F.I.R.E. Starter, the journey begins 4 August 2019 at 8:32AM in Debt free diaries 58 replies 5.7K views

TheAble

Maybe save a rental property for a good way down the line. Get some nice liquid investments first. Would you really have wanted to be a landlord during COVID for example? The political winds have been unfriendly in this department for a long time now and show little sign of changing.

FIRE_starter

I've felt quite excited this week at the potential for this year. 

Based on our direct debits for our loan and CCs we are £553 short a month for our debt free at the end of the year plan. The first five months of the year we are paying our summer holidays abroad which is £417 a month so I'm pleased to say June onwards it will be easier to meet the £553. 

DH does on call work over winter and is called out if they need to grit. This means January and February we will likely easily achieve the £553. 

It will be March, April and May we will have to be quite focused to achieve the £553. However money made from gritting will go to overpaying so hopefully we can pay off more than £553 a month in January and February and make the spring months easier. 

DH gets paid weekly and I monthly so the plan is to check what we need that week for bills, fuel, food, social then pay what's left off the loan each Friday then on a Thursday night see if anything is left, if so make another payment off the loan. 

This week I got overexcited and paid what I predicted may be spare on Thursday off last weekend. I was wrong as DH had booked in a car service which I was not aware of and we are now in the overdraft so you live and learn! Annoying as we are charged a daily fee for the use of the overdraft but fortunately only one day. Still we paid £100 off and are £60 in the overdraft so still £40 that previous week we would have not paid off! 

This week we will pay off £600 and possibly another £50 on Thursday. Looking at the bills and the dates they go out, I think this week will be the week each month we potentially make the big payment which is exciting. 

My head is spinning with plans so I just need to be careful and focus on sticking to this one as I have a history of burning out!

Have a good week everyone

FS

FIRE_starter

TheAble said:

Maybe save a rental property for a good way down the line. Get some nice liquid investments first. Would you really have wanted to be a landlord during COVID for example? The political winds have been unfriendly in this department for a long time now and show little sign of changing.

This is very true. We are a way off so really it lie in the sky but I like to dream! 

Bluegreen143

Following your diary @FIRE_starter! Sounds like your kids are at a similar stage to ours (we have a 6yo son and 3yo daughter). Do try to post regularly if you can, I always find I’m way more frugal if I’m engaged with this forum! You have debts but I’ve seen diaries on here where people have had way more, so you will get there.

One thing which helps me when trying to be frugal with a young family, is I try to think every day - what have we done today that was fulfilling or fun without spending money? A walk in a park with the kids to feed the ducks, having a friend round for a cup of tea, spending an hour in the garden or on a craft project, baking snacks with my kids. 

I think it’s easy to get caught up in seeing debt repayments or frugal living as a slog/interfering with what you want to do with your family, but I try to actively look for how my frugal ways are adding happiness, meaning, fulfilment etc to my life - it really helps me feel content with what I have and reduce the temptation to get my purse out and buy something!

FIRE_starter

Bluegreen143 said:

Following your diary @FIRE_starter! Sounds like your kids are at a similar stage to ours (we have a 6yo son and 3yo daughter). Do try to post regularly if you can, I always find I’m way more frugal if I’m engaged with this forum! You have debts but I’ve seen diaries on here where people have had way more, so you will get there.

One thing which helps me when trying to be frugal with a young family, is I try to think every day - what have we done today that was fulfilling or fun without spending money? A walk in a park with the kids to feed the ducks, having a friend round for a cup of tea, spending an hour in the garden or on a craft project, baking snacks with my kids. 

I think it’s easy to get caught up in seeing debt repayments or frugal living as a slog/interfering with what you want to do with your family, but I try to actively look for how my frugal ways are adding happiness, meaning, fulfilment etc to my life - it really helps me feel content with what I have and reduce the temptation to get my purse out and buy something!

Bluegreen143 I absolutely love the idea of this mind set. This will be my goal for the week to work on appreciating everything non money related. 

I was just thinking as I am lying in bed running over my spreadsheet, what am I going to do since there will be no overpayment for two weeks due to bills going out, how will I stay focus and excited. Maybe the key will be moderation and refocusing the efforts into more wholesome family friendly stuff. 

