Frugal until 60!

Hopefuljoy

Well here I am again after some tumultuous years in which I tried to start a diary twice and gave up quickly. I think the problem was that I wasn't writing for myself but now I'm just going to plonk down my ramblings and see what occurs!


My DS has emigrated to Australia (it's been 2 years) and my DD is in her first year of a Geography Degree so I am on my own most of the time. I miss both of them but I've got the 3 cats and 1 Yorkie at home so it's not lonely. Added to which I've a lovely and loyal circle of friends so all in all I feel blessed.


On the not so great side I had a nervous breakdown last year and left teaching in April 2018 having been victimised by a rather unique individual shall we say. Have picked myself up and gone back to a career in HR but at a vastly reduced salary as I've stated all over again near the bottom. Added to that the CSA money which used to boost myself and DD naturally came to an end. Not complaining about that as it was foreseeable and fair, however, I am down by over £800 pcm!!!!


So my budget is squeaky to say the least and I'm struggling keeping it all on track.


I owe my savings £369 and it will take me 3 and a half months to pay it back to myself. I promised myself I wouldn't dip below £5,000 and am very cross with myself. I view this as debt to myself as that £5k is only supposed to be for genuine emergencies.


Will post my SOA later!! I know I can live perfectly well on what I have but need to keep motivated and aware of every penny I'm spending otherwise it'll all go to a very fiery place in a wheelbarrow!!!!

Finchy2018

Goodluck!

I need to start getting an emergency find together. You be given me food for thought!

enthusiasticsaver

Good luck. A £5k emergency fund is a good buffer. Do you have a mortgage and how long until 60?

Hopefuljoy

I just lost a long post!!! Oh well!


Thank you Finchy and Enthusiasticsaver. I was posting my SOA when I pressed the wrong button. But to answer your points,


The emergency fund is set at £5k partly because I like the number (!) but mostly because it would cover just about every dire emergency I could think of from having to replace my car or boiler through to keeping myself going for five months if I lost my job and had nothing else to live off.


I have a mortgage I will not be able to pay off at all by 67 but I have enough equity to downsize to a flat in this area or a house elsewhere so I have let myself off the hook with that one. I am grateful for what I have and have decided not to punish myself too much on this one!


My SOA is as follows.


Have 24 years in Teachers Pension deferred which will grow at a rate of 1% pa until I claim it at 67 or hopefully earlier at 60 with an actuarial reduction.


Will get full single person's state pension at 67 if it is still going by then!


Am building a Local Govt Pension in my current role and want to stay in Local Govt until I retire. Again I can take this at 60 with a reduction.


My net monthly income is £1,295 after all deductions and my expenses are as follows.


Regular payments via Direct Debit


Mortgage £220.00 interest only
Council Tax £127.00
Water £44.70
Gas and Electricity £55.00
TV Licence £12.12
Mobile Phone £39.00 (DD and me - will go down in June)
Internet and broadband £15.00
Buildings & Contents Insurance £9.10
Vehicle Tax £1.67 (£20.00 per year)
Dog Insurance £9.00
Dog vet cover £12.00
Cineworld £17.90
* Life assurance £25.82
Sponsorship World Vision £22.80
Save the Children £2.00
Netflix £5.99


Savings per month for foreseeable expenses (instant access)


Vet bills for three cats £16.67 (£200.00 per year)
Amazon Prime £6.58 (£79.00 per year)
Christmas £16.67 (£200.00 per year)
Birthdays £16.67 (£200.00 per year)
Holidays £29.17 (£350.00 per year)
Travel Insurance £1.67 (£20.00 per year)
Home maintenance £50.00 (£50.00 per month)


Savings for emergencies and long term


£100.00


Cash Account for everyday expenses


Food and Supplies £151.67 (£35.00 every week with £60pcm of that going to my DD to help at Uni)
Petrol/Diesel £130.00 (£30.00 every week)
Teas out and entertainment £43.33 (£10.00 every week)


All that should leave me with surplus of £113 pcm, however, I never seem to have that! If I did I could start putting more money away or make my life easier in other areas.


So I realise I need to stop frittering and I have identified exactly where the money goes, food, snacks and food and snacks! Which is why I also weight three more stones than I should!


