Tired of playing catchup!

snowscreamer

Hey denialanderror,

Nice to hear from you again. Don't be so down on yourself - only £300 overspend is not a bad attempt. I'm still overspending up to £50/month and I'm now into my 8th month of budgeting.

Just compare it to how bad it could have been if you hadn't taken control - that's the main thing. Just aim for the overspend to come down a little bit next month and you'll be making progress

Have a lovely weekend.
Snowscreamer

denialanderror

Hi All,
Sorry I haven't been on in a few weeks, haven't really been in the mood to sit still and write.

Few developments -

- Uncle's 60th went off without any family drama last weekend, he liked his gift and, although he'd never admit it, I think he enjoyed the attention and seeing everyone, even if it did involve the statutory inquisition about when I'm going to buy a place / get married / have kids (the measures of success in my extended family which my cousins all seem to be achieving).


- Turned down a job a while back as it was before all this redundancy stuff at current employer started looming and I felt it wasn't the right time to move, well, last week was re-approached by a different agent asking if I'd like to apply for the same position as they are expanding the department. I've told him to go ahead and apply, will see what happens.

Not sure if it's financially viable, £4k gross increase but a fair bit further from home and requires use of own vehicle for work without a car allowance, whereas current employer provides pool cars / hire cars for my travel, already a bit worried about how I'm going to keep ahead of the depreciation of my car without adding business miles to it.

At the same time, someone is leaving my department so I might also be about to get some additional responsibility which takes the redundancy pressure away. Will see what happens over the next few weeks.


- I've called an end to things with OH. << Rest removed as not relevant to debt free goal >>.


- Should know the moving date and be able to put in some exact figures sometime next month, 900.00 in the moving fund which is a lot less than it should be at this point, about 700.00 down on target. Critical I stick to budget this month to at least have the deposit, fees and first months rent up front ready in time, OD is last resort as they charge £6 per month to use it. Once the move is over I can start paying down that credit card.


- Away again for work Monday - Thursday next week. Must be more careful with receipts this time.

snowscreamer

Well done denialanderror, you may not have quite met your targets but at least now you are on top of your cashflow and have taken control Fingers crossed for August!

denialanderror

Just an update...

It's now around 3 months since I took the decision to sort out my approach to managing money, just under 1 week till payday which will be the date at which I had hoped to have 2000.00 available to cover my impending move and just under 2 weeks till the end of the month.

The Good:

Overall this has been a successful exercise, YNAB is great software, I find worrying about money is occupying a lot less of my brain space than it was and working out of 1, fully reconciled bank account is generally proving to be alot easier than 4 bank accounts and 2 credit cards.

I'm looking at being about 60.00 overspent this month so far. IF, and this is a huge IF, I can manage to keep that overspend to just 40.00 more, that'll leave me with a 700.00 surplus at the end of the month which will mean 1600.00 in the moving fund, of the 2000.00 I aimed to have at the end of August. The 40.00 overspend will be in the "going out" category, other budget categories still have money available in them which should be enough.

Since the actual move is likely to occur at least end of September if not early October, I'd hope I can have enough surplus at the end of September to cover most of the costs that last chunk was intended to cover without having to use a CC.


The Bad:

- If I wasn't moving, I'd be in a position to exactly half my outstanding credit card debt and associated monthly interest bill and have a very realistic chance at clearing it by the end of the year, leaving me debt free bar the student loan. Not sure what the balance will now be at the end of the year yet, will have a better idea once I've moved and paid the annuals on the car.

- No provision for the car bills due in October has been made.

- When looking for places, I'm finding that 450.00 a month budget for rent may be a bit low. Can't believe I may be facing 500.00 - 600.00pcm + bills for a room! If it comes to that, I really will be trapped.

- Still struggle with a very negative general mood, hate feeling like a loser and spend far too much time surrounded by people that make me feel that way, trying to stay positive at least on the face of things as nobody likes to spend time with someone on a constant downer.

denialanderror

End of Month / Payday Update:
Overspend for this month, assuming I keep things in check this weekend is 200.00 rather than the 100.00 I'd hoped for mid month, meaning my moving fund now stands at 1500.00.

