_pickle9

Here is a revised summary of what my income/expenditure should be when I move.....I can't believe how much money I must spend on rubbish as I literally run out of money a few month after pay day. I can obviously save my stopping smoking and cutting out meals at work and take a pack up.

I have tried to lower my mobile phone tariff but they won't allow this until August next year due to my 24month contract! grrr.


Summary

Monthly Budget Summary Amount(£)
Total monthly income 1,600
Monthly expenses (incl. HP & secured loans) 1,267
Available for debt repayments 333
UNsecured debt repayments 208
Amount left after debt repayments 125
Personal Balance Sheet Summary Amount(£)
Total Assets (things you own) 0
Total Secured & HP Debt -0
Total Unsecured Debt -1,631
Net Assets -1,631
Income, Expense, Debt & Asset Details

Income Amount(£)
Monthly income after tax 1600
Partners monthly income 0
Benefits 0
Other income 0
Total monthly income 1600
Expenses Amount(£)
Mortgage 0
Secured/HP loan payments 0
Rent 410
Management charge (leasehold property) 0
Council tax 0
Electricity 0
Gas 0
Oil 0
Water Rates 0
Telephone (land line) 0
Mobile phone 45
TV Licence 0
Satellite/Cable TV 0
Internet services 0
Groceries etc. 120
Clothing 30
Petrol/diesel 0
Road tax 0
Car Insurance 0
Car maintenance (including MOT) 0
Car Parking 40
Other travel 0
Childcare/nursery 0
Other child related expenses 0
Medical (prescriptions, dentists, opticians etc.) 7
Pet Insurance/Vet bills 0
Buildings Insurance 0
Contents Insurance 10
Life Assurance 0
Other Insurance 0
Presents (birthday, christmas etc.) 40
Haircuts 7
Entertainment 0
Holiday 100
Emergency Fund 0
Lunches at work 40
Cigarettes 130
Nails 20
Savings (would like to save pm) 250
gym 18
Total monthly expenses 1267
Secured & HP Debt Description Debt(£) Monthly(£) APR(%)
Mortgage 0 (0) 0
Secured & HP Debt totals 0 - -
Unsecured Debt Description Debt(£) Monthly(£) APR(%)
Wonga 411 59 0
Moorcroft 200 39 0
Rossendales 450 20 0
credit card 430 50 0
Sky debt 80 20 0
Iqor 60 20 0
Unsecured Debt totals 1631 208 -
Asset Description Value (£)
Cash 0
House Value (Gross) 0
Shares and bonds 0
Car(s) 0
Other assets (e.g. endowments, jewellery etc) 0
Total Assets 0

DCFC79

OP use the link posted in reply #15 for the usual SOA layout,no need to make a new reply but edit reply #17 and paste in the SOA.

in_a_pickle9

DCFC79 wrote: »

OP use the link posted in reply #15 for the usual SOA layout,no need to make a new reply but edit reply #17 and paste in the SOA.

This is what I used, I entered all the details and went to print format and copy and pasted.... Have I done it wrong? X

in_a_pickle9

Ohhh so today I receive a cheque from the tax man for £350 so what do do with it?

Do I....

1. Pay something off with it? If so what?

2. Put it straight into savings to give me a head start on my safety net/rainy day fund and continue to make monthly repayments on the debts?

Welshy213

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 1600
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1600

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 410
Management charge (leasehold property).. 0
Council tax............................. 0
Electricity............................. 0
Gas..................................... 0
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 45
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 120
Clothing................................ 30
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 40
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 7
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 10
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 40
Haircuts................................ 7
Entertainment........................... 0
Holiday................................. 100
Emergency fund.......................... 0
Gym18................................... 0
Nails................................... 20
Cigaretts............................... 130
Lunches at Work......................... 40
Total monthly expenses.................. 999


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

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Wonga..........................411.......59........0
Moorcroft......................200.......39........0
Rossendales....................450.......20........0
Iqor...........................60........20........0
Sky debt.......................80........20........0
credit card....................430.......50........0
Total unsecured debts..........1631......208.......-


Monthly Budget Summary
Total monthly income.................... 1,600
Expenses (including HP & secured debts). 999
Available for debt repayments........... 601
Monthly UNsecured debt repayments....... 208
Amount left after debt repayments....... 393

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -0
Total Unsecured debt.................... -1,631
Net Assets.............................. -1,631