This month I need to get a grip and try harder. If any one has any ideas I would be very happy to hear from you.

Hopefuljoy

Hi there! Forgot to say I have 8 years to go until 60.

Buffythedebtslayer

I am so impressed you left teaching.

And it sounds like you have a plan, a good plan.

XX

enthusiasticsaver

Good budget although the food looks tight if you send £60 to your DD every month leaving you with less than £100. Nothing there for haircuts/toiletries or clothes either. Whilst charity donations are to be applauded of almost £25 a month I am not sure I would prioritise these over paying off your mortgage which is worrying if interest only although if you are definitely happy to downsize or move elsewhere just on the equity I guess you have that covered. Do you get good use of the Cineworld pass and the amazon prime?

candygirl

Buffythedebtslayer wrote: »

I am so impressed you left teaching.

And it sounds like you have a plan, a good plan.

XX

Me too.I'm totally with you on that hun;)

ImpulseSpender

Just writing to say good luck on your journey! My aim to have a 5K emergency fund/savings but I'm a long way off at the moment :rotfl:

Hopefuljoy

Thank you kind visitors!!


Candygirl and Buffy I had to leave teaching as my mental health was taking a pounding, it was an act of self preservation and very painful. I'm really glad I did though!


Enthusiasticsaver - The food money is a bit tight but I do okay at the moment as I make as much as possible and swapped out the meat for quorn. I go to Lidl as well and do the Aldi supersix which both really help! On the subject of the mortgage it is a shame to think about moving at some stage but there is no way I can pay it off and I am a pragmatic person. I am reconciled to downsizing!


Today I investigated all my expenses and targeted my life insurance. My LGPS pension will pay out three times salary if I die and my adult children are now financially independent. There is also £240,000 equity in the house to share between them. I've been paying £25.80 or so or month but its not needed any more so I have cancelled.


Effectively I've given myself a £300 pay rise per annum!!!!!!


I've also switched to the MSE club gas and electricity deal which means my bills are fixed for two years at £55 pcm. Relieved to be protected from increases for a good amount of time.


Tonight I had a gifted Mac and Cheese with chips for dinner so I am now cosy inside and out!


I take the point about giving to charity, however, I have kept going sponsoring a child in Tanzania for the last 6 years and have always promised that whatever happens to me financially she is not going to suffer. When she reaches 16 and its time to change then I will review how I give.


So that's all for today folks! I hope you are all warm, well fed and content tonight.

candygirl

Hopefuljoy wrote: »

Thank you kind visitors!!


Candygirl and Buffy I had to leave teaching as my mental health was taking a pounding, it was an act of self preservation and very painful. I'm really glad I did though!


Enthusiasticsaver - The food money is a bit tight but I do okay at the moment as I make as much as possible and swapped out the meat for quorn. I go to Lidl as well and do the Aldi supersix which both really help! On the subject of the mortgage it is a shame to think about moving at some stage but there is no way I can pay it off and I am a pragmatic person. I am reconciled to downsizing!


Today I investigated all my expenses and targeted my life insurance. My LGPS pension will pay out three times salary if I die and my adult children are now financially independent. There is also £240,000 equity in the house to share between them. I've been paying £25.80 or so or month but its not needed any more so I have cancelled.


Effectively I've given myself a £300 pay rise per annum!!!!!!


I've also switched to the MSE club gas and electricity deal which means my bills are fixed for two years at £55 pcm. Relieved to be protected from increases for a good amount of time.


Tonight I had a gifted Mac and Cheese with chips for dinner so I am now cosy inside and out!


I take the point about giving to charity, however, I have kept going sponsoring a child in Tanzania for the last 6 years and have always promised that whatever happens to me financially she is not going to suffer. When she reaches 16 and its time to change then I will review how I give.


So that's all for today folks! I hope you are all warm, well fed and content tonight.

You're doing amazingly already hun!! I taught for years, then chose to do supply, for the flexibility so me n ex Hubby could travel. We had a blast for years , n went all over the world
After we split my Dad became terminally ill, so I worked , n tried to
care for him, until it all became too much n I broke down
I've no pension, but have paid my mortgage off, so have the house, and my freedom .
I am skint compared to most, but quite content really.No way would or could I go back into teaching