Budgeting Service?

getmore4less

A quick run over the SOA(as said DFW are the experts)

Some things need clarifying to give the bigger picture.

AngelPie78 wrote: »

Here is the SOA:

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household......... 3 (note: part time)
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 2465.76 (breakdown sources)
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2465.76

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 925
Management charge (leasehold property).. 0
Council tax............................. 5 (very low if student why not zero?)
Electricity............................. 100 (high)
Gas..................................... 100 (high)
Oil..................................... 0
Water rates............................. 76.88 (seems high)
Telephone (land line)................... 76.88 (this can be cut a lot even though it includes intrnet)
Mobile phone............................ 40 (aim for zero se other post)
TV Licence.............................. 12.55
Satellite/Cable TV...................... 0
Internet Services....................... 0
Groceries etc. ......................... 250 (looks low but kids are pat time so may be ok)
Clothing................................ 40 (£10 till problem resolves, essentials only)
Petrol/diesel........................... 130
Road tax................................ 18.75
Car Insurance........................... 80 (very high)
Car maintenance (including MOT)......... 30 (quite low given value of car)
Car parking............................. 13.75 (car costs are adding up why parking and bus pass?)
Other travel............................ 0
Childcare/nursery....................... 55
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 20 (review pets you can't afford them)
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50 (stop till you can afford them)
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 75 (stop till you can afford them)
Emergency fund.......................... 0
Debt 2.................................. 10 (should be in debt section)
Debt 1.................................. 10 (should be in debt section)
Simply Be............................... 10 whats this?
Very.................................... 25 whats this
Dog food................................ 25 (more pet costs)
Footall club............................ 7.5 (can't dad pay this?)
Bus Pass................................ 66 (who is this for on top of a car?)
Spotify................................. 4.99 (can't afford this)
Total monthly expenses.................. 2257.3


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 400 (must be old, so is maintanence above enough ?)
Other assets............................ 0
Total Assets............................ 400

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Council Tax....................175.......10........0
Childminder....................1080......10........0
Friend.........................1000......10........0
Scottish Power.................1000......0.........0
Uni............................390.......0.........0
T-mobile.......................416.97....0.........0
Three..........................889.51....0.........0
Shakespeares...................3490.42...0.........0
Orange.........................1475.5....0.........0
HMRC (Tax Credits ove..........13337.7...0.........0
HMRC (NI)......................175.05....0.........0
HMRC (Self Assessment..........495.32....0.........0
EDF............................1476.5....0.........0
Scotcall.......................1631.61...0.........0
Apex 2.........................3773.76...0.........0
Apex 1.........................1005.8....0.........0
BT.............................460.96....0.........0
Housing Benefit Overp..........1072.85...0.........0
CARS...........................136.52....0.........0
Childminder....................760.8.....0.........0
Lowell.........................56.67.....0.........0
Moorcroft......................200.06....0.........0
Total unsecured debts..........34501.....30........- (how many are frozen those that are still charging need the interest rate adding)


Monthly Budget Summary
Total monthly income.................... 2,465.76
Expenses (including HP & secured debts). 2,257.3
Available for debt repayments........... 208.46
Monthly UNsecured debt repayments....... 30
Amount left after debt repayments....... 178.46

Personal Balance Sheet Summary
Total assets (things you own)........... 400
Total HP & Secured debt................. -0
Total Unsecured debt.................... -34,501
Net Assets.............................. -34,101

I think you need to do a 2013 review to see what the money really went on, it always takes time to get an accurate SOA but you have a full year to use as your base line.

Look at your debt on jan1st 2013 total income for the year, debt on 1jan 2014 then try to work out where all the money went.

