23, IVA & just learning to budget

zippygeorgeandben

Just looking at your SOA - do you really need the GYM for £30 a month? If you weren't in debt it wouldn't be a problem but you are. We need to get those 2 pesky CCs gone at that high APR!
I follow a budget called 50/20/30 - I find it useful, you might too. Let me know if any use to you.

http://www.careergirldaily.com/manage-money-50-20-30-rule/

Rocketlolasaves

I agree. I was pressured to get back at it due to body image of myself. It's currently frozen for two months as I've been in hospital but it's a 12 month contract so I'm stuck?!

Read the 50/20/30. It's ideal but feel it's maybe useful once I'm out of debt??

I know with commission, sometimes i can take home £1600 so paying these credit cards off would be doable quickly, its just discipline.

sentientpoet

Theoretically if you stuck to that SOA you could clear the cards in a little over a month and get them out of the way... But you don't list anything for entertainment and you do say in your first post that your outgoings are actually more than your income - are the figures in your SOA targets or are they drawn from what you actually spent last month/the month before?

I think nailing where the extra money is going over the course of a month or two could make a difference, and for that it is worth keeping an ultra-detailed spending diary (is that what you are doing with the Pennies thingy?) for a bit and seeing if there's a little blind spot in your budgeting. I was the worst at 'blindspotting' my budget at first

It's certainly not hopeless, and to me it looks like there is scope in there to be able to start to put a little bit of money on one side for emergencies as well as being able to budget for a tiny bit of 'living' every month without losing control - but only if those figures are accurate! Also, if you are getting commission but not counting it in that SOA, then that's an instant emergency fund you can start to build if you have the discipline to put it on one side.

zippygeorgeandben

I'm in SO much debt Rocektlos (so not preaching AT ALL!) but for me it's working as I know how much I have left once every payment has gone out which HAS to go out of my account.
I'm sure you'd be able to allocate monies towards the most important debts. I just keep a daily track of what I'm spending and how long I've got until the next pay day. Both my sisters do it also and are finding it really useful. I don't mind helping you on PM if you want.

Rocketlolasaves

My SOA and budget has come from sitting with my partner and going through every bank statement this year. I'm confident it's 100% accurate. The overspending comes from me being literally out of control and buying crap. Not even knowing we're talking wine cigarettes clothes etc. I've had to stop that as of NOW. I've been tracking everything I spend now so in my budget book I wrote everything and also deduct from the set budgets on pennies.

Curiously worked out a snowball and could be CC FREE in 2 months however leaves me with little to live i.e. Girly things like nails. I've also accounted for my MOT Saturday already and put £100 buffer aside for tyres or whatever. For example I took home £1272 this month which is low for me. I figured if I pay £100 between cards each month I'll be CC free in a few months!

zippygeorgeandben

My sister loves her nails too. What about the cats? Where's that accounted for, food etc? Also, you don't pay insurance for your cats I see.?
You can see the light at the end of the tunnel!

elsien

I think your SOA needs a bit more work to be accurate. Without a realistic budget when the extras and emergencies crop up is when it really goes pear-shaped.
You have a car but you haven't budgeted for any maintenance costs. You have two cats but no pet related expenses. No going out, ever, no clothes, no Christmas or birthday presents? That's not doable in the longer term - you may be in debt but you still need to have a bit of a life to stay motivated and on track.
So what are you really spending, as opposed to what you think you should be spending.

Rocketlolasaves

I fit that into groceries. In my actual budget too I've accounted £17 for prescription food for the cats as one had a horrible illness and is on this stuff for life. They were insured and I've been meaning to sort this out it was £6.40 per cat but I need to find a good insurer which can cover my one cats needs also. Luckily I've been insured previously when he decided to throw a sicky and cost me £1100!!!!

It's on my to do list along with claw back money owed. Call my energy provider and a lot of other things. I'm trying to be a lot more organised as an individual instead of living under a rock and "winging" it.

It's also annoying knowing I have the best part of £1k sat in my commission pot waiting to be paid 😩 But that's not gonna be all at once.

Rocketlolasaves

As for my car my petrol is in the SOA but I've kinda just gone with the flow and been lucky previously. My MOT is accounted for in this months budget with a buffer for anything to go wrong. Then after this is where I start to figure out how I do this and have a life as well as squash debt. It's a lot to take in when I only started this last week!

As mentioned before my pays low in comparison to other months this month so I haven't factored trying to save this month at all. Just kinda get through it with a budget and then look over the month and prepare for next when I get my payslip.

I've given myself 280 to spend on "crap" that's including nails. Trips to the pub etc. But right now my main priority is getting organised and moving forward before I start going wild having a life again?

DCFC79

When is your phone contract due ? Get something cheaper than £40

Dithch the TV licence.

Have you learnt anything from how you got the IVA ?