Mighty Titan Overdraft will crumble!

sunnyskies2

Hi there

Yes re OH overspending - it's like 'cruel to be kind' I guess:)

Thinking about using cc - it would make sense to put o/d on one - we got a mbna at 5% for life of balance transfer - only if you cancel o/d and put all the extra into paying off debt. I suppose, stating obvious, you need to check minimum monthly payment for that amount of loan - whether it's viable? -

hohum

Well this is interesting. The amount of income we've received this month is so far £1000 more than we had in last month, with the possibility of a few hundred more. Thus confirming in figures exactly how much the variation can be in our income.

Because we don't have real access to further credit,and haven't had time under the new budget regime to build up a car repair fund, this is our opportunity to fix the car. So £400 of the additional income has been allocated to car repair. I've moved £330 into next month, a partial of the YNAB principle of a buffer eg living off last month's income (so not living pay cheque to pay cheque is the idea). I also covered the remainder of the car tax (£70), hiked up my NI arrears payment to £90 this month (doesn't clear everything but gets me much closer), £90 off overdraft, £20 gift for my sister and errrr £80 on my birthday night away*

*Which to be fair is for two of us and includes travel, dinner, one excursion, drinks lunch and breakfast. Accommodation was a gift. But still

However it was great to be away and not worrying about what to spend and having regret after. We'd budgeted for it, we knew we could afford it so we relaxed and enjoyed ourselves. We updated our spending on the go all hail the budget!

Have some work trips this week which will need to allocate some spends to, so will pay attention to that I think. Need to do some more shopping and planning as we are somehow low on food again..

hohum

sunnyskies2 wrote: »

Hi there

Yes re OH overspending - it's like 'cruel to be kind' I guess:)

Thinking about using cc - it would make sense to put o/d on one - we got a mbna at 5% for life of balance transfer - only if you cancel o/d and put all the extra into paying off debt. I suppose, stating obvious, you need to check minimum monthly payment for that amount of loan - whether it's viable? -

The problem we have is that with income level we tend to get v low scoring/ acceptance on credit. Plus amount of credit I have proportional to income. So having looked at soft scoring I think our option would be 0% spending rather than balance transfer. Again it's something I'd feel more confident handling now but then again, it would be a FAFF to do. And can I handle another account to administer

hohum

Time flies!

So YNAB continues to make life easier. Had couple of days in London and no worries covering that. Money continues to rain on us through various little jobs, rent is now fully covered for next month (it comes out mid month so isn't as amazing as that sounds). But still, that takes the pressure off next month.

Car repairs, parts and MOT were covered with £430 so we are saving the £110 to cover the electrics - as boyfriend says,would be nice to be able to roll down the windows of car and also have central locking back!

Boyfriend continues to buy things THEN budget, but at least he's actually entering the transactions in the thing.

Challenges this week:

Actually finish my tax return!
Meditate once a day for 5 days out of 7
Prepare lunches (bought lunches twice last week)
Get three runs in
and some yoga

A thought that came out of some organisational devt work I'm doing: I need to believe that the fees I'm charging are equitable. For me that means operating at a standard of performance I'm happy with. So focusing on that, too.

Gosh but I'm feeling grumpy about doing work this weekend. Think about the longterm, I chose to do this..trying to think of other things to say to motivate myself!

hohum

Birthday cash gift of £100 from my Mum & Dad paid into account. I have stuck it in a birthday fund and will think about what to do with it. Have instructions to do/ buy something nice for me. Just allocated and stuck in a birthday category, for once not quite sure what I want to do with it!

We recently were kindly given a couple of bicycles which friend of friend had languishing in a shed. Mine should be rideable with some minor work (needs new tyres, brake cables adjusting, check over). So maybe some of the money will go on helmet and bike tyres. I am a fair weather cyclist and not enough confidence for roads at the moment (not ridden in 5 years!), however there is a traffic free route to work so some occasional cycle commutes would be possible. Plus I'm hopeful that it can be an activity boyfriend and I can do. I love walking and he...really doesn't but he used to cycle a lot so hoping there can be some nice easy cycle rides this summer.

