No Debt but struggling

datlex

Hi OP,
Have you tried putting aside half of what you think you should be saving at the beginning of the month? Set up an SO for a savings account.

Where does your mum live? £500 is a lot of money to give her. Could you help in other ways? (I had a quick read through but couldn't see if this has already been answered)

Zoe185

Hi Datlex,

I've been thinking about that, I've just started doing a spending diary to first figure out where the extra money which I should have left over is going. Hopefully should have a clearer picture by the end of the month.

The £500 is literally for bare minimal essentials, maintenance bills for the apartment (she lives in a coop society so this has to be paid every month), electricity, gas, water and medical bills for her and food. With the rate of inflation this juuuust barely covers it. As I pay all the bills from here I'm definitely keeping a check of all the amounts.

She has sisters (who all live away) but they think I'm irresponsible for leaving her alone and moving overseas to U.K. and refuse to help even a little. All they want me to do is quit my job and my life and go there and take care of her. I'd do it too but salary wise it would be a massive hit and I'd barely be able to sustain the house on that.:mad:

Been trying for a while to find other jobs but they unfortunately pay a lot lower than what I'm currently earning. I know that sending money for mom is taking up the bulk of my pay but it's a matter of survival for her. My conscience will kill me if I left her to fend for herself when I know she can't.

Ahh well unless by some miracle my salary increases I guess I'm just stuck.

fiisch

Zoe185 wrote: »

I feel lik crying, thank you for the kindness, encouragement and advise. I'm happy i kicked the gambling habit that would have taken me down completely. Had a lightbulb moment when I thought of touching savings.

My mom is important to me, unfortunately where when lives there is no help for the elderly so its upto me. no not going to stop paying for her rather cut back on my my own for a while. She's hasn't had the best life just want to make sure she's taken care of.

I used to live in central london in a flat share the most miserable 5 years of my life. Was paying approx 600 then plus transport costs. I'm much more happier and at peace living alone.


A bit too scared investing in Stocks ISA, thought about it but risking this kind of money would make me fret. Ive been trying to research otheraccounts which will get me a better interest rate. Calculating on my current ISA I'm getting interest of 0.033% per month. Not sure how good or bad that is tbh

Utterly appalling!! At 0.033%, that's probably the worst I've seen.... Your savings are losing money in real terms every day due to inflation (i.e.: what £25,000 can you buy you is diminishing due to inflation, but the interest rate in your ISA is not keeping pace in any way shape or form).


I suggest the very next thing you do is open an Atom Fixed Savings Account (see Savings under MSE website). It's not going to make you rich at 2.1% (or thereabouts) - circa £500 interest per year - but at least your savings won't be losing money, and this involves zero risk.

paddlingfuriously

Hi Zoe, well done for your fantastic savings and for helping your mum. I just wondered, have you thought about looking into some volunteering? I've had my own bouts of struggling to see beyond work - home - work. As your mum isn't in the UK, perhaps something that helps an older person who for their own reasons doesn't have many family or friends nearby? Age UK has a scheme called Call in Time - the only commitment is to call a lonely older person you've been matched with for a 30 minute chat once a week - the link is here http://www.ageuk.org.uk/health-wellbeing/loneliness/sign-up-for-telephone-befriending/ It's a lovely thing to do that makes a huge difference to the older person and their volunteer. I can't recommend it enough.

And remember, like lots of people have said - you're not in debt and have great savings - two huge positives. Make sure your savings are working as hard as they can be for you :-)

bubblycrazy

Have you looked for vacancies in your line of work in another part of the country? The pay might be slightly less but your rent could halve!

What would happen to your mum if you weren't paying her bills? Surely there's something in place to help her, or her sisters would step in? Is there no other family?

Silver_Queen

Hi, you live a very frugal lifestyle and I really commend you for looking after your mum like that. I would do the same and I completely agree with you saying that it's something that cannot budge.

I wonder if you would be able to move somewhere else in the UK i.e. Up north? The pay would likely be less but the cost of living also significantly less.

Have you considered becoming a lodger for a while? Rather than housesharing with others it would be with a family and probably a bit less hassle.

Your rent is enormous and if possible, it would be better to buy because at least you'd be paying for something rather than throwing the money into oblivion. This is only if you plan to remain in the Uk, though. Would you be eligible for help to buy?

foxgloves

That rent is just eye-watering, Zoe. I feel for you & anyone in a similar situation who is having to find that kind of money each month. Moving further north would be an upheaval & reliant on finding a job, but as someone living only as far north as the East Midlands, I can agree with a previous post that rents are a lot lower. For instance, if I wanted to rent out our 3-bedroomed semi (which I don't), the expected rent for around here would be about £650 pm...........& the monthly mortgage payment is significantly less than that. Upping sticks & moving is always scary but it is there for you as a future possibility.
F

EssexHebridean

Absolutely understand you not trusting stocks & shares ISA's - I think you need a certain degree of knowledge on the way things like that work before you can feel comfortable about it 100%.

Check out what options there are through your own bank as a starting point - some offer a regular saver account linked to your current account that mays good interest (around 5% annual rate) on a regular monthly deposit of £250 or £500 - so you could perhaps make a start by filtering some of that ISA money across to an account like that. Have a read of Martin's guides on savings etc so give yourself a bit of background information and some added confidence on what to do next.

leicestersq

If I were in this situation I would seriously consider moving my cash from cash into shares.

BP is yielding 6.9%. On 25k that is £1725 per year, or £30 a week.

RDSB is yielding 6.8%.

Buying shares is a risk though, you can lose every penny of your capital. If a replacement for oil and gas was ever found, I doubt if you would get a penny back from investing in these shares.

On the other hand, the return on your money at the moment is pitiful, far less than inflation. The current trajectory is that your savings will become worthless at some point, you are going to lose the real value of your money, albeit very slowly.

LMG1305

Is it possible for your mum to move over here with you? Probably a bit drastic but as everybody has made every other suggestion possible, I just thought I would throw it in there.