Forever home fund (Take 2)

edited 15 October 2014 at 7:51PM in Mortgage-Free Wannabe
91 replies 7.8K views


  • SuperSecretSquirrelSuperSecretSquirrel Forumite
    840 Posts
    Ninth Anniversary 500 Posts Name Dropper Photogenic
    Hi OM

    Sorry to read about your bad news last week, but glad to see you are going to stay optimistic - I've always found that it really helps :)

    I know when I first started getting organized financially that it seemed that for every few steps forward there would be a big jump backwards. Quite often these pitfalls were car related! I just looked on the bright side, the setbacks may have wiped out the savings made in the last month or two, but if I'd not made the effort to save that money in the first place it would have put me in debt, so I was still up on the deal. You'll soon reach a point where the tide has turned, and the setbacks don't push you back quite so much in relative terms. Once you've cleared the small debt you have, and are putting that money away in savings each month, you'll be in a good position. Any hiccups along the way will mean a withdrawal from savings, which is still painful sometimes, but nowhere near as painful as a total wipeout or even going overdrawn!

    You mentioned that you are using the 'envelopes' method of budgeting, a very good approach that works well for many people. I used to do something a little like this but instead of real envelopes with cash in they were columns on a spreadsheet and all spending done on a debit card for easy cross referencing with online banking (doesn't sound too exciting I know, but we're only talking 5 minutes effort per week). Later I moved to reward/cashback credit cards paid off in full each month to make a little extra on top again :) The reason I mention this is that you have a few items paid from cash envelopes that might be better off coming out as direct debits. I think utilities and tv licencing tend to offer a small discount for paying via direct debit? The savings may be small, but all the little savings add up... There is also the santander current account that offers extra cashback on bills paid by direct debit to consider. They do charge a £2 a month account fee so you'd need to run the figures to see if you'd benefit from this, but might be worth a look. Also worth noting that the 3% interest santander pay on savings is actually better than most savings accounts and they pay this rate on all balances between £3k and £20k! In the short term between now and getting to your first £3k in cash savings, nationwide offer an even better 5% on balances up to £2500, so that's probably worth a look too :) The amount of interest paid on a small savings balance when starting out might not seem like a big deal, but the savings balance keeps on growing, and soon snowballs, and earning a little interest is always preferable to paying a lot...

    Finally, you have found some amazing Christmas bargains, feel free to share your tips on saving 90% off rrp, I'd like to get in on that action :D

    Good luck with your plan, and always remain optimistic!
    Mortgage free at 35
    FIRE - 89.5% lean / 59.7% comfortable
    MFiT-T5 153.3%
  • hi all. still trying to sort finances after our set backs.

    hoping to start the new year under £1000 or under £500 if possible regarding the debt

    our new total is around £1250 if we are careful over the next few weeks it will be under £1000 by jan and hopefully close to if not under £500 which would be a positive start for 2015. ideally i wanted it all gone by 2015 but i dont think this is realistically achievable now. pay day Thursday so will sort out the money then for the next fortnight.
    200 weeks £25,000.00 / £700
  • hi everyone just a quick update. when all tranfers are complete ourdebt should be sat at around £1100 i think x

    ive got a bad headache this morning hoping it shifts soon ive got so much to do today

    hope everyone is well x hugs to those that need/want one
    200 weeks £25,000.00 / £700
  • hi SuperSecretSquirrel thankyou for your reply

    regarding saving money for xmas etc. i bargain shop in the sales

    im still no closer to finishing the xmas shopping
    got mil dad bro dp nana and grandma to buy for and ds1 main present to get :)
    200 weeks £25,000.00 / £700
  • Hi all just a quick update. This week has been good so far. Ordered ds1 main Xmas present
    Won £70 on the online bingo (only deposited once as a new member)
    Got £40 refund from the water company
    Received our £15 duel fuel discount voucher and the £12 government rebate voucher
    Not sure on finanicial update as I haven't worked out accounts yet so will update later
    Hugs to all. Take care
    200 weeks £25,000.00 / £700
  • just a quick update

    debt total once trasactions are complete £962

    i have budget for the rest of this week and next week so providing we stick to it we could have the debt at less than £750. fingers crossed ! small steps but we are getting there slowly :)

    we have made £20 today (pending collection) and i still have lots more to sell so its only upwards from here

    im no closer to completing the xmas shopping ... need to get my backside into gear !
    200 weeks £25,000.00 / £700
  • I've messed up my internet banking so no balance update :(

    I've been a very good girl and avoided temptation of black Friday :)

    I'm really proud of myself I'm normally first to make the most of the sales
    I still have grandparents mil dad bro and DP to buy for for Xmas but I'm slowely getting there
    Its babys first birthday tomorrow :)

    No news to update but I hope everyone is well hugs to all that need want one xx
    200 weeks £25,000.00 / £700
  • edited 3 February 2015 at 3:08PM
    optimistic-mummyoptimistic-mummy Forumite
    1.2K Posts
    edited 3 February 2015 at 3:08PM
    hi everyone ......... wow its been awhile since I posted .....

    its been oh so busy ... but im glad to be back to keep me on track

    so a little update from me

    the big one - we are now debt free as of last week!!!!!!!!!!!!!!! I'm oh so very happy .. this means I can now concentrate on building up our savings fund :D

    our first aim : save £2000 by April
    200 weeks £25,000.00 / £700
  • turtlemooseturtlemoose Forumite
    1.6K Posts
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    well done on being DF! :j :T
    MFW2021#27 - £364.88 / £1800
    1%MFW - £316.15 / £1070
    SIPP - £2264.40 / £3000
    (PAYE pension conts £107.56)
  • hi everyone hope you are all well
    thankyou turtlemoose :)

    so tonight I am buzzing ........ I have booked to do a lifelong dream of mine ....
    im going to be doing a skydive ... :):):) .. that's not the best bit im going to do it for charity too :):):) so ive paid the deposit for that ... im so happy I just had to share .. overall this week we have had a low spend week so everything Is great at the moment :)
    200 weeks £25,000.00 / £700
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