Help with CC debt please (+ general advice)

Willing2Learn

Mr87 said:

Are your council tax payments spread across 10 or 12 months?
It's 10 months, but I've taken the total cost and divided it by 12.

Are your water rates payments spread across 10 or 12 month?  And is it metered?
Non-metered, need to check RE 10/12 months.

Hi,
The reason I ask about whether you have 10 or 12 payments throughout the year is because, when you are setting yourself a realistic budget to reduce your level of debt, then the budget works better if you have equal monthly payments throughout the year (ie 12 equal payments) 

Mr87

Thanks w2l. As it stands the 10 months work out quite well as the car servicing /mot / tax/ insurance falls in the feb/Mar window so helps to even the expenditures out. Although you'll tell me I should save the equivalent each month for that not to matter! 

As a matter of interest on going up to full time from 0.9 it means the marginal income is effectively taxed at 60%! Surely this is not a great incentive to work... In fact it encourages me to concentrate more on the moonlighting as I can pay myself via dividend. 

monetxchange

It's nice for everyone to have a dream and also take time out of work sometimes to follow a passion. I'm not sure this is the time for you as a family to be able to do it without falling into more debt, but it's ultimately your choice. What I would say is don't fall into the trap of paying extortionate amounts for things like professional edits or reads or feedback etc - if her work is strong enough and an agent is interested, they will work through that with her to get it ready to submit to publishers. There's a lot of people out there selling the dream and it often is just a scam. Encourage her to get into writer Twitter and find some free workshops and schemes and groups to help develop her work.

Mr87

Hi all - I just wanted to update on how the last month went since I posted my SOA and got feedback from you all. In summary, knocked off £450 from my CC balances and that was even after shelling out £300 odd on insurances for the year. Incredible feel good factor, I think this is the most I've ever paid off my CC balances save for when I've had the odd windfall in the past. So I can definitely see light at the end of the tunnel. Thanks all for kind words and encouragement.

Fireflyaway

The 2 areas that stand out to me that could be cut a long way are groceries and entertainment. One easy thing you can try is to withdraw money for the 2 above categories and put it in 2 plastic envelopes. It makes you think before handing it over and when it's gone, it's gone. Kids just want to spend time with their parents having a laugh so a lot of family entertainment can be free. Especially now when everything is restricted!
I also agree that you probably haven't properly adjusted your lifestyle since your circumstances changed. As for the book. I'm also writing a book but I'm not planning on it bringing any income. If it does that's a bonus but I don't think you can factor it in. 

RAS

Hi, well done so far, can I suggest you agree to ban new clothes shopping for a year, except essential undies? It's so tempting to add a few bits to every supermarket shop. The exception would for the eldest child, providing the items were gender neutral so could be passed down.