BigDreams family chasing the debt free dream

BigDreams

HI
A family of four looking to be debt free. We've always been lucky to bounce along paying off credit cards and thinking we were doing ok until the end of 2018 we realised we were carrying debt. Cue some really tight months and throwing everything we had at it and we did it! We cleared the debt! For four months it was blissful, until DH's car died spectacularly in the middle of town blocking traffic so badly that he need help from a couple of friendly policemen to shift it out of traffic and just like that we were back in debt again as we had no emergency fund.
So my big dreams are

• kill the new debt of £6960 lent to us by the bank of mum and dad so no interest but plenty of guilt
• build up an emergency fund at the same time as we get rid of the debt
• our mortgage is already large as we want it gone asap, locked into a fixed deal that runs until the mortgage ends in 8 years. Yes a bit back to front but organised when we thought we were doing fine. Anyway would love to be able to get rid of that a bit earlier too
• Have a proper fat emergency fund so we can get out of this cycle of paying off debt

Thanks
BigDreams

fatbelly

Good. I liked the 'we' bit.

Why not start your own thread in the diary section?

Have a defined goal - like paying off the 7k loan by (insert date here).

BigDreams

Thanks Fatbelly,
I totally thought I had put this in the diary section but clearly not. Anyone know how to move a thread or even how to delete this one and I'll start again in the proper section!
Yes definitely a 'we' situation. All our finances are joint and no one is carrying the load of finances on their own.

enthusiasticsaver

Moved to diaries for you.

BigDreams

Thanks very much for doing that enthusiastic saver

Willing2Learn

Hi BigDreams and seasonal greetings to you and your family

I just dropped by to wish you well in your endeavours. How much of a "proper fat emergency fund" are you looking to build? I recommend having a six-month buffer, as this would cover you against most unknown expenditure (six months of housing costs and bills)

BigDreams

Hope everyone has had a fantastic Christmas and are enjoying boxing day.
Ok goals.
Clear the full £6960 by December 2020 (ambitious) need to pay £550 from wages each month and hopefully find £360 across the year from here and there.
Enjoy the rest of December 2019 within budget!

Have been thinking of cheapish things to do.
Going swimming as council learn to swim scheme the kids go to gives the kids plus one adult a free swim a month so we can all go.
Having a night out with friends budgeted £45 for this so we're hoping to stick to that.
Have the in laws up so doing a pitch up with a dish/pot luck meal for that and we've been given some bottles of booze so can put them towards that x
Going to see star wars using a voucher given to one of the kids (they were happy for it to be used on this film, we're not forcing them to see it just because mum and dad want to see it!)
Food for all the new years family meal has already been paid for.

I moved all the early wages to a separate account so we should be starting January with a normal wage rather than a used up one.

Enjoy the crimbolimbo everyone
Bigdreams

BigDreams

Hi willing2learn,
Right now we have £400 as our emergency fund and I am planning to add £50 a month as we pay off the debt as I don't want to have nothing to fall back on if something I haven't accounted for crops up (as I'm sure it will)
Once the debt is gone I would love to get to £7-10k emergency as I think that would be amazing. Although if you listen to my OH it'll be amazing if I can keep off Amazon!

beanielou

Happy shiny new diary

BigDreams

Thank you Beanielou,
So yesterday we all went swimming for free. Kids had a great time riding the rapids, I got in a few sprint lengths and hubby got the irritating sensation of water stuck in his ear!
Knew yesterday was going to be spendy as we had dinner out with friends planned but ended up spending £6.96 in aldi on some basics like milk flour, cheese. We'd budgeted £45 for the meal and it ended up being £63.60 ouch. Overall between shop and overspend we went over yesterday by £25.56.
I've got an online shop coming on the 30th as I am hosting the family elders for new year so went on and culled a few bits from that and have clawed back about £9.50. Not amazing but not nothing either.
Plans for today. It'll be a NSD.
Get my forty five minutes of weightlifting done (all done at home)
Go through kids clothes and remove the too small items and either pack away in loft for wee one to grow into or bag for charity shop.
Find places for all the toys/lovely gifts kids got from everyone
At least make a start on DD1's bedroom curtains, embarrassingly the material has been sitting in our bedroom looking at me since July and I just can't motivate myself to make them which is stupid as it's the last bit of her room to be done.

Right, that's not a small list, off to get started.
Have a good day everyone x

BigDreams

So yesterday was a nsd. Managed the following:
Weights. Done
Curtains made, lined and hung up. Done
Went through all the kids clothes to check for sizes. Done
Didn't get the toys sorted through/put away

Today's tasks
Weights for me.
Sort/put away toys.
Make giant macaroni cheese for family pot luck meal.
Have worked on the budget quite a bit over the last month so will be setting up standing orders to channel off money into what seems like a a thousand different money pots.
Having gone back through previous statements (over and above the obvious no emergency fund)
I think part of the issue is bills went out and the pool of money left was a free for all. If there's money there and we were out for the day then it was fine to just go out for dinner. We didn't really think what else might crop up.
So thanks to statements we've an idea of what we think might be spent in various categories. Will see how January goes and tweak as necessary.
The big standing order will be £550 to my parents and I am slightly frightened despite having worked everything out, we'll still be short in January.
Have a good day everyone
Bd x