Years of Breezing: Time to Break the Cycle!

itskat

We did indeed visit the local KFC on the way home yesterday.



I should only have one thing to buy this coming week, and that's the food shop for the house (£25-£30). It's going to be a very budgeted, very boring week Then only one weekend to live through and it's pay day again!

I am enjoying my Netflix binge, and that should suffice to keep me entertained through the long evenings. Currently working through "House". Find it very formulaic, but Hugh Laurie is just great, so I'm overlooking its flaws.

The weather forecasted snow tonight. I'm going to bed with the hope that the world won't be dusted when I wake up, because c'mon...no one needs that on a Monday morning.

bugslet

I've just bought YNAB as well, I did try it before, but never really commited IYKNWIM. In the reverse to you, I pay for everything I can in cash.

I like reading what people are getting up to, so ramble on;)

Jena666

A new subscriber over here 😁

Keep going Kat you're doing really well!

liltdiddylilt

Hi Kat

I am agreed that card is much easier but I have so many unavoidable ransactions where I pay a premium if I use my card that I have to be able to transfer c ash and track it. I use the reporting a lot, especially to keep track of Christmas spending!

I love YNAB for the ability to make it work for every individual no matter what the payday etc x

snowscreamer

Hi, I'm going to subscribe too! Your situation seems to be fairly similar to mine - not lost all senses but equally have some debt from (mostly frivilous) spending that could have been avoided.
Oh and I am also a YNAB fan. Actually had it since last November before we bought the house that triggered our fall into debt and been updating it pretty regularly but I've only just after a realisation that debt does need to be tackled started updating more regularly, working out where we can save money and actually setting a budget. Previously we were only using it to 'keep track' as it were, and not to set limits
Well that went well!!!

Anyway here is my thread if you are interested and good luck with your plan! Sounds like you are definitely already on track. https://forums.moneysavingexpert.com/discussion/comment/67186545#Comment_67186545

itskat

Hello snowscreamer, Jena666 - welcome!

Sorry you're being restricted in your card use, liltdiddylilt, but hey, at least you're making your cash work for you

Okay now. Okay. OOOOoooookkkay. This week. Thiiiiiiis week.

I don't know what it is with the last week of a pay period--maybe it's because I envision the funds coming into my bank and get momentary madness--but I've stumbled again.

This time I bought a new phone. £300. (RRP was £450, so it was discounted, but that's not really the point.)

However, I didn't put it on a card this time. I paid for it using the savings I was holding onto and the residual income from November/December that I was supposed to use to make overpayments on the credit card once I get paid next Monday. I knew it: money that's in my account is a time bomb.

I know, I know. I'm a bad monkey. I have no excuse. I just wanted a new phone.

Worse still, unlike the laptop purchase, I really had no need for a new phone. The old one's fine.

I've put the old one up on eBay--I'll probably get around £100-£150 for it, since like I said, absolutely nothing wrong with it. The ones already up there are going between £130 and £190, but mine has some cosmetic damage which I reckon will affect the price (put it up for £99 start today, no bids, one watcher--3 day listing). Whatever it sells for, I'll pay it against the credit card.

I think I need to work on my mindset, since my lightbulb seems to keep flickering on and off.

Anyway, never mind.

When I get paid on Monday, I'm going to put all of the residual income I have from my budget for December/January against the credit card straight away. I can't risk having it (virtually) lying around in my bank account--the risk's just too high.

itskat

Also, in an attempt to fix my attention to the end goal, I've filled out an SOA properly.

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household......... 0
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 1325.82
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 1325.82

Monthly Expense Details
Mortgage................................ 343.7
Council tax............................. 80 (Paid over 10 Months)
Electricity & Gas....................... 81.5 (Down from £97.97)
Water rates............................. 42.13 (Paid over 10 Months)
Mobile phone............................ 12.9 (Down from £23.40)
TV Licence.............................. 12.12
TV, Phone & Broadband................... 35.99 (Down from £65)
Groceries etc. ......................... 130
Clothing................................ 20
Other travel............................ 90 (£74 for monthly tram pass and leftover for possible bus/taxi fare - I can drive, just don't want/can't afford the expense of a car right now...clearly!)
Medical (prescriptions, dentist etc).... 8.05 (Paid every other month)
Pet insurance/vet bills................. 25.75 (2 cats, never fails to amuse me how insurance for them costs more than insurance for the house - due for renewal in April 2015)
Buildings insurance..................... 23.32
Life assurance ......................... 7.26
Presents (birthday, christmas etc)...... 30
Haircuts................................ 5
Entertainment........................... 50 (Includes nights out, nights in, cinema trips, etc.)
Emergency fund.......................... 100
Lottery................................. 20
Total monthly expenses.................. 1117.72


Assets
Cash.................................... 0
House value (Gross)..................... 105000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 105000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 83000....(343.7)....3.99 (Could be wrong on the %, I know it's something.99%, and I'm sure it was low - 2 year fixed rate to September 2015)
Total secured & HP debts...... 83000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Credit Card....................2600......93........0
Total unsecured debts..........2600......93........-


Monthly Budget Summary
Total monthly income.................... 1,325.82
Expenses (including HP & secured debts). 1,117.72
Available for debt repayments........... 208.1
Monthly UNsecured debt repayments....... 93 (Set to pay £2,600 off within 28 month 0% period, minimum)
Amount left after debt repayments....... 115.1

Personal Balance Sheet Summary
Total assets (things you own)........... 105,000
Total HP & Secured debt................. -83,000
Total Unsecured debt.................... -2,600
Net Assets.............................. 19,400

Created using the SOA calculator at https://www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using Firefox browser.

I'm still debating with myself as to the best way to treat the "emergency fund" £100, whether to put that against the credit card, or whether to keep it in a separate savings account.

I just don't like having money available. The greedy goblin inside me sees it as treat money, not what it's supposed to be -- for emergencies!