I also did some sums and realised am not putting away enough to have the money for car next year. eek. So have adjusted spends, plus introduced tax category for our self assessment returns, realised also need to be setting that aside particularly for boyfriend.

hohum

Had to stop myself laughing at boyfriend yesterday as he continues to buy top up shops thus bumping our grocery spends over target this month. I should have my stern face on but I can't help laugh at how much he thinks he's being 'naughty' - and how much he enjoys himself, the cheeky get! He did actually check the grocery category before he spent but it didn't update on his phone, so I can't be too annoyed with him.

Plus I came back yesterday to find that not only had he come home early from watching football to do the washing up...but he'd also done an entire washing basket full of ironing! I was astonished!

so more good news on car front..only cost £40 in electrics! Woo! just a new locking mechanism for boot and we are good to go. I was thinking the other night that this is the advantage of a variable income when we haven't yet built up a car repair fund - we were able to cover repairs from this months income as our living costs are set to match our minimum income. I also tried to get boyfriend to admit the budget had made our lives so much easier, particularly with this is issue. He admitted it might have!

hohum

Feeling super pleased with progress. We haven't really done much but just handled the money better. Almost ready to do my end of month report, what a geek. YNAB has a reports feature that shows 'net worth'. It adds up debts plus assets available (for us that's cash). Ours is kind of inaccurate in that I haven't included my income contingent student loan but...we started with a net worth of -£2322, and right now it's -£416 . Most of that debt was my overdraft, and most of the assets are cash that's designated to be spent (on stuff like bills and food).. but still

Also completed my 2013/14 tax return. I earned just £8k last year but check us out without having majorly increased debt in the last year. That's thanks to my boyfriend subbing me majorly. And I get a £240 tax rebate which I shall allocate to reducing OD...meaning I will bring the OD balance down to -£1500 next month . It's actually -£1k at the moment, but that cash is allocated to other things. So I'm going by the YNAB balance category to tell me how much I have actually taken off. I include the interest payment in a separate category so this should tell me more accurately how much I have reduced the actual debt itself. I think.

Haven't done boyfriends tax return yet and really want to get on it...have a feeling we're going to need to pay some tax. If we do it now though we'll have until Jan to find the money.

liltdiddylilt

Hey there.

Thanks for dropping into my diary. I've popped in and read yours start to finish. I like your honesty and no nonsense style but I must confess to getting a bit frustrated from afar at your BF's overspends, and your (don't hate me!) I am the girl who can't watch comedy films because if the character is doing something they shouldn't be I get really upset/embarrassed/squirmy and have to leave the room. Felt a bit like that a couple of times!! Overall you're doing great. I personally couldn't live like this, with a variable income. I have enough on panicking over what day my tax credits gets paid on each month because I get 4 weekly payments! As for saving up to pay tax etc. I don't have the discipline! So well done you. And aren't parents lovely? My mum and dad always try and slip me money, even if its just bulk buying me toilet rolls. :rotfl:

I am intrigued, you don't say much about your actual job, other than that it is arty? What is it you do? I've heard colleagues and sewing mentioned!

Finally, thank you so much for mentioning YNAB. I had no idea it existed til then, and have already downloaded it and am reading the rules with much excitement. When I was in debt I used a £1.99 app on my phone to track EVERYTHING. Every spend. I even had a section for the money that was in my purse. If I spent £1 on mistletoe from the market at Christmas (I did) then my budget knew about it. Unfortunately working solely from my phone didn't work great long term. I opened a spreadsheet and lost the will with the app. I recently restarted it, but not to track any 'spending' other than my DD's in one 'account' and my income in another, wild and varied as it may be month to month due to 4 different payment schedules! I couldn't keep up, but now I know that in October I get my tax credits twice in one month! So going to enjoy YNAB since I fell off the not being spendy spendy wagon a while back!!

