Facing reality

jwil

That's great progress, well done!

Sarahwithlove

Lookafterthepennies2020 said:

What progress you have made 😁, happy belated birthday. My YNAB is almost up soon but I have decided to renew also.  I do have a spreadsheet that I use also but think YNAB really keeps me on track day to day because I'm thinking about what I'm spending on and fiddling about with it and all my pots keeps me busy and not spending lol.  X

Yes I always check my YNAB before I purchase something and find it easier to manage all the different pots. Maybe in a years time I will be into a routine and it will be simpler to manage via a spreadsheet but for now I'm keeping ynab. My first year was free anyway so can't complain really. 

Sarahwithlove

SuperFrank88 said:

You’re smashing it Sarah, well done! I’m also going to be renewing my YNAB when my student year is up, worth every penny! 

It's very much a love it or hate it with ynab I think. I agree with you I think it's worth every penny. 

MB148

Well done Sarah, you have done so well in such a short space of time! CC's almost gone, hopefully we will both be debt free by the end of this year!

Choccygirl123

Well done Sarah, you've had a great year. I think the important part of the debt free journey is changing habits. Your planning, budgeting and pots is definitely working! 

Sarahwithlove

MB148 said:

Well done Sarah, you have done so well in such a short space of time! CC's almost gone, hopefully we will both be debt free by the end of this year!

Thanks I hope so be nice if that was the case.

Choccygirl123 said:

Well done Sarah, you've had a great year. I think the important part of the debt free journey is changing habits. Your planning, budgeting and pots is definitely working! 

I agree I think the first year is about learning the skills to manage long term and I have ynab to thank for that. 

rugbymadfamily

What a year, well done you! Really great progress, keep it up!

Sarahwithlove

rugbymadfamily said:

What a year, well done you! Really great progress, keep it up!

Thank you let's hope for another successful one. 

Sarahwithlove

So I had my weekly check in with my dad last night and every time I speak to him he keeps asking me are you doing OK financially. Do you need any money. Answer is no as I'm doing OK but it's got me thinking about my emergency fund and my credit card. That's my biggest worry debt wise at the moment as my loan to my dad just ticks along nicely with it SO of £100 a month going out.
So do I use my emergency fund and clear my credit card knowing that if something were to happen my dad would lend me the money or do I keep doing as is? I could quite easily build my EF back up over the rest of the year and it would mean no more CC but then I sort of like having that reassurance that the money is there if needed. Its very tough as both my car fund and house fund are looking OK atm and next month would both have £500 in so maybe I should reconsider it then? All my pots would be in a good position and would just be a case of the little ones ticking over so could either put a significant amount back into the EF or pay off the card.
Im just so impatient to see it gone and its frustrating knowing the money is sat there and that I have access to 0% credit card and bank of dad if it was needed.
Urgh what would you do? 

t2rry

I would do what you're doing - thinking about it and going round and round about it as I've done this many many times in the past.

I think it essentially comes down to the best way it works for your psychology.  Which approach will give you the better push, for instance, which probably only you can answer.

I've had both instances happen to me - where I've paid off credit from saved funds and it's been the best thing for my mentality about saving moving forward, then also where I've paid off from saved funds and later had to have a juggle around which could have otherwise been avoided - although when you have to find a way to figure things out, you invariably do find a way!

To note though, thinking through that objectively, I have never once regretted keeping funds in a saved pot because the option is always there.  Unless there is interest accruing, which would be a different question of course.

Alternatively there's always the compromise approach, keeping say half and half, gives you some emergency fund still in place for reassurance but also takes a huge percentage chunk out of the CC.

And I think you can see that I'm pretty good at going around the houses with these sorts of dilemmas!!! But hey, it's a good position to be in to have funds there and questions to answer rather than the alternative!