Have done some much more granular budgeting for this move and broken it down to:

- 6 Weeks Deposit - 675.00
- Spurious agency Fees - 250.00
- First months rent - 450.00
- Van hire - 50.00*
- TV Licence - 48.50*
Sub Total 1473.50

- First food shop - 100.00
- Sundrys shop - 250.00
- Curtains / Blinds - 50.00
- Coffee table - 50.00
- Shower curtain / bath mats - 50.00
- Lightbulbs - 50.00
- Mirror - 50.00
Sub Total 600.00

Grand total 2073.50
* is split between 3.

Sundries is basically stuff I can't take with me when I leave the other house or stuff that actually belongs to my ex-oh so includes things like cleaning products and bog roll, and some higher priced items like towels and kitchen / bathroom bins.

So the savings target has been revised up to 2500.00. I expect the food, sundrys and extras will come in lower than planned but also know there will be unexpected bills so 2100.00 is probably about what it will all cost.

Currently there is an issue actually finding a place which is worrying on one hand as I do have a deadline to move, but good on the other hand as if I can keep to budget this month I will have 2000.00 of that target in cash despite having to pay out car tax and about 90.00 in MOT and servicing. Also means there will only be 1 month overlap of rents rather than 2.

Obviously that is making the assumptions that I don't find a place in the next 4 weeks and the car gets through the MOT ok. There are no faults I know of but of course that doesn't necessarily mean there aren't any...

denialanderror

Just for reference:

Overspends by category:
Un-claimable Work Expenses - 17.22
Car - Headlight Bulb - 15.00
Prescriptions, needed 2 not 1 this month - 8.20
Fuel, Half a tank left at close of month - 33.48
Misc Cash - 2.32
Subtotal -76.22

F+D Out 77.57 - Once again my worst area for wasting money!

Remaining expenses for month -
Friends housewarming party - hoping free as not intending to drink.
!!!!!!! colleagues leaving do at bowling alley - 20.00
Dinner with ex-oh - 10.00 (she's paying but I'll probably by some drinks when we arrive)

Few other bits but they are all budgeted for so won't affect the overspend figure.

denialanderror

So it turns out despite thinking I'd got a handle on things and that things were stable and moving in the right direction, the reality is I'm still absolutely terrible at impulse control, particularly in the areas of sticking to a budget and alcohol / junk food consumption.

Went to one of the big out of town centres over the weekend with (now-technically-but-still-not-quite-ex) OH, partly just to get out the house but also because I needed to buy a couple of work shirts and a jacket for winter. Cash flow sheet allowed 200 but YNAB had no budget for it this month which was stupid as I knew I needed those things.

I spent 630.00.

I know I'm an impulsive idiot, I always have been and this pattern of doing well in the areas I want to improve in for a while then blowing it completely shows that despite good intentions, there is a good chance it's so deeply ingrained in my nature that I always will be.

Worst thing about it all is I don't even feel bad about it, not necessarily saying I feel good about it, but overall I don't feel like there are really any negative consequences to my actions right now, the nice feeling of wearing new clothes cancels out the guilt I feel about having spent the money I should've been holding back for moving house and I had the cash in the bank so it's not created any new debt...
The fact that I've been in debt since I turned 18 means the £3k doesn't even seem to be registering as important anymore.

Doesn't help that the things keeping me motivated in the areas of money management and weight loss, those things being my OH, a requirement to move next month and redundancy pressure have all for various reasons either dissapeared completely or become a lot less imminent. Seems without pressure like that, I can't stay motivated.

Without pressure or someone to impress, that short term buzz of whatever it is appealing for my money or calorie allowance at the time always wins. I just can't seem to get a handle on self control or self motivation which by my age I really should have.

I suppose at least I know there is a problem in my way of thinking and that my irresponsibility will one day catch up with me. Those currently distant fears of redundancy will become reality, I'll have to move at a time when the funds aren't available, I'll be overweight when I meet a girl I like and I'll be bitterly regretting this last weekends drinking and spending binge.

Who knows where to go from here.

Been invited on holiday next month, only a long weekend but again know I shouldn't go, but at the same time I'm sick of saying no to doing everything the people around me are doing because of lack of funds that they all seem to magically have.

