That tiny little glimmer

LannaBondLannaBond Forumite
10 Posts
Third Anniversary
Forumite
I've very much been a long time lurker on these forums. Today I decided is the time I 'fess up to where things are at. Looking back I wonder what we have been doing with our money all this time.

A little history, approx. three years ago my husband lost his job, due to his boss having a midlife crisis and wanting his best friend to have my husbands job. At that time we had two loans, two credit cards, an overdraft and a finance agreement, on top of the mortgage and general living expenses. It put the absolute fear of god into me, I was lucky enough to consolidate the loans and finance agreement into one loan and get one of the credit cards moved to a 0% deal, the other was already on one.

Since then hubby has been lucky enough to have quite a long term temp job and we have managed to get rid of the overdraft, one of the credit cards, replace our ancient boiler and redo our bathroom. Until four weeks ago, hubby has been out of work since and we are now just down to my wage, outstanding debts include the mortgage, the loan (still two years left on that) with a current standing balance of £6452, a new finance agreement for sofas approx. £2300 and one remaining credit card with £100 left out of £3200 to pay, which makes me exceptionally happy knowing that next weekend I will be credit card free for the first time in about 22 years!!

Whilst it's tight living on my wage, and there's not much room for fun stuff, unless it's for free, I know I can cover all of our main outgoings (I'll be posting a SOA). So, I'm now wondering what on earth my hubby's wage of £900 a month went on (and how much more debt would have been gone!!!).

I've now decided that I need to keep a proper check on spends and in addition to that (I'm not sure if I found the following on these boards or via one of the many inspirational FB groups I am in!) an eye on just general wastage.


Watching my waste management:
  • Food
  • Plastics
  • Utilities
  • Money


Investing in myself
  • Doing something that makes me happy
  • Doing something that takes me nearer to my long term goals
  • Learning a new skill or restarting an old one
  • Growing my own food


Needs not wants
  • Appreciate what I have and enjoying it


Simplicity
  • Putting a routing in place to keep my life running smoothly and make things more automatic
  • Simplifying my stuff. Declutter here I come!
  • Cutting out the extra noise in life. Allowing myself peace and quiet.
  • Making space for myself
  • Being frugal in my needs
Here's to a new start and smooth sailing through my 40's (hit that milestone in February) and beyond!!
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Replies

  • Toni'sfriendToni'sfriend Forumite
    3.6K Posts
    Sixth Anniversary 1,000 Posts
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    Sounds like a good plan. Good luck. I'll be following to see how you do and you will get some great advice from the knowledgeable people on here,
    Have adventures. laugh a lot and always be kind.
  • LadyP01LadyP01 Forumite
    222 Posts
    Third Anniversary 100 Posts Combo Breaker
    Hey, just stopping by and following. Best of luck on this journey, best thing I ever did was start to love more frugally and consider zero waste. :T
  • LannaBondLannaBond Forumite
    10 Posts
    Third Anniversary
    Forumite
    Statement of Affairs and Personal Balance Sheet

    Household Information

    Number of adults in household........... 2
    Number of children in household......... 0 (unless you count my furbaby!)
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 1349
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 1349


    Monthly Expense Details

    Mortgage................................ 310
    Secured/HP loan repayments.............. 0
    Rent.................................... 0
    Management charge (leasehold property).. 0
    Council tax............................. 119
    Electricity............................. 40
    Gas..................................... 51
    Oil..................................... 0
    Water rates............................. 42.28
    Telephone (land line)................... 0
    Mobile phone............................ 29
    TV Licence.............................. 0
    Satellite/Cable TV...................... 0
    Internet Services....................... 38.73
    Groceries etc. ......................... 180
    Clothing................................ 0
    Petrol/diesel........................... 60
    Road tax................................ 10.5
    Car Insurance........................... 0
    Car maintenance (including MOT)......... 0
    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..................... 0
    Contents insurance...................... 0
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 0
    Haircuts................................ 0
    Entertainment........................... 0
    Holiday................................. 0
    Emergency fund.......................... 42
    Total monthly expenses.................. 922.51



    Assets

    Cash.................................... 0
    House value (Gross)..................... 80000
    Shares and bonds........................ 0
    Car(s).................................. 2000
    Other assets............................ 0
    Total Assets............................ 82000



    Secured & HP Debts

    Description....................Debt......Monthly...APR
    Mortgage...................... 0........(310)......0
    Total secured & HP debts...... 0.........-.........-


    Unsecured Debts
    Description....................Debt......Monthly...APR
    Loan...........................6452......258.......0
    Sofa...........................2300......68........0
    Total unsecured debts..........8752......326.......-



