3rd Time Lucky?!- Attempting to clear £6645.93 of debt in 105days (3months+13days)!!

Magpie100

I absolutely think giving yourself £150 a month for socialising from March onwards is the right thing to do. You are doing brilliantly and have really changed your habits, but you won't want to stay in for ever! It's 'easy' (I mean it isn't, but it's easier!) to stay in in January when everyone else is also hermit-like and Dry January-ish - but once it gets to longer days and better weather you will want to go out and do things. And that's fine, as long as you budget for it!

I'm not expert enough to advise on what to do with your bonus - if it were me I would split it between emergency fund, clearing a bit of debt and starting to save for a deposit. Just because I think putting it all in to your pension when it is so many years before you'll see it again is psychologically demoralising. HOWEVER, if you think you might be tempted to 'dip' in to your emergency fund/house deposit fund then perhaps locking it away would be the best thing. Your OH is no doubt right about being tax efficient, but you are a person, not a multimillion pound corporate entity. I just wonder if the feeling of having started to save for a deposit and emergency fund might be more fulfilling at this stage than locking it away in your pension.

You've shown how determined and disciplined you can be, though! And dare I ask...are you still buying branded cleaning stuff? :rotfl:

Keep going, you are doing so much better than a few months ago - think what you can achieve in six months' time!

enthusiasticsaver

If you salary sacrifice your bonus then the whole £6430 will be free of tax and NI I think although the pensions forum may be the place to post a question. That saves you 51% or £3279 and your pension will be boosted by this plus however many years until you draw it so assuming average return of 4.5% this will be worth £13300 in 20 years.

If you take it now you just get £3151

Shelbi

Hi Magpie100 & Enthusiasticsaver, :hello::hello:

Thank you so much for your replies they were super helpful and gave me alot to think about:beer:. Im sorry for the delayed reply- part me thinking on what i was going to do and part me being out and about (dont worry still on the dfw wagon, just a couple of dinners, nights out to celebrate making it through a very dry January!!:beer:

I wrote a mahoosive post but I guess I took to long and it got lost, so take 2 and will copy and paste just in case...I reworked my figures, found out that the 40% fresh hold is £45k not 40K which gave me some relief. In the end I decided that id take as much as I could before hitting the 40% tax marker which was £3k the rest I gave instruction to put in in pension- It'll be enough to clean up my debt and get my emergency fund started. My pension is also underfunded- Its only worth £37k...but that's something else to worry about in the future.;)

I think clearing up the debt the most important part, but even with my newly found discipline I dont think ill be able to not spend the rest of it...and if im completely honest im enjoying the challenge, its helping me not fall into the same pattern ive been in for the last 35years:rotfl: I wasnt MSE ways engraved in me, I can still spend stupid amounts when Im out, as these couple of weeks showed me. Ive not gone into further debt and I have about £60 to live on until payday so Ive still got some money but its another shoe string month- 15 days of rice and beans.

Magpie I had a look around and confess domestos, flash wipes have made it back into the flat- I can hand on heart say they didnt come from me, thats OH doing, we have a comfy blend of Aldi and basics and brands here- just depends who picks up the shopping..but its OH money for those, I laugh as whilst hes buying all these things as he likes brands he seems to have no clue or mention that I switched his regular coffee for a basic brand (the beauty of decanting good).:rotfl::rotfl:

This weekend was a spend free one, I cooked the turkey we got for Christmas and we had it today, will make soup with the left overs, if OH leaves left overs-perhaps tomorrow. hmm what else went out for dinner with OH and his family last night. which was lovely. Have Valentines day sorted, think i said that in my post before. Have done zero clothes shopping only real vices have been drinks after work and dinners...back to my hermit life for now I've had a good little cut loose session now back to cracking down.

Gosh I cant wait till payday...Hope you have a wonderful weekend guys! sorry for the ramblings and the absence...right I best go catch up on some diaries...

Shelbi x

Shelbi

Evening Diaryland,

Sorry its been a while since my last update, ive been semi battening down the hatches till payday, working and stepping out a bit...so yesterday was payday and for the first time in a very long time Im in the black, Ive paid off my Barclaycard:j:j and am now just waiting for my regular saver to mature so I can transfer this to my loan balance and clear that too- Matures in 2 days and I will pay it over.

Im part excited and the other part sick at having to spend so much money on this debt but hey ho ive learned my lesson I think.

Had a great murphy moment on Friday when I broke my beloved phone, 2 days before payday...now Im not so die hard to say that didnt replace it, thats unthinkable for me but what i did do is opt for the cheapest android I could get my hands on £50 (i saved my self anywhertre between £200-£600 here forgoing a new s4msung).. I can honestly say it does most of the things I need, and for now itll do! Also was cashflowed so no credit card used...£50 well spent i think...looks similar too.:money:

literally had the annual waterbill, Quarterly electric and gas bill fly through the door on payday(a small fortune)...you thing utilities do this on purpose?:rotfl: ths was paid too -oh gave me his part towards it.

