To Freedom...

kirstypark

every time i look, i find more things to do. really fancy seeing Rock of Ages - I am an old rock chick from the 80s. And there is a Bourbon bar where they play all the cheesy 80 music, so that is a definate. We keep saying we might never be back, so should probably see the grand canyon too, but that is expensive. It is so easy to get carried away.

Thank goodness it is friday...

kirstypark

i am getting obsessed, logged on this morning to see if we hava managed to knock another month off our final date and with the interest the total was creeping up to just over 55k, so overpaid another 100, but things are tight now...

And i need to spend the day shopping with the dd who needs new shoes and wants a day trawling round the shops with her mam.

niftythrifty33

I've just be reading through your diary, it's very inspiring.

I just wondered, when you say you made each overpayment do you always know you've got enough sitting in the bank for DD's/card payments etc? Or do you only overpay when you have extras on top of usual bank money?

I am really keen to pay extra off our mortgage (we have set up 100.00 p/m) but we also have a credit card of 3k on 0%, plus we have about 1.5k in savings. But others on here recommend paying the card off first, would you agree?

Also wondered how you got DH interested? mine just isn't bothered by all this budgeting stuff!!

Thanks, and look forward to reading about your journey

kirstypark

hello nifty. I have just read your diary. A few answers for you...

I get paid the last day of the month, and all my DD come out the next day. OH is self employed,but business is poor, so he gives me what he can that I use for petrol and food. The kids are in their 20s and both give me some rent every month, dd is only here for a few months as she works abroad mostly so obviously does not pay then. OH has 2 part time jobs, and any earnings from these are overpaid. I have a part time job and can make overtime at my own work so any extra I make gets overpaid. I have a slush fund where i transfer spare cash over, then a couple of times a month pay that to the mortgage.

It is recommended to pay off debt first, our overdraft used to cost us 30 a month, that is 30 i now overpay. At the moment, we don't save much as I can always claim our overpayments back if needed. to be honest, if I had cash sitting somewhere I can get it the temptation to spend it would be too great.

Oh was not interested at first, I had a health scare and was faced with having to give up work. At the same time, his dad died suddenly leaving nothing but a pile of debt. That motivated us to paying off this as quick as we can. If all goes well then we will have 10 years to build up savings and maybe help the kids buy a place.

niftythrifty33

Thanks for your reply. I'm sorry to hear about the circumstances that led you both to reconsider your finances.
I suppose what I can do is work out how much is left in the current account at end of month after DD's and standing order then just transfer that. But I have a fear of something coming up and ending up back in the overdraft. I also feel confused as to where to throw spare cash, Mortgage, mortgage loan, credit card, savings?? I know I need to make a decision about this and just focus on one!

Keep going with what your doing and with the blog, it's very encouraging

lulabelle1

Nifty thrifty 1 have you thought about using a spreadsheet to manage your current account. I've done this for as long as I've had a computer and before that I wrote it all done....

It shows all money due in and all money due out... I know to the penny how much I have for spending, saving, overpaying etc etc.

It will take a few months of close attention to know exactly what is needed and then you should be able to plan a little bit more in regards to allocating "spare" money.

Kirsty - I agree with you in regards to savings. I've tried this and just end up spending it, I'm no good with temptation. I prefer to op, when its gone its gone. Although, like you, we can take it back with no problem, so if things went ti#s up we could ask for some back. I'm only be likely to ask for it back if we had serious financial issues or wanted to extend the house or something, rather than me thinking I needed a new dress for a night out! Night out, who am I kidding, I rarely leave the house!!

niftythrifty33

Lulabelle, thanks for replying. I have used a spreadsheet for past 14 months. But don't think its for the same as what you're talking about. I transfer £340 p/m to a savings account. On a spreadsheet I have a list of about 10 things (Christmas/birthdays/car tax/clothes etc). Each month I divide the full amount into the various pots, each time I spend money related to each pot I use the debit card then transfer that money back into current acct. This works well for me but if there's an even better way or more complex way then I would like to learn how. I write in a pad each week what the weekly cash has gone on but like I said before I still don't know whats spare in the bank as it goes up and down all the time!

Do you have an example of the spreadsheet?

lulabelle1

niftythrifty33 wrote: »

Lulabelle, thanks for replying. I have used a spreadsheet for past 14 months. But don't think its for the same as what you're talking about. I transfer £340 p/m to a savings account. On a spreadsheet I have a list of about 10 things (Christmas/birthdays/car tax/clothes etc). Each month I divide the full amount into the various pots, each time I spend money related to each pot I use the debit card then transfer that money back into current acct. This works well for me but if there's an even better way or more complex way then I would like to learn how. I write in a pad each week what the weekly cash has gone on but like I said before I still don't know whats spare in the bank as it goes up and down all the time!

Do you have an example of the spreadsheet?

Sure, if you send me your email address on a private message I will send you my "monthly template" - It consists of all the regular monthly stuff and then it gets updated every time money is spent.

kirstypark

you sound very organised, nifty. I don't think there is a better way, money can only stretch so far. I always have spare sitting in my slush fund in case i have forgotten anything so I can transfer it back, and when it gets to over a certain amount thats when it gets overpaid, like Lulubelle says it took a few months before I knew how much money I should have to play with every month.

Lulubelle, I am glad I am not the only one who has no will power. Just yesterday OH was looking through his classic car mag at cars for sale, I know if he could get his hands on 5 k we would be proud owners by now... He is lucky that I let him buy car p@rn...

My new dress is now too big. Had another look on viviene of holloway, talked myself out of it again and remembered an alteration shop in our town. She has pinned it to give me some shape and will get it back to me next week. quoted me £30:eek: wish i could sew...

lulabelle1

ITA - too much of a temptation if its sitting in an account with some easy access. Even though we can get overpayments back, it still means filling in a form and waiting a week or so, this is enough to put me off and give me the time to consider whether I really want to be spending the money!