Pacing myself!

Fireflyaway

I'm really fed up with how I manage my money! I get my bills paid and have a bit left over for spending. However I seem to spend most of my money when I'm paid and by the second week in I'm struggling. Week 4 I might literally have a few pounds left. I really hate the stress of it. Today we went out for dinner and I didn't enjoy it 100% because I was worried the bill would be more than I had in my account! I know people living on lower incomes than me who do things I wish I could, such as doing a supermarket shop on the 20th of the month or not having to wait until payday to replace a broken such and such. 
I know it's just discipline but is there something I can try to change my habits of make it easier? 

MovingForwards

Careful budgeting.
Sticking to the budget.
Willpower.

I work out my bills / outgoings on an annual basis, tweaking as things increase / decrease.
Each month I stick to my budget.

When I first started over I drew out my money for the week, if I spent that cash it was gone until I drew the cash out the following Friday (I never did overspend when paying by cash), if I underspent I took out less next time. 

Eg £1000 salary, £100 savings, £700 bills = £200 to last 4 Fridays, means £50pw for food, going out etc.

Even now, nearly 4 years later I have my income / outgoing spreadsheet and savings spreadsheet. If I'm getting my haircut, eyebrows done etc I reduce the amount I'm putting into savings for that month.

You need to do an audit of your / kid clothes, see what you have, make outfits of them and stick with buying smalls for you and clothes as necessary for your kid ie when outgrown. 

Same with make up and anything else you buy.

Also do a good cupboard and freezer audit, stick to a shopping list and cut down / out the treats.
Going out / take-away are treats. 

Then do a financial audit, check your statements and see where you are spending.
Check contracts for mobile phones, internet, TV packages and see what savings can be made.

Are you claiming all the benefit you're entitled to?

Fireflyaway

Thanks MovingForwards. I've done a little spreadsheet of income and outgoings. It is tighter than it used to be (you know my situation from the other board) but I feel I have enough. I'm pretty content and don't want for much. My problem is just not spreading out the money. I did used to use the envelope system and using cash definitely helped me spend less. However now there are so many places not accepting cash so I no longer do that. Maybe I need to write down everything I spend. I have opened a second account so one is for bills and the other spending. I'm sort of claiming the benefits that I can. I don't receive all the housing benefit I could because my husband is still on the tenancy ( although he doesn't pay towards the rent). I'm afraid to remove him because my income is 'not enough' based on the calculations that letting agents use. I'm worried they would say I'm not eligible and need to move / they won't allow me to renew the tenancy. 

[Deleted User]

Just musing on the rent aspect .......
Another person on the rent should be 50-50 contribution but reading one of your comments i'm presuming that's not happening, if you did remove him wouldn't that make you eligible for benefits that would help towards the rent ?

Fireflyaway

My husband doesn't contribute to rent because he pays the rent where he is living. We agreed we would each take care of our own living costs. If I removed him, I would be paid more housing benefit but I'm too worried to do that as my income is not 31 times the rent or whatever the affordability calculations are. I'm concerned removing my husband would cause the letting agent to see me as not eligible to hold the tenancy in my own name. 

RobM99

My suggestion - differentiate between "need" and "want", ask yourself before a purchase "Do I need this? Can I live without it?"

Need - food, water, elec' - in fact all the boring stuff
Want - bigger TV, new jeans etc.

monetxchange

I do an envelope system on Monzo - divide up your monthly budgeted money for groceries, travel, eating out etc into four or five weeks (whatever the month has until next payday) and then put it into virtual pots marked Week 1, Week 2 etc. When the week comes, withdraw it into your main account where you spend from. That way you can budget as you go!

I honestly think having it all in one lump sum tempts you to blow through it. Having a spending account separate to my bills account has really helped too.

sazaccount

monetxchange said:

I do an envelope system on Monzo - divide up your monthly budgeted money for groceries, travel, eating out etc into four or five weeks (whatever the month has until next payday) and then put it into virtual pots marked Week 1, Week 2 etc. When the week comes, withdraw it into your main account where you spend from. That way you can budget as you go!

I honestly think having it all in one lump sum tempts you to blow through it. Having a spending account separate to my bills account has really helped too.

I was going to suggest something similar, you can either get a basic bank account with someone or something like Monzo, Revolut (I personally use Revolut) where you are not able to have an "overdraft" so no accidental over spending then either work out your monthly budget then divide it by weeks and transfer it across on say Sunday/Monday though the app, there are options for "vaults" in Revolut to help with this. It can be a virtual way of using envelopes. I don't use cash as I see it I spend it! 

Fireflyaway

Thanks for the suggestions. I feel I have enough money, I'm just bad at spreading it out. It's a cycle. I feel so broke at the end of the month, I probably go overboard when I'm paid and then find myself out of money by week 2. I have successfully managed not to go over my overdraft for the past few months. My overdraft was £1k and now it's just £50 so I'm proud of that. Maybe I could put my monthly spending money in an account that doesn't have a debit card and then each week transfer my allowance for the week into another account that is linked to my card! 

TheAble

How long have you been at your current property? If you've been there a while and are a good tenant (sure you are!) then being turfed out purely on the basis of reduced paper earnings may be unlikely?

Fireflyaway

TheAble -  Thanks I did think similar. I've been here 3.5 years now and the rent is up to date and the house kept in good repair. Never had any complaints and the landlord seems lovely. Never met him but he is very quick to fix / replace things and doesn't skimp on anything. I'm just worried if my husband is no longer technicality liable would they feel comfortable with just me being responsible. Our household income was around £120k and is now just £22k! Maybe I will just be honest and ask them.