SOA - maternity pay 30 June 2018 at 9:14AM in Debt-free wannabe 19 replies 1.9K views

Tobuildafuture

Hi everyone,

I have just recently started Maternity pay and am now on my statutory. I planned before I went off and so far we okay but we don’t have much money left over. After doing my SOA, we should have money left over but we don’t. I am going to start a spend diary from when we get paid on the 8th to see where it is going but have posted my SOA below for people to look at to see if I can make savings anywhere else...

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 2

Monthly Income Details
Monthly income after tax................ 631
Partners monthly income after tax....... 1302
Benefits................................ 82.8
Other income............................ 0
Total monthly income.................... 2015.8

Monthly Expense Details
Mortgage................................ 619
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 138
Electricity............................. 30
Gas..................................... 13
Oil..................................... 0
Water rates............................. 21.44
Telephone (land line)................... 10
Mobile phone............................ 53
TV Licence.............................. 12.37
Satellite/Cable TV...................... 0
Internet Services....................... 27
Groceries etc. ......................... 200
Clothing................................ 0
Petrol/diesel........................... 100
Road tax........................15
Car Insurance........................... 50
Car maintenance (including MOT)......... 28
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 12
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 1328.81

Assets
Cash.................................... 1000
House value (Gross)..................... 160000
Shares and bonds........................ 0
Car(s).................................. 9000
Other assets............................ 0
Total Assets............................ 170000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 131650...(619)......3.49
Total secured & HP debts...... 131650....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
MBNA ..........................4666......100.......0
Tesco loan.....................4944......136.......3.49
Yorkshire bank loan............10355.....191.......3.49
Total unsecured debts..........19965.....427.......-


Monthly Budget Summary
Total monthly income.................... 2,015.8
Expenses (including HP & secured debts). 1,328.81
Available for debt repayments........... 686.99
Monthly UNsecured debt repayments....... 427
Amount left after debt repayments....... 259.99

Personal Balance Sheet Summary
Total assets (things you own)........... 170,000
Total HP & Secured debt................. -131,650
Total Unsecured debt.................... -19,965
Net Assets.............................. 18,385


I do online surveys to make a bit more money to pay off credit cards sooner. I did the snowballing and I need to pay off MBNA first as 0% interest runs out Aug 2019.

Thank you for reading :beer:

tallyhoh

Hi, are both the cars paid for or is one a company car?

Tobuildafuture

Hi Tallyhoh,

One is being paid for by parents and has 1.5 years left to go and the yorkshirebank Loan is for the other car.

Xx

tallyhoh

Do you actually need 2 cars, judging by the fuel you don't go to far. I actually think you may be under estimating your needs, there are lots of areas where you should have something. As you have a a child I think life insurance should be considered.
Nothing for:
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 0
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0

May be you should allow something for these.

buythedip

Hey. What’s the deal with the cars? They’re valued at 9k but you have a 10k+ loan. Does this include the arrangement with your parents? And could that be at risk in the future?

Tobuildafuture

We are in a bit of catch 22 with the cars as when we got both we needed them but husband now has a works van and I am on maternity. My Fiat 500 is what parents are lying for until 2020 however is too small for us with baby which is why we’ve also kept husbands astra. Bring on 2020.

I will look at those areas where it seems a bit light to try and put money away for them. The emergency fund we have £1000 saved as baby step one and then the next bit was to pay off debt as step 2... shall I keep saving in emergency instead?

Thank you for your input :beer:

Tobuildafuture

I meant paying for not lying for lol!

Tobuildafuture

Hi buythedip...

The 10k loan includes interest that we would pay too and cars depreciate as soon as drove away. We paid £8k roughly for the car initially but I presume that we only would get £6k now and my car would be worth £3k.

Parents do not want paying back it was a gift from them.

Thanks for responding

enthusiasticsaver

I am confused about the car situation too. Your parents have another 1.5 years to pay off a loan for a car too small for you to use? That sounds crazy. Why don't you sell the car and clear the loan? The car will be worth less in 2 years time and in the meantime your parents are paying out for a car not being used.

Tobuildafuture

To clarify the car situation fully as this seems to be a sticking point for everyone; the car that my Mam and dad pay for isn’t on a loan it is finance to the car dealership which runs out in Feb 2020 - I didn’t think that we could send it back without a penalty? Therefore as your right it is just sat there doing nothing unfortunately until it comes to an end.

enthusiasticsaver

I think people are focusing on the cars as you have listed them as assets and as an asset you don't use that £3k would be useful to go towards clearing your debts. It would also save you on insurance/maintenance etc. Now you have clarified it is on a finance deal I am not sure it can be counted as an asset. All these pcp deals if this is what it is purchased on seem to have different terms and conditions. Most require a balloon payment at the end of the term in 2020 and then the car is yours. After 50% of the deal sometimes you can give them back without penalty so have you checked that out?

Your soa has a lot of gaps. I think keeping a spending diary is a good idea and as you have £1000 as an emergency fund I would put all spare money towards the debt now. As your mortgage and debt repayments take 50% of your income there is little leeway to reduce your outgoings without focusing on the debt. Apart from the mobile phone where you could go sim only there is little to reduce elsewhere. I would agree that there are gaps which is probably where the spare money is going. Your utilities look low and there is nothing in gifts or entertainment and no child related expenses or clothing.