    Monthly Budget Summary

    Total monthly income.................... 1,349
    Expenses (including HP & secured debts). 922.51
    Available for debt repayments........... 426.49
    Monthly UNsecured debt repayments....... 326
    Amount left after debt repayments....... 100.49


    Personal Balance Sheet Summary
    Total assets (things you own)........... 82,000
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -8,752
    Net Assets.............................. 73,24
  • LannaBondLannaBond Forumite
    10 Posts
    Third Anniversary
    Forumite
    Toni'sFriend - I plan on having a good read of the forums, everything that can help me! :)
  • LannaBondLannaBond Forumite
    10 Posts
    Third Anniversary
    Forumite
    LadyP01 - It's something I've been looking into for a couple of months and plan on phasing in as soon as I can!
  • clearmydebtsclearmydebts Forumite
    6.5K Posts
    Part of the Furniture 1,000 Posts Combo Breaker I've been Money Tipped!
    Forumite
    Wishing you the very best of luck on your journey!
    Total (Aug 19):€58,567 Now:€26,947
    DFD:Nov 22/June 22
    Mortgage: €199,712
    MFD: March 2042/July 2034
  • JennyJukesJennyJukes Forumite
    361 Posts
    Third Anniversary 100 Posts Name Dropper I won, I won, I won!
    Forumite
    Hiya Lanna sounds good.

    Quick q's about the SOA:

    You don't buy any clothing?
    You have a car but no insurance? No maintenance? What about MOT/Service?
    Nothing on presents? Haircuts? Entertainment?
    How is there £42 a month going into an emergency fund but you have no cash?
    No pet insurance?

    These things might not be paid monthly but I think for SOA purposes people usually take the yearly amount and divide it by 12.
    Single woman doing it on my own... First house bought June 2021!
    Mortgage end date: 2041. Goal: Anything less!
    Mortgage currently paid off: 4%
  • LannaBondLannaBond Forumite
    10 Posts
    Third Anniversary
    Forumite
    JennyJukes wrote: »
    Hiya Lanna sounds good.

    Quick q's about the SOA:

    You don't buy any clothing?
    You have a car but no insurance? No maintenance? What about MOT/Service?
    Nothing on presents? Haircuts? Entertainment?
    How is there £42 a month going into an emergency fund but you have no cash?
    No pet insurance?

    These things might not be paid monthly but I think for SOA purposes people usually take the yearly amount and divide it by 12.


    Hi JennyJukes,


    Nope, just some new undies every now and then. I have too many clothes, so I just keep rewearing and repairing until they fall completely apart!!


    I pay for my insurance annually, so I probably should have split by 12, which works out at £20 a month, MOT hasn't been more than the MOT fee and that usually comes out of the £42 that goes into what we laughingly call our savings (current balance in that account is £14!).


    I only buy presents for three people and we all agreed that it would be no more than £20, hubby and I don't buy each other anything as we agreed there is nothing we need, as have most of my family. The dog has had more haircuts in the past five years than I have, my mop just tends to get pulled into a bun and forgotten about.



    I did forget about Netflix, so need to add in that £9 per month.


    No pet insurance, even though my puppy is now 16 and a half, we've been pretty lucky that he has been healthy.


    So looking at that I probably need to add an additional £40 a month.


    The £42 was an attempt at taking a payment we used to make for the TV we bought and paid off and try to start a little bit of a savings account, although we do tend to dip in when we are stretched. The thought is there, the follow through not so much!
  • EP456EP456 Forumite
    58 Posts
    Sixth Anniversary 10 Posts Name Dropper Photogenic
    Forumite
    Hi Lanna

    What about TV Licence and home insurance?

    Also, you have Mortgage as nil, but paying £310 per month?

    Best of luck in your quest xx
  • savingholmessavingholmes Forumite
    23.1K Posts
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Forumite
    Hi

    I think your soa is good - I think as DR would say you need to up your income. Is there anything you can do to boost it? Plenty of ideas on the boards. Good luck on your journey.
    Target 1) Prioritise health & social connection 2) Write regularly 42,993/70,000 words Book 2 and 10,787/70,000 Priestess book 3a) Get to £10K EF/Savings Now £4,508 3b) £1.6K Savings for DD Car (Achieved) 4) MFW starting at £201999 Nov 21 with 264 250 payments to go. Now £192,959 5) Mortgage neutral progress via pension £1,887 invested since Nov 21 6) Declutter 7) Invest in fun and frolics - and not just future self! 8) CC Debt free April 22 (now stay that way!!)
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