How much to live on

helensbiggestfan

Hi.

Alas, I live alone.  Although actually now that I have got used to it, I don't mind too much.  Queen of the remote. 😂. I would prefer to have my husband back, hale and hearty but as the Rolling Stones said "You can't always get what you want".  

........so an income of £1k a month, give or take.  

Monthly direct debits  £364, leaving around  £646.  Out of that I pay for my car.  I estimate running costs of around £1000 a year, so let's say £80 per month, plus petrol.  

I do my main shop at Aldi, then top ups from the farm shop, local shops, occasional Sainsburys or M&S.   I don't bake, I'm useless. 😂.  I am not a vegetarian. I enjoy a glass of something, am a coffee snob, and eat a largely paleo diet.  No filling up on cheap carbs due to IBS and GERD.  I avoid all grains so fillers like pasta bread, rice are a no no.  My favourite Maccy cheese has to be a once in a blue moon treat. Pizza has me rolling on the floor in agony.  And anyway as my hairdresser put it, pizza is not a dinner, it's a snack.  I agree wholeheartedly.  😂. I do enjoy food and am a decent cook, despite my lack of baking skills.  I think I eat well, delicious food with optimum nutrition being my goal. 

I always buy myself some flowers. They are non negotiable.  My husband always bought me flowers so I keep up the tradition in his honour.......

 I reckon an average of around £200 a month to cover all food, cleaning materials and toiletries.  An occasional top up of toiletries or household stuff every couple of months or so will add a bit extra.   I eat well. I know I could slash the grocery bill if I had to, but I think good nutrition is important for good health so that would be a last resort.  

I could also trim the DDs a little.  They include £62 PHI.  If that gets too high as I get older then I could get rid of it but for now it's affordable.  Same with life insurance.  

My biggest treat expenses are a decent hair cut,  a regular massage and the occasional splurge in a good restaurant.  

I have a cash emergency/working capital fund, then some shares for long term growth.  As i mentioned yesterday I have some assets which I'm gradually offloading......a few antiques, some decent jewellery I no longer wear and of course my vast wardrobe.  

As I mentioned I have just started a new venture selling vintage clothing.  I always used to joke that I had enough clothes to open a shop........so now I'm putting my money where my mouth is.😂.    It won't make me rich but it's a nice hobby business, doing something I enjoy.  

Like most people I guess my principal asset is my house.  I have decided this is not my forever home. I will downsize at some point, freeing up some of the capital for my extreme old age.  

Not sure how long I will run a car, tbh I don't really enjoy driving much so provided I chose a location that is close to amentities I might go car free at some point.  I've just renewed my licence so I'll see how it goes.  

I think the best and biggest lesson I have learned is that health affects wealth.  If you are fit and healthy it is possible to live simply but well on a small budget. It's when health issues kick in that life gets really expensive.  My husbands long illness decimated our savings but thankfully I have managed to rebuild the finances a little and am ok for now.  

I don't worry about the future. I have lived through periods of high inflation like the 70s and the various depressions along the way.  I have always managed to ride them out.   Without being unduly conceited I have skills and am creative.  I have assets I can sell as and when the need arises.  In the meantime I have what my dad always called "an elegant sufficiency".   Life is good. 

It wasn't always so........I have experienced a couple of periods of financial hardship. I have been affluent and skint but it doesn't change who I am as a person. I simply accepted the times when money was tight and  took up the challenge, usually treating it as a game.  

Without being preachy I think it's down to how we approach life.  I firmly believe you can live with style and panache even on a tiny budget.  Elegance is a mindset, not a bank balance.  Money doesn't buy style or class. Nor does it buy health and happiness.  Although of course it can buy comfort and decent medical care. There are plenty of miserable rich people living in tasteless opulence, dressed in expensive designer tat. 

Bling is sooooo tacky, dahhhhhlings.  😂

As the saying goes....."money talks, wealth whispers".   

Better a fabulous charity shop bargain than some tasteless offering from the average high street shop.  

