A quick write up

ontherightrack

Hi all I've snooped through MSE for a while now and although I dont have huge commitments at the moments I have some plans to come into place within the next few years. Soooooo, I thought I'd write my current situation down.

Im 20 and working full time as a machine operator (have been for 2 years) the pays not great but its secure and some flexible hours are available.

I live with my dad and his partner along with my 18 y.o. brother, 18 month old sister and my dads GF's kids.

I drive a car and although its not essential I would like to keep it as its one of the few luxuries I have.

So heres my situation

I earn 15k a year before tax but I work a lot of overtime so its around 16k. so that equates to around £260 a week after tax

monthly income/expenditures

Income
Wages ........... 1000

Costs
Rent..................................200
Insurance ..........................120
Fuel ..................................120
Mobile ...............................20
internet .............................40
Groceries............................80
takeaways..........................40
clothes...............................20
car maintenance..................30
Birthdays............................20

Debts
Catelog#1

I took out £700 from a catalog which paid for Christmas presents last December as i hadn't saved up any and so far I've paid back £480

Barclaycard

When Barclays sent me a letter advertising a credit card just for me I jumped at the opportunity maxed it out and regretted it ever since unfortunately i haven't ever missed a payment but i still owe them £450

Catalog ................£220
Barclaycard............£450

ontherightrack

As we live in a 3 bed house its about time me and my brother looked on about moving out. This was never the previous plan but circumstances change and its a little crowded.

Ive thought about when we should move and decided on spring 2016 that gives me time to sort out my debts and save up hopefully around 3-4k to move out with.

Im looking at getting a better paid job yet I didnt go to university. theres a lot of factory work around UPS,TNT,Ocado that pay a lot better some of them are around £10-£11 p/h.

If my brother and I move out it'll be a 2-3 bedroom house and ideally we want to keep a car (probably mine as he still cant drive yet and insurance is extortionate)

Tixy

Hi

It is good to start budgeting whilst your outgoings are fairly low.

£260 a week would actually be around £1125 a month, which makes things a bit easier.

Don't forget to budget for car tax. Also you mention xmas - are you saving up for it this year so you don't have to go for a catalogue again? is it included in the £20/month birthdays?
(If you did spend £700 on xmas presents then I would try to reduce that a lot this year).

Do you know where the rest of your money is going? is it all going on debts or is some of it going on entertainment/going out etc (it may be worth giving yourself a set budget a month for going out and then trying to stick to it)

If you are planning to move out then ideally as soon as the debts are paid off you want to be looking to put some money in to savings each month.
How soon until you renew your car insurance next? are you expecting much of a reduction this year?

Whilst maxing out that credit card wasn't a great idea - it is something most of us do at some point, hopefully now you have done it once you won't fall in to that trap again in the future!

Good luck with your plans

Power_and_Pride

Is the £200 board that you pay? Is your groceries and internet not included in that figure?

£120 seems a lot to use fuel-wise unless you work miles away from where you live. Could you not cut this down to plough extra money into your debts to reduce them quicker?

ViolaLass

According to your budget, you have £310 left over each month (and possibly more if Tixy is right). Is this the amount you find you actually have? If not, your budget is not accurate.


If you do have that much left, you should have been able to pay your Christmas debts off a lot more quickly.

theoretica

I suggest that you budget to live on your normal pay (£1096 a month unless you are paying to a pension - if you can get free money by doing so grab it) and put overtime to something special - whether savings for moving out, replacing your car when it dies, next christmas or something else you choose.

As mentioned above you have about £300 a month left over on your budget (and could squeeze takaways a little) so should be able to be debt free with saving in three months - go for it!

ViolaLass

Are you paying for the internet on your own? Does no one else use it and therefore contribute?