AngelPie78

dreaming wrote: »

OK - I see that looking at the big picture is a bit overwhelming right now, and you are concerned about the next few weeks, so it might be helpful to write down how much money you have now, how much you will have in the next couple of weeks, then how much in the next month or so. Then write down what you absolutely have to pay out. Forget about holidays/presents/clothes/debt payments etc. for now, just look at real necessities. Looking at your SOA I would say that you have about £700 (excluding rent but cutting food bills down to 150), so offer the landlord the £60 (you say you have 760 between now and then). If you can cut petrol costs down then give the landlord a bit extra. Look at where you can reduce your monthly outgoings for the future (car insurance is extremely high), and walking the kids to and from school, even at an hour and a half, is not undoable (not nice when the weather is bad I know but there are some dry days).
If your daughter receives cash from her father then can she not use that for her clothes/phone etc.? Or could she get a job babysitting for a bit of pocket money.
You say you are studying computing so could you use those skills to set up a cashflow spreadsheet for when bills are due/when income comes in etc., and do it on what you actually spend. SOA's are good for budgeting but don't always help to prioritise payments when you are up to your neck.
I wouldn't worry too much about your ex losing the house, or what family members might say. Right now your focus has to be you and your children.

thanks for this. There just always seems to be something going on as well which doesn't help. My daughter is 16 in a few weeks and we're going to London for the weekend. The activities, hotel and transport to London are paid for but I still need to pay for food etc. She'll pay for herself but it's still money I don't have [see? am ridiculous!] then my son is 5 two weeks after and his party needs to be paid for - though his dad and other family members are contributing and i've already paid £20 so I probably only need to pay £30 for that. Oh, and party bags and a cake -maybe I'll delegate that lol...

TBH, my car isn't insured or taxed at the moment, so i don't drive it. I need to have a VIC done on it [because I was not clever enough when i bought it] and that's £40 so I haven't bothered doing that. I don't really NEED the car, so that's something that can come straight off the list for the next few weeks at least.

Oh, I have amazingly beautiful budgeting spreadsheets all over the place. I even have a lovely budgeting binder and a great filing system. I just get annoyed when something comes up or it doesn't go to plan. I really do have the best intentions, but something always goes wrong. The inability to say "no", doesn't help :S

this is why I wanted to hand it all over to someone else. i know myself. i know I have no self control. I just want to hand over all my budgeting system, my cards and bank details to someone else and let them deal with it. I don't mind managing it, it's the actual doing that's the problem.

I have no problem having no cash available, as long as there is food in the cupboards and the kids are warm and clothed etc. I'm just always tempted by doing things and going out, and if the money is there, then I'll just spend it...

the problem is definitely short term.

MPH80

Honestly here's my take on this:

Please read this dispassionately.

Your budget says you have enough income to cover your outgoings. Clearly that isn't the case - so there's something wrong in the budget.

Here's how I'd deal with this:

Step 1 - stop all debt payments now. That will free up £45 a month. Do NOT stop the council tax.

Step 2 - stop paying the mobile contract - add it to the pile of debtors. Take your phone down to bob at the local market, get it unlocked, get a cheap SIM (like Ovivo mentioned above) and go pay as you go.

Step 3 - go through your wardrobe and your kids wardrobes - sell all old clothes - you've said your daughter needs lots of new stuff as she keeps growing - well - ebay the old stuff.

Step 4 - cancel the tv/internet/phone - if you can't cancel - stop paying. TalkTalk will do phone and broadband for £17.50 a month - take a new line and go with that.

Step 5 - Seriously reconsider the dog. I cannot tell you to sell or give away him/her as I know they will be a family member to you - but it's important to acknowledge that you cannot really afford them right now. £20 a month will make no difference in vet's bills and it's not like you're actually saving that right now.

Step 6 - stop presents for now. Until you've got yourself sorted, you need to stop presents. The kids would rather have a roof and food (although they may not say that) than presents!

Step 7 - stop the holiday - already discussed

Step 8 - cancel Spotify.

Ok - so assuming you've done everything in steps 1 though 8 - we've now got at least £320 a month additional free (ignoring any money made from the clothes).