I taught my kids what my family taught me.  Hang on to your cash.  Dress and live like "old money".  Forget the bling, invest in quality. Invest in assets, don't waste money on liabilities.  That way if times get rough, you have something to sell.  I know that many will see my £12k a year as poverty but I genuinely don't think it is.  I currently live a rich and rewarding life and hopefully my assets should be enough to take care of inflation.  

I also have a tiny mortgage - £199 a month but I see that as an investment for future long term growth.  I could have bought my house outright but chose not to, instead deciding to keep sufficient cash back for the renovation budget.   My shares are sufficient to clear the mortgage, so I'm mortgage neutral.   This way I get to have my cake and eat it, keeping my shares which (hopefully) will continue to do well whilst making low interest rates work in my favour by cheap borrowing.  Given the dismal savings rates at the moment, which don't even keep pace with inflation, it seems sensible option.  Only time  will tell if I have got it right.  😉. 

As I said it's balancing act.  Enjoying life in the now, whilst trying to prepare for the future.  

Part of my forward planning was that I have already gifted my sons sons deposits for their houses so I'm not too concerned about leaving a good inheritence.  I figured they needed the money now not when I'm dead.  (I intend living a looooooong time) 😂   They are welcome to whatever Is left when the time comes.    

Some of the more valuable jewellery will be gifted to my daughters in law, along with a few collectibles.  They can keep or sell, I don't mind.  It would be nice if I could keep the shares to gift to my grandchildren, but I'm sure if not, their parents will ensure they are ok. 

I've done my will, POA and letters of instruction. I have life insurance to cover my funeral expenses and a small seperate legacy for the grandchildren.   I think I will be able to "die tidy" but hopefully Not Yet!!!!  

helensbiggestfan

tichtich said:

helensbiggestfan said:

 I find £12k is more than enough.    I am still able to save.   I think it helps that I am both creative and have some practical skills.  

I think provided you have no debts then £13k should be fine.  

PS. I’ve done the Nile,  go for it. I’m sure you will love it. 🥂

Thanks.

Maybe I should have mentioned that my 13k is supposed to cover everything,  so I'd have to save out of it for one-off bills like repairs and holidays. Also, I'll be funding part of that 13k out of a pension pot, which has to last as long as I  do. I'll have to resist the temptation to raid the pot to pay for extras. I hope this Nile cruise you're tempting me to go on isn't going to undermine my long term financial security!

How about selling some of your clutter to fund your Nile trip.  Last time I cleared the loft, I made over £1100. Easy peasy.  One man's junk is another man's treasure and all that. 😂

I reckon I have at least another £3k lying around in unwanted "stuff".  I really need to get a wiggle on and get it shifted.  But first I'm just clearing out stuff to donate or take to the tip.  Easy wins first  so I can then actually see what I have.  Have taken 4 big bags to the charity shop this week so far. 

I did contact the auction house yesterday for an online valuation of a rug I'm thinking of selling.  They said £100 plus.  Considering I bought it about 3 years ago for £15 from a chazzer to tide me over when I first moved here I think that was a good investment.😂🤣.  Actually it's a lovely rug,  I am half tempted to keep it.  

Like I preach to my kids, buy quality, even if it's pre loved, and you won't go far wrong.  You can always sell it later.  

I have dabbled in bric a brac, collectibles and low cost antiques most of my adult life.   It makes for an interesting and sometimes financially rewarding hobby which can go a long way to funding holidays and treats.   It's something you can do in retirement, you don't need a large capital investment, just a good eye and a bit of knowledge.  

203846930

@helensbiggestfan where do you sell your stuff?
I want to start selling but after a couple of items going locally on Gumtree but one item not moving on Vinted, I don't know where I should try next, I would prefer cash sales but I doubt if there would be much call for some of the collectibles that I have if I tried to sell locally.

helensbiggestfan

Duncan.....I think it's just trial and error.  You need to try different outlets.  Over the years I've done everything from car boots, vintage and antique fairs, dealers, antique shops, jewellers, auction houses.  I even ended up with a couple of private clients, sourcing for them. 

