28 day nightmare!!!

Xbigman

Second accounts for bills is a tidy way of organising your money but I've always thought that, for the disorganised, it doubles your risk of a banking c*ck-up and therefore bank charges. But as an aid to getting organised a second 'bill' account is certainly worth a go.

I actually use a variant of the two account system. I pay for everything I possibly can on a credit card and leave the money for bills in my current account. All spare cash is transfered to my online savings account. Following month CC is cleared and money is transfered in or out of the savings account as needed.

The bottom line whether paid weekly, four weekly or monthly.

Budget, budget, budget.

Regards



X

Jockthearab

I can only reiterate much what everyone else has said re budgetting!

I get paid fortnightly. However my 'system' is that I have a sheet of paper folded in my wallet (just wrote out my new one today!) which I write on it my salary then every payment for that following fortnight...I have my mortgage payments, council tax & credit card bill come out of a 2nd account as these are my 3 biggest bills, therefore, I transfer (the total of these per year divided by 26), every fortnight from my current account to the 2nd account. My other direct debits are accounted for in that period, leaving me a total to spend or save as I wish.

My 'system' means that I know how much I have left to spend every fortnight (right up until August lol as I fold the paper in half and half again!) and I have noticed that June is a "3 pay month" which should make me feel rich BUT it never works like that...there's always a wee bill, unexpected party etc that pops up to take my new found wealth lol.

You just need to find your own system for budgetting & stick to it!

Iona_Penny

XBigman I think your way could work for someone who is very disciplined and paid the credit card off but I think this could be a recipe for more charges of DomMcg did not pay on time or in full. Perhaps when he is in control with his income/outgoing then maybe but my gut feeling is NOT YET !

Xbigman

I wasn't recommending this method to anyone, just putting up an option. I am very disciplined / organized (well in the last few years anyway) and I plot everything literally years ahead with all the regular and irregular bills covered plus birthdays, xmas and spending money allowed for.
I do agree this method can cause problems for anyone who is not organized, but then wouldn't any system?
We can all give advice on various methods of financial organization but the one underlying common denominator in all out advice is...

Get organized.

Regards


X

Iona_Penny

Sorry X mine too was just an opinion no offense intended. Truly wish I was as organised and self-disciplined as you and one day I aim to be!

Beginning to wonder if all are thoughts are reaching DomMcG ?

dougk_2

I think I would work out what the monthly bills are and deduct that from my 4 weeks pay and leave that alone. That way each year I would be having a bonus amount left over that I could use as I see fit.

So basically although being paid every 28 days I would class that as a month. Two bank accounts would help as each time I get paid I would transfer the "monthly" amount to the one where all the bills were being paid.

It is far more difficult when companies want you to pay every 28 dyas (some credit cards used to be like this) when you get paid on a set day of the month.

Xbigman

Iona_Penny wrote:

Sorry X mine too was just an opinion no offense intended.

None taken.

Regards



X

deemy2004

Keep a buffer on your account equal to the total monthly Direct debits. I don't see how this would be a problem since you do have an overdraft on the account

must_stop_digging

i used to have a problem with budgeting and 28 days pay however i have found microsoft money to be a great help as it gives a good cash flow prediction .However you must enter all withdrawls as well as your recuring bills,but this does help in realising were your money goes.

swampytiggaa

i get paid every 4 weeks too - what i have done is added up everything that comes out of my account - including my weekly spending money - and make sure that that amount is in the bank on the first of every month [regardless of when it goes out iyswim]

anything over and above this amount goes into a high interest savings account - so that all there is left in my account is enuf to cover the outgoings etc

i have savings accounts for the car and christmas/presents etc so if i have had to make a large payment i transfer that amount into my current account to cover it.

has worked so far for me...... altho it is a bit confusing at first