Getting a grip!

nicp60

That's so exciting! All the best of luck!!

nicp60

I've been trying to stop the fritter and random overspending that happens every single month, it seems. Doing an SoA is all well and good, but it doesn't stop me from overspending in certain areas and it's a rough guess at best.
I've downloaded YNAB software, which I'm actually finding quite good. It's slightly odd budgeting software, and for the software on its own I don't think I'd bother (it's $60). What makes it worth it for me is the phone app that goes with it. It makes me accountable for every little thing I spend (because I have to put it in a category and say exactly what it is) which makes me spend less. Only a few days so far, but I'm on track to get to payday without dipping into the overdraft (unheard of) and have really been thinking twice about everything I spend.

The main goal behind the software is to create a 'buffer' of money. Basically that's one month of expenses in your current account so that you could go for a whole month without using your pay. As I'm currently saving hard for my mat leave and baby stuff, that will actually take nearly a year to accomplish, but I really like the idea.

nicp60

I probably sound like an advert, but I don't care: ynab has seriously changed things for me! Although I did end up over budget and in my overdraft last month, it was a really really good lesson in not being able to live on fresh air for 2 weeks of the month! I kept a log of every single thing I spent and didn't have to raid my savings a bit to keep going (an achievement in itself!).

This month I haven't been able to save anything extra towards my mat leave (apart from the usual £200 for car/xmas/emergency), because I budgeted for £300 of baby equipment, a couple of date nights (£60 total) and a realistic 'misc' category (just £30). However, not only are all of those categories looking healthy (ie still some money left in each and not running low on vital loo roll/toothpaste etc), I will not actually touch my overdraft this month. That means that next month I'll start nearly £200 up.

I haven't missed any of the phantom £200 that I've been overspending every month. I've talked OH out of a couple of takeaways (partly because recently they've been awful) and shopped around a lot for some stuff too, but I'm pretty confident about sticking with it this month.

In short, £200 overdraft, plus £300 baby stuff, plus £60 date night, £30 misc, minus the £300 on average I've been saving = £290 I've been frittering every month.

OMG - really???? :eek:

AlexLK

Wow, I will certainly be trying to take a leaf out of your book, you are doing fantastically.

Also congratulations on your news. Honestly, you've no idea how much your life will change and what an adventure having a little one is.

nicp60

As you can see it hasn't been that easy. Bear in mind I've only kept this diary since becoming debt free. That's when I started to learn how to budget and stick to it, not before. It was just that in the darkest days I couldn't get any credit, so I had to live to my means.

Thanks for the congrats - any day now!

AlexLK

I am sat here feeling rather guilty about my own situation right now. As I doubt I would be able to get any credit either, living within my means seems the way forward ... nothing to stop us from trying to make our means higher though, eh?

Boy or girl or surprise?

abba1772

Well done on your savings your doing great xxx

My little boy arrived on the 20th August same day as his big brothers birthday lol xx

nicp60

Ahhhhh congratulations!!! Have a dodgy hug :grouphug:!!!

What lovely news - I hope you're all doing well!

Still nothing here (36+1), but baby's been fully engaged since 34 weeks and I'm hopeful of a 37-8 week birth!

nicp60

AlexLK wrote: »

I am sat here feeling rather guilty about my own situation right now. As I doubt I would be able to get any credit either, living within my means seems the way forward ... nothing to stop us from trying to make our means higher though, eh?

Boy or girl or surprise?

Why are you feeling guilty? You mustn't - it's such a waster of energy and emotion. Living within (and below) your means is so addictive - honestly it's an amazing feeling! You'll get there!

AlexLK

nicp60 wrote: »

Why are you feeling guilty? You mustn't - it's such a waster of energy and emotion. Living within (and below) your means is so addictive - honestly it's an amazing feeling! You'll get there!

Sorry, I just felt bad seeing you had much less to play with each month than Mrs. K and I, especially with a baby on the way. This time last week I honestly thought my wife and I had probably one of the lowest incomes for a family of three in the country. I am aware that my guilt is hardly helpful for either one of us and causes me to only feel low about myself. It was mainly because we waste so much money (or did) and realising we are perhaps not quite as 'poor' as I thought. However, this week we have both been rather good and saved lots.

On a more positive note, I am starting to get into this good feeling you are all getting from living within your means (see my diary.)