I think it's horses for courses.  For example I wouldn't sell jewellery online because of the risk of posting.  Likewise I wouldn't sell porcelain or anything breakable.  I think I should be safe enough with clothing.  

Tbh I'm a bit new to online, so it's a learning curve for me. In the past I have nearly always done  face to face selling.  I love it, I love the wheeling and dealing, having a laugh with the punters. My husband and I used to run stalls together, it was great fun.  He had a great line in patter.  I don't much fancy trying to run a stall on my own, it's really a two person job, it's hard work too often in inclement weather.  I think I'm getting a bit long in the tooth for all that. 😂

 So I'm trying my hand at more online.  I'm currently just dipping my toe in the water with eBay, although I did sell the odd item years ago and got on well.  Not tried Vinted yet nor any of the local Facebook, Market Place, Gumtree sites.  I think there's a lot of messing about with local sites,  people not turning up etc. I've heard mixed reviews of Etsy, not tried it yet.  

For more expensive, non clothing items I will just continue to put them with the local auction house. 

 I know with both ebay and auction houses you have to pay fees but I don't mind.  Everyone has to make a living so I don't begrudge them,  they do all the marketing and manage payments, as well as taking care of shipping if you want them to.  I am happy to let them take the strain and risks whilst I just rake in the profits.....😂

Maybe start with dealers for the items you're not sure about.  At least they will give you a valuation and you can then decide.  Sometimes it's easier to take a lower price from a dealer than faffing around trying to get a bit more by trying to sell retail.  Dealers will usually pay cash if you ask them.  

Auction houses sell all sorts these days, not just bona fide antiques.  I have sold collectibles like magazines through them and got a very good price.  Just take your time and experiment a bit.  

Good luck.  

Currently just taking a break with a cuppa from sorting more stuff for the chazzer.   Thirsty work.  😂

MovingForwards

HBF I absolutely adore your outlook!

Madrick

MovingForwards said:

HBF I absolutely adore your outlook!

Yep, another Helen fan here
Like a breath of fresh air

helensbiggestfan

Stop it, you're making me blush. 🥰 😂🤣

helensbiggestfan

It's suddenly turned absolutely freezing here, blowing a Gale.  

If there's one thing I will not compromise on its heating so I've fired up the boiler.  I know there are people who switch off their heating on 1st May.....I am definitely not one of them.  

I've filled the boot of the car with goodies for the chazzer and shall now cook and a njce juicy steak for supper, with a glass of something and some strawberries for pudding.  

I may technically be living "on the poverty line" or even below it, but it doesn't feel like it.  

Ps I've decided to keep the carpet.  It's just too nice to part with, and let's face it I'll never get another like it for £15.  

helensbiggestfan

Here it is 200cms by 300 cms so a decent size.  Pure wool, a good thick pile, not a mark on it.  It's a keeper.  😁

tichtich

helensbiggestfan said:

tichtich said:

helensbiggestfan said:

 I find £12k is more than enough.    I am still able to save.   I think it helps that I am both creative and have some practical skills.  

I think provided you have no debts then £13k should be fine.  

PS. I’ve done the Nile,  go for it. I’m sure you will love it. 🥂

Thanks.

Maybe I should have mentioned that my 13k is supposed to cover everything,  so I'd have to save out of it for one-off bills like repairs and holidays. Also, I'll be funding part of that 13k out of a pension pot, which has to last as long as I  do. I'll have to resist the temptation to raid the pot to pay for extras. I hope this Nile cruise you're tempting me to go on isn't going to undermine my long term financial security!

How about selling some of your clutter to fund your Nile trip.  Last time I cleared the loft, I made over £1100. Easy peasy.  One man's junk is another man's treasure and all that. 😂

I'm already clutter-free, and nothing to sell. But my financial plan is very cautious and in reality I'm sure I could manage an occasional holiday as long as the government doesn't cut state pensions and the stock market doesn't do too badly over the long term. I just need someone to go on the holiday with. It's a pity you've done the Nile already.