"Start wherever you are and start small"

NeverUnderestimate

Hello,

I've previously used these forums before under another username. However after life throwing many funny twists and turns, I've decided to start afresh with a new username as a lot of exciting things will happen over the next few months. This involves a new job opportunity, a special family occasion, a family get together and so on.

I realise I may not have as much debt as others but a lot of this journey I wish to embark on is about me growing as a person and changing the way I think.

I already am quite money-savvy in some ways however there is always room for improvement. I find these boards very encouraging and welcome the advice and support.

The past few years have been an emotional roller-coaster and it's time I close that door. I'm only young and I've lost myself a long the way. I feel as if I've lost my identity in many ways and I'm quite unsure who I am anymore. I wish to rediscover this, how i don't know but I'll learn along the way.

I have many short term goals and long term goals I'd like to achieve. However sometimes I find my anxiety increases due to this. I get scared that I can't achieve these things.

My self esteem and confidence have taken a massive battering over the years and I wish to build this up. Once I get to know people, I'm quite a social butterfly and find my place and comfort zone. People often don't seem to understand this and I tend to feel excluded. But that's their problem. My mental health is important to me. I need to learn to love myself (clich!).

So here we go.

I currently owe:

£700 to a credit card (0% until Feb 2018).
£750 to a family member.
£1800 for holiday booked (final balance March 1st 2017).

My income is roughly £1700.

My outgoings are as follows:

£585.00 all essential bills, direct debits and food/petrol budgets.
£200 a month standing order to pay off credit card.
£200 into a Help to Buy Isa.
£300 goes towards my other spends which mainly consists of hobby my child undertakes.
£150 personal spends.

So total outgoings £1435 leaving me with a surplus of £265 which I tend to try and save. Each bracket varies monthly on what I actually spend. When my credit card is paid I'll have a spare £200 a month.

My income also fluctuates due to petrol allowances, hours I work or what enhancements I may get. That's a rough expected income each month. Some months it's more.

This is where it gets difficult.

However my plan is to use a second bank account which I will transfer over my food budget, petrol budget, personal spends and other spends too. I will then use this debit card solely and the other account will be used to build up the savings as well as the important essentials that shall come out.

I have three accounts.

Santander 123- Main bills come out of here and my savings remain in here. However may soon change or swap due to decrease in interest rate. I want this account to remain simple. My wages are paid into this.

Halifax current account- will use for other expenditure as listed above. I shall transfer the set amount above each month and when it's gone. It's gone. Any left over will be transferred into savings.

Halifax help to buy- currently stands at £2000. I shall keep saving into this until I feel ready to move out and buy my own home. That's in the distant future as I'd like to build up a decent amount of savings beforehand.

So that's it really. I shall update a little while later.

Each day I'll probably find a quote that I like or describes how I'm feeling and post it here. That way I can look back and be reminded, hopefully in the future how far I've come.

So really the purpose of this diary is to maintain my spending, find a system that works and start to live a less materialistic lifestyle and enjoy each day as it comes.

And if anyone feels they have anything to add or general conversation. Feel free.

NeverUnderestimate

Short term goals:

- Pay £750 back to family member. Deadline 1st November 2016. I plan to do this by working overtime once settled in new job.

- Pay upcoming union fees, £120. Pay by 7th September.. I will use money through money owed back to me next week from work.

- Pay off credit card £700. Pay off by December 1st 2016. I will do this through standing order and throwing any spare money that way I have left over each month. The sooner it's cleared the better.

So that's it short term for now. I shall post my longer term goals later on.

NeverUnderestimate

"You have been criticizing yourself for years, and it hasn’t worked. Try approving of yourself and see what happens".

I think I can relate to this quote, quite a lot. I'm forever criticising myself and I am probably too harsh on myself. In the past I've looked to other people for approval or tried to make an effort on a one-way friendship. It simply does not work. I've cut a lot of negativity out of my life, however there's room for improvement in many other areas.

--

Yesterday I was working then then I came home we nipped out for a milkshake and something to eat for a catch up as my sons been away. It felt nice to be able to relax and find out everything he'd been up to.

I've three more working days until I'm then off until I start my new job. I plan to use this time to relax, recuperate and spend time with loved ones.

So my total spends yesterday were £10.00.

Today I think we may go shopping for shoes for an upcoming special occasion we have next weekend. The shoes I buy for my son will be his school shoes too. Kill two birds with one stone and all that. I still have his uniform to buy. Usually I'd mix and match new bits with old bits but unfortunately they've totally changed the uniform meaning I'll have to buy completely new. Ill check what he's got in his wardrobes first basics wise.

Today's to do list:
- Wash uniform and dry.
- Buy new shoes.
- Go for a walk.
- Spend some 1:1 quality time with son.
- Have a nap before work.
- Organise childcare for next two days.
- Complete some training I need to do.
- Try to relax.

NeverUnderestimate

I've not updated this recently as I've had a lot going on.

I currently have a car on a PCP plan which at the end of term I want to own outright which would mean paying off the balloon payment. However with looking at the figures including my monthly payments, balloon payment and interest by the time this is finished I will have paid just over £2000 in interest which is shocking. The Apr is 6.4%.