Hmm whatelse- I've been out quite a bit this month, i think in the nights in sent me stir crazy, all cheapy nights but fun...haven't got any more planned this month only birthdays &mothers day to come, topped up £50 on amazon and got a free £5 also brought a gift voucher and received £6 reward. so will use these to get the 4 presents needed.

Other than this my plan is too have at least 25 nsd in March (need to keep costs down till next payday:rotfl:) have allocated £100 food fund, and £100 fun money (just in case) anything extra i recieve,earn or dont spend will go towards my emergency fund...cant believe ive finally made it...roll on Thursday!!

Shelbi x

ladymay

Huge congratulations Shelbi!!!:beer:

Shelbi

:wave:Hi LadyMay,

Thank you hun, really excited for tomorrow, also a little sad to be paying over more money_pale_ but it'll be worth it! Thank you!!:):):)

So Today I made it into work, was a nice trek at least the snow was pretty, I had £240 to pay into the bank (OH bill contribution) got there only to be told they wont be opening until 10 due to the weather, needless to say I didnt fancy waiting an hour or being late for work, will try my luck tomorrow... today was a good day all in all. Managed to bring in lunch, the only spending I did was mothers day gifts which I used the ama50n top up so I'm not counting this, got mother dearest a cd and some perfume...bonus was I got a free download of the cd so It was a gift to me too:rotfl: #winning

Work went by pretty quickly today, lunch time I updated my YNAB for all the things that flew out :shocked: other than that it was spent working, in meetings and wondering how hard the snow has to hit before we can be sent home...turns out we need North pole conditions so will be back in tomorrow with a smile (wishing I had become a teacher at this moment as the schools are shut:D) I'm kidding...should be another fine day. *fingers crossed*

Have £19 odd in amazon wallet and £16 in wowcha wallet, will be using these for next birthday/celebration purchases, I don't think I have any more until April. Haven't made any headway on either emergency fund target £5k or xmas savings, which will be my next task. right I'm off to have a read some diaries, much more interesting:rotfl: (&get some good tips):money:

night guys hope youre all warm &toasty x

Shelbi

Good Afternoon MSE Land,


Its official paid off my loan this morning, its at nil balance...for the first time in years *IM DEBT FREE!!!!!!*:j:j:j (Sorry, Its My version of the Dave Ramsey scream):rotfl::rotfl::rotfl:


I'm happy as a clam!! Finally did it! xX:D:D


Now onto Baby Step 2 to build an emergency fund...£5000... coming up;)




Love Shelbi x

Magpie100

CONGRATULATIONS! You deserve it - you've done so well! Well done, Shelbi! So pleased you already have the EF as your next target, too. Think of how much you can save with your new MSE head screwed on!

Shelbi

Hi Magpie100:wave::wave::wave:

I hope you're well? ...Thank you, couldn't have done it without you're help and guidance...I'm really grateful!!
Yes my EF is definitely my next target...Trying to use all the cheats and tips everyone has shared throughout my journey...received my ecoegg today:dance:, its taking its first trial run...It says it will save me buying washing powder for a year:money: will see how it goes...funny the little things that bring me joy!!:o

Today I managed to take a walk around primrose hill park with OH, grab a cheeky mulled wine& Pint in a cute pub and then some supplies for the weekend, now back home to keep the rest of the weekend a spend free one.

currently curled up on the sofa with a duvet, waiting for the washing...absolutely love the weekend! the snows melting away but I think a night in is still justified :rotfl:

X

Shelbi

Good Afternoon Diaryland,


So yesterday I managed a SFD by staying in doors watching movies, OH ventured out to the gym and for food, bless him.
Today have spent £5 on 5 microwave meals for lunch, not great but still better than a £3 meal deal. A small splurge.:o..Next week I'm committed to do better and bring in Lunch for the rest of the month...


Have ordered a bullet journal today, using my vouchers- after reading foxgloves diary I was inspired to give it a go...:j:j excited.


Tonight I'm off to my mums I'm pretty sure I had a slow cooker hidden in the cupboard from many moons ago- hoping she hasn't given it away...Hoping to get that and make some use of it. I'm 100% sure I have a sewing machine there that's never seen daylight, thinking of selling that- hopefully it has all the bits.


Also decided to send off my old broken phone, the site says I'll get £25 for the faulty phone. Who knows if it'll work but its just laying in my drawer gathering dust so Ill give it a go.;)


Only other MSE Move I've done today is catch up on some diaries and check the Freepostcode lotto (no wins so far but I live in hope):).. OK I best get back to work.. Happy Monday everyone- Hope you have a good one x