Will subscribe and pop in again soon!

hohum

liltdiddylilt wrote: »

Hey there.

Thanks for dropping into my diary. I've popped in and read yours start to finish. I like your honesty and no nonsense style but I must confess to getting a bit frustrated from afar at your BF's overspends, and your (don't hate me!) I am the girl who can't watch comedy films because if the character is doing something they shouldn't be I get really upset/embarrassed/squirmy and have to leave the room. Felt a bit like that a couple of times!! Overall you're doing great. I personally couldn't live like this, with a variable income. I have enough on panicking over what day my tax credits gets paid on each month because I get 4 weekly payments! As for saving up to pay tax etc. I don't have the discipline! So well done you. And aren't parents lovely? My mum and dad always try and slip me money, even if its just bulk buying me toilet rolls. :rotfl:

I am intrigued, you don't say much about your actual job, other than that it is arty? What is it you do? I've heard colleagues and sewing mentioned!

Finally, thank you so much for mentioning YNAB. I had no idea it existed til then, and have already downloaded it and am reading the rules with much excitement. When I was in debt I used a £1.99 app on my phone to track EVERYTHING. Every spend. I even had a section for the money that was in my purse. If I spent £1 on mistletoe from the market at Christmas (I did) then my budget knew about it. Unfortunately working solely from my phone didn't work great long term. I opened a spreadsheet and lost the will with the app. I recently restarted it, but not to track any 'spending' other than my DD's in one 'account' and my income in another, wild and varied as it may be month to month due to 4 different payment schedules! I couldn't keep up, but now I know that in October I get my tax credits twice in one month! So going to enjoy YNAB since I fell off the not being spendy spendy wagon a while back!!

Will subscribe and pop in again soon!

I also never used to be able to watch the office because not able to deal with the social embarrassment It's a funny one - I use this to vent so suspect boyfriend's other fine qualities not exactly being showcased. We've both been avoiding being responsible about money in our own ways. He just is how he is. I had a previous 4 year relationship with an utter mooch, in contrast boyfriend is positively enlightened so perhaps that's why I have the reaction I do!

I have to say YNAB has been totally awesome in helping to handle our variable income, I hope you enjoy using it! (I will try not to evangelise in case it puts you off but seriously, it's ace). As I'm sure you know, it's surprising what you can handle. And there can be advantages eg fixing the car without using credit or savings! (next year there will be savings though). We don't have kids and I'd probably panic more if that additional responsibility was thrown in...but to date in ten years each of doing this, we've always been fine! YNAB gives me the glimmer though of more security and now I've experienced it a bit, I definitely want to keep doing it.

My job - I work in the arts in project management. It's a small field so I'm being deliberately vague as if you knew me you could probably identify me ten times over from what I've written! So whilst I work with creative people, I don't actually make stuff. Although I definitely have to use creative problem solving (honestly, some of the things you end up having to deal with & phone calls you make are pretty funny).

liltdiddylilt

Haha awww I am sorry, I didn't mean to make you out yourself. If it helps, I have no idea who anyone is on this board, save from my lovely HAW who I met on the board and slowly invaded her life until I basically live in her head..

And to make sure you don't know me... I am 28, live in Folkestone, originally from oop north (the midlands but I have been here so long 'northerner' is no longer an insult. Jellytot is a play on my daughters name.

Your job sounds fun. Working for yourself also fun but nerve wracking in the extreme. Since having jellytot I am a lot more inclined to stick at what I do and just deal with it for the regular paycheck. I work in finance so the fact that I ever got into a debt is a worry really... :rotfl:

YNABing it up tonight. I didn't actually hit the start free trial button last night as I didn't want to use one of my days ineffectively. I probably won't actually start it tonight either. Just studying it! Tomorrow promises to be a day of juggling an early visit from my in-laws plus ironing so I don't want to start it until I can throw myself at setting it up! Meanwhile I will try not to spend haha!