I'm looking at taking out a low interest loan at 3.3% to cover my final settlement figure of £11600 and will spread the payments out over 48 months. I will save approximately £800 doing this in this time frame compared to my current PCP deal. Although my plan is to make extra repayments at least every other month, if not monthly to attack the balance quicker and snowball as much as possible which then will save me even more interest.

I love my car and want to get out of the cycle of PCP plans. Once this is paid off I shall put money aside for a new car fund.

I just need to do my research carefully. It will not affect my budget that much. I currently pay £205 a month on the PCP. The loan payments would work out at £256 a month. I definitely have that spare.

NeverUnderestimate

So I've just applied for a loan with Zopa to settle my car finance. I have my fingers crossed that all approves and should hopefully hear back within 48 hours. It is a 3.3% interest loan so if successful I will have halved my interest rate I'm currently paying.

I think having that set amount in front of me which I can control will be a lot better and I can tackle and overpay as much as I'd like rather than pay a set amount each month and balloon payment at the end. I can set clear aims and goals to achieve.

It is initially set up for the amount over 4 years at £258 a month. However I'd most definitely aim to pay it off within 3 years.

In doing this I can pay both the loan and put money aside to save up for a house deposit.

They are part of my five year plan.

I still need to work out September's budget which is my job for today.

I have a lot of upcoming things to look forward to. And I have a very busy to do list. I'll update later with my plan if action.

NeverUnderestimate

So not much been going on.

I've still get to sort this month's budget and I'm still awaiting to hear back about whether I've been approved for the loan to settle my car finance- fingers crossed.

Today marks the start of new beginnings for me. I start my new job and I'm hoping I gel well within the team I am joining. I'm feeling slightly nervous but excited at the same time.

I was meant to make myself a packed lunch before I go, however a combination of a bad nights sleep and forgetting to defrost bread means I've grabbed some snacks I can eat on the go rather than a proper meal.

In other news I've paid my union fees which were due at the end of the month.
That's one less thing to worry about.

I need to sit down and write a plan for the month ahead, find out my hours and sort childcare, plan family days around these etc.

Later on I'm going to write up numerous different budgets and see which I prefer.

Also today is what would have been my dad's birthday, was he still with us. Ill take a moment to remember him later.

JLS1901

Hello NeverUnderestimate.. I've just read your diary.. Best of luck in the new job, I hope it all goes well for you. I feel I'm very similar to you! I'm a constant critic, I don't have masses of debt but I sometimes feel like I have the weight of the world on my shoulders. I try to keep everyone happy and in doing that I've made myself terribly unhappy.

Here's to being debt free soon Welly x

Lauralozzle

:hello: here to subscribe

You've given me food for thought on the PCP plan... Something to definitely think about!

NeverUnderestimate

I was clearly exhausted yesterday as I fell asleep from 8pm until 7.30am this morning which is unusual for me. The past couple of weeks, I've been poorly and have been on two courses of antibiotics. I think these have wiped me out completely as I have found I've been more tired and falling asleep more. I hope I'm over the worse.

I've been thinking a lot recently. When I first thought about this journey, I never classed my car on the PCP plan as a debt. I don't know why, I think it was more of pay it off for the time remaining then swap again. It's took a lot to realise this is dead end money. I love the car I have now and I don't want to be stuck in the PCP circle continuously. In a few years time I can say I outright own my car and have no debts and can concentrate on buying my own place and having mortgage as my only debt. The idea would then be I'd put money aside each month to save for a new car when the time comes.

I'm still awaiting to hear back from the loan company. If I've not heard back later, I'll give them a ring. It's making me nervous waiting.

My credit card on 0% until Feb 18 is down to £500. If I'm approved for the loan I think I may lower my direct debit on this (currently £200 a month) to around £50 and use the rest to knock money off the loan. It makes sense as it's 0%.

Until I've been at my new job for a couple of months, I'm not going to know my true wage. I can't get my head around that so I'm budgeting off a guestimate wage (lower than usual) and any extra will be a bonus.

NeverUnderestimate

Ive also been thinking I'd like to lose some weight, however in the past I've become quite obsessive over this and it's not good for me. Alot of the people in my new team are doing slimming world. I may give it a go and join them along doing it. Initially join, get all the information I need and then weigh in with them each week. It doesn't have to break my budget and I can find recipes and adapt them to my tastes, I'm not massively keen on salads/veg.

Todays list of things to do:

- Make up a packed lunch.
- Arrange BLS with work.
- Chase up loan enquiry.
- Pay childcare fees.
- Book into some work related courses.
- Find out my off duty.
- Set up standing order to family member and work out when I'll pay them back fully. They're in no rush but I'd rather it be gone to be fair.
- Write a budget for Christmas.

I suppose I better go get ready for work. I'll update later. I need another cuppa first haha.

NeverUnderestimate

These are my current outgoings.

Rent: £200.
Help to buy Isa: £200
Petrol: £60
Food: £60
Mobile phone: £25.31
Union fees: £16.40
Dental fees: £9.99
Car finance: £204.48
Phone insurance: £6.99.
Personal/Other spends (this includes my child's hobby which is expensive but he enjoys it so I won't cut this): £300.
Credit card: £200 (currently).

I know there are a few things I can cut back on. These are my general outgoings.

This will soon change though if things all work out for me. I'm not quite sure whether to cancel the phone insurance or ride it out for a few more months.