'Shoot for the moon' - MoonSeer's Debt Free Journey

savingholmes

Congratulations on starting your debt free journey. I would prioritise emergency fund...

MoonSeer

Wow! Its been a while since I visited this site.  Work has kept me seriously busy.  

So, update time! 

Job began but was office based due to emergency situations occurring and I ended up at an office close to my parents.  The children were really struggling with all sorts and living there was affecting their mental health - esp as they were not allowed friends - or even their dad! - to come and visit. 

My eldest and I hunted since April and did not get offered any viewings until June. Thing is, as soon as I saw it (I viewed it solo) I fell in love.  The location, the house itself.  We had all liked it and best of all, the landlord was happy for me to have my kids and dog living there. (most three beds had a 'no kids. No pets rule)

I stayed at my mums while working initially and then realised my work were happy to pay travel so I switched to staying in the hotel but will soon be working from home. 

Children have recently joined some groups in the local area and we are exploring with long walks every time we are together. 

My other children who are living in the flat are about to put all the bills into their own names which will make my own life a lot easier to manage in terms of finance. 

I managed to finish my OU course and officially have a level 4 qualification now.  Will be starting the first of my two part diploma in October with a bit of luck. That is two years and while I would love to complete it within a year, doing the level one was really tough.  At the time, I was working 12 hour shifts between three and six days a week.  The travel was 2.5 hours each way and I had to find time to study as well.  But I did it.  I had at least two extensions and my tutors were SO supportive. IT was an incredible experience after having some real difficulties in my school years. 

It hasn't quite been a year BUT I have managed to pay off about £2000 from my debts.  £36082 is now 

£34,005

 This is alongside all the costs associated with moving including deposit for house, new furniture (we literally started from scratch - initially buying mattresses and then bed frames and then finding furniture on Olio and freecycle etc) so I am hoping to be in a slightly better place in the next year and have my debts under £30k 

This month is the first time its felt like a challenge as I am now on a FTA with the workplace and this means i am moving from weekly pay to monthly.  I have also had a drop in wages as I move from London rates to National.  But I am feeling really positive about the year ahead and intend to keep this vibe going as long as possible while remaining practical.  

MoonSeer

So close to the end of the month.  I can practically taste it.

I have a host of things I need to buy for the house still but none are urgent.  I am working from home now and it is so nice to be able to do so without the issues I had in my last home.  

Annoyingly, I am on a BR tax code and I still owe HMRC £132 for last year which I need to pay by May. No idea why I only found out about it today.     

I also need to pay for the kids clubs.  Ex forgot two of his fortnightly payments over Christmas break and he is 'trying to save' so wants to return it in smaller chunks so it doesn't deplete his savings.  Meanwhile, I am holding off making payments that I need to as I have no funds.  Go figure. 

I have so many numbers whizzing around in my head but I will get paid on Tuesday and deal with it then.  I think the coming yea may feel a little painful at times but its so worth it for the ease in the other areas of my life.   

MoonSeer

Month One paid INCLUDING THE KIDS CLUBS 

I ended up switching energy suppliers because Rebel wouldn't let me make payments.  I have to request a link (that I keep having to chase) and I have to tell them how much I want to pay.  Its not great for me when my cashflow is all over the place and even waiting 24 hours for a payment link (the time they suggest) feels like too long and waiting since 1st of month without receiving anything has been frustrating. Esp as this will be classed as a late payment on the account. 
New energy service is okay and they actually connected my smart meter so I can see what I am using now.  

Because I was previously paid weekly, I made the decision to have all my direct debits come out when i receive my tax credits which is mid month, I have just enough coming in to cover rent and bills but this month is particularly tight due to the need to get everything flowing in the new circumstances.  

I am making a little more effort to make some time for self care and despite working at home, I am following some flylady tips including getting dressed to my shoes which helps with motivation somewhat. 

I can see there is still a long road ahead of me but I finally feel like i can make some progress.  I have two more payments to make until my bed is paid off and the £100 or so that I have been paying towards that for a few months can go to pay off some of the debts I owe to family etc.  I am seriously thinking to cancel netflix.  The older children have their own accounts with their bubbles and are happy for the smaller kids to take a screen each although only one of them really watches it often.  I really hope to rearrnage some of the payments now that I am paid at the start of month (well, end but as days differ, 1st is a better date imo and means money should be there... ) 

Rent		£1,450.00
Council Tax		£250.00
Mobile Phone EE		£30.00
Mobile (kids) GiffGaff		£40.00
NetFlix		£17.00
Amazon Prime		£8.00
Disney Plus		£8.00
Broadband		£25.00
Water		£100.00
Apple Family		£42.00
TV Licence		£16.00
Spotlight		£20.00
StageCoach		£174.00
Who Gives a Crap		£30.00
debts		£335.00
Tennis		£63.00
Travel		£200.00
		£2,808.00

Currently, most grocery stuff is got as we need it and we are only really buying wat we need.  I am doing 14:10 intermittent fasting most days so having a smaller window to eat has definitely curbed my snacking and all those milky coffees I had grown accustomed to...

I may remember to do a mid month update when my UC is paid.  I get a bit of breathing space now I am still owed a fair sum of backdated pay from a pay award that was implemented late and despite now being on a lower wage (moving from London tp National) My backdated pay is on the london rate.  quick assessment against the hours I worked suggests a gros of around £600-800. This will obvs come off my UC but will help with the cashflow IF I receive it before the new tax year starts.  Along with the cost of living payment the following month, I might stop tipping past my overdraft allowance!

Its the lists that help. time just feels so slow because as soon as I make a payment, i see pennies left in my account and they are already earmarked and Its worse when I know funds are due.  I have a rule where I don't make payments from funds due before they arrive as I started getting into debt because of wages errors that caused me untold grief. On the plus side, when my children find themselves in states over finance issues, I am able to calm them down enough to consider genuine options rather than making hasty decisions that land them in trouble. (like I obviously did) 

Lets rock this year and bring these outstanding debts down!

MoonSeer

My commercial debts are under £24k now and my total (inc overdrafts and F&F) is under £33k. It’s taking time but I am seeing the numbers falling which given the current state of the economy is a blessing. Working from home has saved me so much - even when I was getting expenses it was harder to survive. I have made a lot of cuts and these will continue to be effected as we go through this year. Older kids are generally more self sufficient now. I still help here and there but mostly it’s not needed. These last few months have actually been a little tight but I’ve muddled through them and all the bills are up to date or at least, they will be by the end of this week. 

enthusiasticsaver

Sounds like you are doing ok then. Good your older kids are more self sufficient.  Learning to manage money at their age is such an important life skill.