£16,000 debt, turning regret into positive action.

LadyP01

Near the end of the month and just two days away from pay day.

Used the last of my petrol money which worries me as I should have used that up a few days ago... need to check something hasn't gone horribly wrong somewhere.

Still have a few penny's left. Will do a full check of it all soon.

Had a realisation today that the oh and I are the first couple out of all our friends and family who are paying for everything themselves for the wedding.
Dealing with peoples expectations on what we should be able to do with our money day to say to accommodate them and how much they want to see us. They seem to have forgotten that we are one of those rare couples that don't have any support for the wedding.
What we lack in financial support we have received in physical support. We have borrowed items. We have friends favours and it's all just lovely just pondering what a feat it is to achieve such a task these days.
At the end of this we deserve a little pat on the back.

GlendaSugarbean

Your wedding is for YOU, not anyone else. Having to pay for it all does focus the mind on what is important .

Moneywhizz

Often read your diary but haven't commented before. You have done so well and have a great handle on budgeting and using your money. Paying for your own wedding definitely makes you focus your mind to what is actually important to you. Regarding the best way forward for dealing with your finances as a couple there are a couple of options. One person (ie you) could take control completely, pool all resources and allocate the same amount of personal pocket money to each of you. If you intend to have a family this is probably the best way to go as long as you are happy to accept the responsibility for doing that and it does sound as if you would be happy to be that person. The other way that can work if you don't have children is to calculate all household expenses, including a substantial house fund, and split the total percentage wise according to your incomes. Whatever you have left over is then yours to spend as you please. Both ways can work but the first option is definitely the better long term. However some people are not happy just to be handed pocket money so it can be worth considering the second option. Good luck whatever way you decide and happy wedding planning.

LadyP01

Hi moneywhizz! Thanks for posting and for coming to read my diary.

So it's now March and I posted at the end of January, how did that money fly past?

Wedding plans are coming along nicely, I have re allocated all of our money into sections so I know everything is covered.

Finances

I hold my hands up I'm guilty!!!! I may have gone out drinking with a friend and became a bit reckless with money! First time in a long time. I have also been a bit speedy recently! Purchased a few things I have been saving for and I think the rush of those new items made me think yay I'm going to buy things!!!

The good news

One of oh bills will be paid off next month with just £120 left to pay.

We have now converted his phone bill to a much lower phone bill now that he's out of his contract... a savings of £40 a month.

I need to do a full debt sum up in another post. I will sit here tonight and do it all. Very low repayment money this month which is disappointing but it's just one month and that's what I need to remember.

The future is positive

LadyP01

Quick bills overview

Since September we have managed to decrease the oh debt by £3257.38 and that's not including the bit bills I paid off for him just the debt I coudnt clear back then.

It's slow but we are planning the wedding so we are taking bite size chunks off everything.

Our current debt total is £5087.70

Not including my car that Iv got.

We have reduced our monthly bills by about £200 a month and I can see some area we will be able to slim down as soon as contracts are up.

Currently our monthly bills are as follows:

Income: approx £3800 pcm

Bills
Rent - £546
Petrol - £380
Car 1- £215
Car 2 - £273
Gym - £110
Phones - £35
Car insurance - £42

Debt repayment
Parents £100
Loan - £39

Emergency funds
Car - £150
Christmas - £40
Birthdays - £30
Medical - £50

Social - £400

Areas that we will tackle next

Gym- we had these as individuals so the cost was low when we were operating independently but together it is high so we've agreed we will track our usage and see where our value for money actually is.

Petrol- I think there's a saving to be had here even if it's in vouchers.

Cars - one car is 0% the other car only has 5 payments left.

All of our spare money goes on the wedding right now, once the wedding is over we will be able to storm through the rest of the debt.

Social is non negotiable, I have the oh as low as he is prepared to go right now. It's looking at other finances to cut costs.

Iv enjoyed going back to basics here as it's shown me what we can be doing to make changes.

Cherryfudge

Just popping in to say things really look to be going in the right direction, despite the occasional rocky patch!
I did enjoy your new year list: I have been planning to make reusable gift bags over this year (once I have my other sewing projects under control, which may take a while). I spend so long at Christmas wrapping things, and it's all in the bin by the end of the day. One thing I like to do is add a small Christmas decoration as a gift tag so people can build a little collection - this is only for main presents. It occurred to me I can keep this going while using reusable fabric bags if I want to. I also recently came across an idea for turning old duvet covers into long strips which are then crocheted into bags - easy to care for and, if the photos are anything to go by, nice to look at. I doubt you would get the time right now though, with the wedding to prepare for!

GlendaSugarbean

Great progress!

On the social spending, is that split 50/50? If not, I suggest that once the wedding is sorted you make room in the budget for an equal chunk for both of you here. Yours can go into a personal savings account if you need it to, but don't use it to pay off his debts! Gives you a nice buffer in case you need it.

LadyP01

Hey cherryfudge, thank you, love the idea of the reusable bags, Iv got lots of material for projects to make wraps for gifts and repair a lot of clothes with holes in so I can wear them again... first to relearn how to use a sewing machine.

This year I'm going to try and go down the diy route and make things for people if I can... lots of sewing I guess.

Hey Glenda, that's 50/50, I put half my allowance away for clothes or mini holidays for myself. After the wedding the oh would like to have that budget go up. I'm on the fence as we still have a lot to pay off and a house to buy but it does allow me more in my personal account for myself when I want a trip away with my friends etc.

GlendaSugarbean

No harm in a budget review after the wedding - maybe if he sees the figures for house saving /debt busting he'll come round .

LadyP01

In a bit of a flunk!
I can tell because I'm being very spendy.

I'm really tired and groggy I think that's to do with the unhealthy diet Iv been eating and I just need a shake up.

I have no motivation for anything right now.

So I'm considering a no spend month? And trying to work out what my guidelines will be.
I'm also struggling with Easter and wether to buy really good fun things to do or save the money and go eggs this year. Tricky!

What do you guys think?