Step 9 - Take 2 months of that savings - go bankrupt. I really don't see another viable alternative.

Now - how do you then get yourself organised? Well - you need to make some priorities first: Rent, Council tax, Food, Heat/Power, Transport.

So - here's what I'd do - you need to go as far back to the 50s form of banking as possible:

Setup the elec/gas/water/council tax on direct debit in a separate current account - take that £320 a month and make sure it is in that account - cut up the debit card that comes with it. I wouldn't pay in cash and you'll get discounts for the DDs.

Withdraw the rest of your spending (car/food/clothes/rent) in cash as it comes in proportionally (as you said it comes in through the month). Put it in coffee cans/jam jars whatever you need. Label them. It's much harder to think 'hey - we'll eat out/get takeaway' when the cash has to be taken from a jam jar labelled 'rent' or 'kids clothes'.

What happens when money comes in short in a month? Well - it's discretionary items that have to decrease in that month - such as clothing.

Only ever leave the house with cash. Put your debit card/credit cards in ice so that it takes 24 hours to defrost them before you can use them (you can't microwave a card as it's got metal in!).

So what do you do about expenses in the short term until you're in place? Well - here's the rub - you need to start thinking creatively. Charity shops for clothes and toys. Darning socks with holes etc. Obviously if the car breaks down - you've got bigger problems - but you just have to hope that won't happen in the meantime.

I know that's a lot to say - but I think it's the best advice if you're really struggling with budgeting.

M.

getmore4less

AngelPie78 wrote: »

I already owe him two months' rent. He won't evict me, but he won't be very happy if I don't pay it. I don't know what agreement I can come to, other than I'll pay him in April, which then brings me back to having to pay money from my loan for things in March/April rather than June onwards...back in the cycle again...

Thanks though x

Needs to go on the SOA

AngelPie78

getmore4less wrote: »

A quick run over the SOA(as said DFW are the experts)

Some things need clarifying to give the bigger picture.




I think you need to do a 2013 review to see what the money really went on, it always takes time to get an accurate SOA but you have a full year to use as your base line.

Look at your debt on jan1st 2013 total income for the year, debt on 1jan 2014 then try to work out where all the money went.

thanks for taking the time to do this, I really appreciate your help

I've made some adjustments to the first version of the SOA so that should answer some of your questions.

My daughter lives with me full time and she is my size so there's essentially two adults in the house all the time. I have my two boys half the time and they eat like trolls lol.

See my other post with regards to the car...

my gas and electric are extremely high but then I'm at home A lot, and most of the time in the day. My house is all open plan and so very cold. We have the heating on a lot. I am currently sitting here with the gas fire on, in three layers and my hands are freezing at the tips while I type...brrrr...

The parking is for the annual parking pass at Uni, otherwise it's £5 per day for three days a week to park. There is no free parking around uni, so don't bother asking that question. I haven't used the car in 2014 because it needs taxing and insuring anyway. I tend to bus or walk to uni. The bus pass is for my daughter to get to school. It used to be £33 but when she turns 16 in two weeks, she has to pay the adult fare of £66 per week. this may change pending a few other things, but i wanted to put worst case scenario in. She can't pay this out of her allowance, because she has other things to pay for and that is what her child benefit is for IMO.

I tried cutting the Virgin Media bill but it's a no-can-do. Same with O2 for the mobile. Contracts and everything.

The boys' dad REFUSES to pay for all of our son's football fees and I'm not having my child have no life because of my mistakes. Call me stubborn or whatever, but they miss out on so much as it is, he can have this one thing a month IMO.

I'm not getting rid of my dogs - I need them for my protection [long story].

none of my debts are frozen as far as i am aware.

i guess my daughter could probably pay the spotify for a while as I've paid in for a couple of years and she does use it aswell.

The Simply Be and Very are for clothes and are in my mum's name so I need to pay those. That's an essential.