Also hoping to go away for new year as new year at home without OH is just too depressing a concept to deal with atm but again, can't really afford it but will probably go.

I know lifes all about choices and right now I know I'm making all the wrong ones when it comes to making long term progress, so why can't I seem to actually just stop and make the right ones.
Hope this binge phase doesn't last too long. The comedown is going to be awful.

Baldybear

Afternoon

At least you recognise the problem and not just spent the money nilly willy. I think you may have had half a light bulb moment, you are in the pre-stage, if that makes sense. You know what you need to do, know where you are going wrong but just havent got the mindset 100% spot on yet.

But still you are on the right track, maybe you need that redundancy, house move or the like to really get you going.

Dont beat yourself up, learn from the episode and keep on moving forward, small steps but will get there eventually

Re your friends etc who all seem to be doing everything, your words "funds that they all seem to magically have" is probably spot on. They probably dont have the funds and it is all a magical reality. I wouldnt be surprised if many of them dont have financial issues too, dont know if its something you discuss??

Anyhow enough of my ramble, keep going, you will get there eventually

denialanderror

Since my last update,

What we know:

- Turns out 450 a month rent for a room is now laughably naïve in this area

- (Good references pending), room for next year secured at 600.00pcm + bills, from mid November.
- Deposit of 900.00 plus first months rent due at start of tenancy.

- Discussion with the current landlord and agents have confirmed they are both happy with me leaving at the end of the fixed term and my flat mates remaining in the property. This has since been followed up in writing.

- Significant jump in monthly bills of around 300.00 per month will result from this move.

- Between 1000.00 and 1600.00 will need to be taken from overdraft to fund the deposit and FMR. Fees and moving costs are covered. This is dependent on costs to leave current property, unexpected expenses in new property, MOT fail).

- This will take around 5 months to clear before I can progress with clearing credit card through second half of the tenancy.

- Charge of £6 per month plus interest will apply on the overdraft.

- Current net repayment off credit card is 60.00 per month, giving an APR of about 16% and 53 months to repay at that rate.

- The agency have made it very clear regardless of what happens, they have no intention of returning the deposit due to mould damage. I intend to fight this but cannot count money as available until successful.


What we don't know:

- We have been warned by the agents that my departure (end of a fixed term AST) may trigger "re-ferencing fees" for the tenants remaining in the property, these come to about 500.00 including VAT. It is the view of the current tenants that morally I should be paying these.

- We have also been warned that the two remaining flatmates (a couple who want to live as a couple now without me hanging around) may fail affordability without my salary and have to move, again triggering referencing fees.

- 500.00 fees for two people in this area is now cheap.
I've done my new place privately with a landlord fortunately but that's unusual. Paid 80.00 for his referencing company.


Best case: Landlord does as she has promised and does not renew with a new AST through the agency and all that is due is 70.00 contract ammendment fee to remove my name.

Worst case: 1 of three things could happen:

- Full 500.00 fees due and I have to pay them.
The female half of the couple has made it clear that she is expecting me to pay these. Despite being the ones pushing me to move out so they can live as a couple. She is adamant I am the trigger for the charges and so should pay them.

- They fail affordability and Section 21 issued. They have to leave the house also and pay fees for a new property. Whether I shouild or shouldn't, I know I'll feel pretty awful if that happens to them.

I need to manage the situation very carefully as her kicking off at the current landlord over fees (she has a way of speaking that just gets peoples backs up) may cause the landlord to give me a bad reference, causing my new flatshare to fall through and then I really am screwed.


I expect in reality it will be somewhere between the best and worst cases. Either way, unfortunately I think this will be the end of the generally good relationship I had with the male in the couple who was my origional flatmate before she moved in with him.

denialanderror

Unrelated but was infuriated when I found out while searching that the biggest lettings company locally is now charging 500.00 holding fee, keeping it and letting the property elsewhere if the prospective tenant doesn't complete referencing in 7 days, charging 80.00pm mandatory insurance on top of rent and insisting their affiliated utilities provider is used or they just won't let you the property.


Guy thought it was hilarious when I told him I didn't accept the terms and no longer wanted to arrange a viewing of the property I had an interest in.