With DH working quite a lot gritting these last two weeks I’ve noticed the tv use go up and then the kids struggling to regulate their emotions when we need to get dressed or general leave the tv so this week unbeknown go the kids we have stopped putting it on on week days and what a difference! They get dressed for preschool and school easily, they enjoy activities they otherwise wouldn’t have been looking for. I’m now trying to convert my friends to tv free week days! 

I also agree with the engaging with the forum, about 10 years ago I joined with another account I’ve locked myself out of and saved dutifully as a result. My plan is to do a weekly Friday update to keep myself on track. 

Good luck with your plans. 

FS 

Bluegreen143

Oh well done on the TV free weekdays. We have very specific times the kids are allowed to use screens - evenings before dinner but only after 5pm/homework is done/they have played or we’ve been at the park for an hour/and they’ve had a bath. Usually ends up about 30 mins or so.

Weekends we are much more relaxed but again have specific times - in the morning but only if they’ve played for at least an hour and had breakfast, and in the evening but not before 4.30pm (later or not at all sometimes if we have afternoon/evening plans).

Because we are very specific in when screens are allowed I find they understand the rules and don’t even ask for it at other times which makes life easier!

I know what you mean about maintaining focus in between paydays. The paydays and monthly budgeting bit are the exciting but! But this mid-month time is the time when small everyday actions - meal planning or using up leftovers, finding free entertainment etc - will mean you’re where you need to be next payday. Sometimes I like to list “one frugal thing a day” that I’ve managed to do (must start doing that on my diary actually!).

FIRE_starter

I’ve had some good news this week, DH has been offered a month working in the office at his work. It is the move he’s been looking for as natural progression from where he currently is. I’ll have everything crossed for his first week! 

We’ve had no big spends this week but a few planned outgoings with birthdays and food shop etc.

I have contacted the loan company to check if there is any fees incurred for overpayments - there is not! 

No spends tomorrow as I’ll be at work all day with a packed lunch so I have paid the £40 we have left this week straight off the loan. This feels good. 

FS

FIRE_starter

Morning all, pay day has come! By my calculations, we have £154 spare so I have transferred that over to the loan before I start to make the mistake of wasting it!

I have friends over tonight so I'm trying a fakeaway from the new pinch of nom book. Hoping it'll be as good as the ones from their other books. Cheaper alternative to take out and better for us too! 

If I have a tenner left over by Thursday I'll be pleased, so that is going to be my goal! 

Dh was called out last night which means next Friday we'll get a bit extra in his pay for over paying debts. I'm starting to tire doing all the dinner, bath, bed alone for the kids and honestly I take my hat off to single parents and parents who have partners travelling for long periods. Dh did two weeks straight of evenings gritting and I was on my knees. Luckily this week he had some respite from it and last night was his first call. I really appreciated sitting with him on the sofa like never before. 

I'll update the signature but I'm most excited for Tuesday when all the big direct debits for the debts go out which will make a big difference! 

FS

FIRE_starter

Morning, 

An unexpected payment came up yesterday (friend who booked our camping trip messaged to tell everyone the outstanding balance due next month and I’d prefer not to have them waiting so sent it straight over) meaning my budget for the week has become nearly £0. DH and I have set ourselves a no spend  
challenge for the week. There is no reason for any spends to be honest but it will be breaking a habit of a lifetime so wish us luck! I’ll keep you updated on this one. 

FS 

enthusiasticsaver

Sounds like you have a plan to get rid of the debt. CC2 is relatively small so I would target that first.

Before going into being a landlord I would urge you to do lots of research. We went the other way when planning for FIRE and overpaid into pensions and stocks and shares ISAs. We did this on the grounds that investments are more liquid, no maintenance needed or chance of dodgy, unreliable or non paying tenants and our investments were still growing without any effort whereas rental properties earn you nothing if sat empty between tenants. More tax efficient too in that you get tax benefits on paying into pensions and stocks and shares ISAs are free of tax but rental income isn’t.