I can tell you now where all my money went last year: eating out/takeaways (cos i get bored of cooking ALL the time), coffees with my friends or at uni, bits and pieces for my home and on craft things (I LOVE to make things!) and general other crap. I don't really have anything to show for all my money going. I know that's awful and I know it's a problem but I can't seem to break the habit.

There you have it

getmore4less

AngelPie78 wrote: »

thanks for this. There just always seems to be something going on as well which doesn't help. My daughter is 16 in a few weeks and we're going to London for the weekend. The activities, hotel and transport to London are paid for but I still need to pay for food etc. She'll pay for herself but it's still money I don't have [see? am ridiculous!] then my son is 5 two weeks after and his party needs to be paid for - though his dad and other family members are contributing and i've already paid £20 so I probably only need to pay £30 for that. Oh, and party bags and a cake -maybe I'll delegate that lol...

TBH, my car isn't insured or taxed at the moment, so i don't drive it. I need to have a VIC done on it [because I was not clever enough when i bought it] and that's £40 so I haven't bothered doing that. I don't really NEED the car, so that's something that can come straight off the list for the next few weeks at least.

Oh, I have amazingly beautiful budgeting spreadsheets all over the place. I even have a lovely budgeting binder and a great filing system. I just get annoyed when something comes up or it doesn't go to plan. I really do have the best intentions, but something always goes wrong. The inability to say "no", doesn't help :S
........

That's more of your rent money gone, do you really want to save the place you live or not.

Think every spend what does this do toward me keeping my home?

(edit: this is goal driven spending/saving)

bsms1147

AngelPie78 wrote: »

this is why I wanted to hand it all over to someone else. i know myself. i know I have no self control. I just want to hand over all my budgeting system, my cards and bank details to someone else and let them deal with it. I don't mind managing it, it's the actual doing that's the problem.

This will never happen.

You could start a debt-free diary, and while noone will directly take control for you, people will support you, and give you advice and encouragement along the way.

dreaming

AngelPie78 wrote: »

thanks for this. There just always seems to be something going on as well which doesn't help.
TBH, my car isn't insured or taxed at the moment, so i don't drive it.
this is why I wanted to hand it all over to someone else. i know myself. i know I have no self control. I just want to hand over all my budgeting system, my cards and bank details to someone else and let them deal with it. I don't mind managing it, it's the actual doing that's the problem.
the problem is definitely short term.

Well, if you are not driving the car you have immediately saved £130 this month so you could give that to the landlord as well as what I suggested.
I know that as a mother you want to treat your kids (and yourself) - especially as it seems you and they may have a had a rough time in the past. However, the best thing you can do for them is to take control and show them that you can learn from your mistakes. Unfortunately you are the only one who can get out of this mess, but there is help available. You just have to be open to accepting it and not keep repeating that you are useless etc..
And please don't take this the wrong way but debts of £34k is NOT a short term problem. You have to accept that this will take some hard work for a long time to fix - but you can do it. Please try posting on the debt-free boards. Apart from the advice about budgeting etc. the people are very supportive. A Debt-Free-Diary might help to keep you focussed when you feel down in the dumps with it all and tempted to spend.
I wish you well.

AngelPie78

MPH80 wrote: »

Honestly here's my take on this:

Please read this dispassionately.

Your budget says you have enough income to cover your outgoings. Clearly that isn't the case - so there's something wrong in the budget.

Here's how I'd deal with this:

Step 1 - stop all debt payments now. That will free up £45 a month. Do NOT stop the council tax. but what do i do about my friends/the childminder I am paying?? They've already threatened court action etc and I have to SEE them. They also know where I live etc. I don't really want them camping out on my doorstep. Not sure about this one do you think it's ok to do that?

Step 2 - stop paying the mobile contract - add it to the pile of debtors. Take your phone down to bob at the local market, get it unlocked, get a cheap SIM (like Ovivo mentioned above) and go pay as you go. but i love o2!!! I see your point. *sigh* think my phone is already unlocked. Will do this.

Step 3 - go through your wardrobe and your kids wardrobes - sell all old clothes - you've said your daughter needs lots of new stuff as she keeps growing - well - ebay the old stuff. excellent idea! Will get onto this asap.

Step 4 - cancel the tv/internet/phone - if you can't cancel - stop paying. TalkTalk will do phone and broadband for £17.50 a month - take a new line and go with that. will this blacklist my address? obviously a bit unsure as I rent and don't wanna cause the landlord any more problems? Great idea about Talk Talk

Step 5 - Seriously reconsider the dog. I cannot tell you to sell or give away him/her as I know they will be a family member to you - but it's important to acknowledge that you cannot really afford them right now. £20 a month will make no difference in vet's bills and it's not like you're actually saving that right now. got a better idea! will ask my ex-partner to help out a bit more. We got the dogs together so will have a talk about it

Step 6 - stop presents for now. Until you've got yourself sorted, you need to stop presents. The kids would rather have a roof and food (although they may not say that) than presents! *eek!* already got presents for the two who's birthdays are in the nextfew weeks and other birthday not until end of July so this one's easy

Step 7 - stop the holiday - already discussed yep

Step 8 - cancel Spotify. gonna get daughter to pay this

Ok - so assuming you've done everything in steps 1 though 8 - we've now got at least £320 a month additional free (ignoring any money made from the clothes). *that's on the assumption that this stuff is already being paid - it isn't really.

Step 9 - Take 2 months of that savings - go bankrupt. I really don't see another viable alternative. lol - the ex will love that one, but I'm with you there.

Now - how do you then get yourself organised? Well - you need to make some priorities first: Rent, Council tax, Food, Heat/Power, Transport.

So - here's what I'd do - you need to go as far back to the 50s form of banking as possible:

Setup the elec/gas/water/council tax on direct debit in a separate current account - take that £320 a month and make sure it is in that account - cut up the debit card that comes with it. I wouldn't pay in cash and you'll get discounts for the DDs.

Withdraw the rest of your spending (car/food/clothes/rent) in cash as it comes in proportionally (as you said it comes in through the month). Put it in coffee cans/jam jars whatever you need. Label them. It's much harder to think 'hey - we'll eat out/get takeaway' when the cash has to be taken from a jam jar labelled 'rent' or 'kids clothes'. have looked into getting a thinkMoney account which has been recommended. I think they do all this stuff for you will let you know when I hear from them.

What happens when money comes in short in a month? Well - it's discretionary items that have to decrease in that month - such as clothing.

Only ever leave the house with cash. Put your debit card/credit cards in ice so that it takes 24 hours to defrost them before you can use them (you can't microwave a card as it's got metal in!).

So what do you do about expenses in the short term until you're in place? Well - here's the rub - you need to start thinking creatively. Charity shops for clothes and toys. Darning socks with holes etc. Obviously if the car breaks down - you've got bigger problems - but you just have to hope that won't happen in the meantime.

I know that's a lot to say - but I think it's the best advice if you're really struggling with budgeting.

M.

Still doesn't solve my immediate problem but I think all of you are right for making long term changes

Like I said, the assumption is that all of this is being paid NOW and that I magically have over £2k in my account. But I don't. I have -£84.

AngelPie78

getmore4less wrote: »

That's more of your rent money gone, do you really want to save the place you live or not.

Think every spend what does this do toward me keeping my home?

(edit: this is goal driven spending/saving)

yep i hear you, but like someone already said, I'm not going to be evicted in the next few weeks and I am NOT having my kids' birthdays ruined by my idiotic behaviour. I have already spent a lot of money on my daughter's birthday. I am NOT having her 16th ruined and the same for my son. This is where my stubborness comes in. If there's three days a year where I think I'm allowed a little spending - it's then.