Currently clueless...aiming for awareness

savingholmes

Moving the overdraft makes sense as long as you don't recreate it 

Spendy_no_more

Well done Canvas Camper for grabbing the bull by the horns and getting to grips with a realistic monthly budget you can work with and tweak moving forward. I find my budget can be a work in progress but the fact you've now started to think about what you actually need and purposefully allocate funds to the different areas is fantastic. Plus it'll do wonders for you mentally as there's nothing more deflating and defeating that an unrealistic budget as this just means you feel like you're constantly failing, when it actual fact it was just an unachievable figure to start with.

I second what BadBookKeeper says about paying off the overdraft with a 0% credit card, I think it's a good move and will make a world of difference for you. Sometimes when you're starting with a negative and trying to reduce it by an unfixed amount to just 'get it lower' each month you simply can't see the wood for the trees. Now you have a clean slate and can clearly divide the overdraft amount (now on the Cc) by the number of months it's interest free and pay it off by a definitive amount set up as a direct debit each month. So although it's not always recommended by all MSE'rs I think for you it's the right move.

Regarding your 'pots', I think you've got some well defined spends there but will share my thoughts below:

- There's a few child related expenses in there such as the gymnastics, karate and tutor totaling £196 a month. Is there any reason this is coming solely out of your money? My thoughts are these should be areas that are shared between you and hubby so he could contribute £98 towards these so they are shared costs. Unless of course the kids have other activities / hobbies not listed here that he covers?
- Is the £60 credit card payment the new one set up to clear the overdraft amount?
- I agree with someone above about having a pot for haircuts, for yourself and the rest of the family
- The clothes pot is very low if it's to cover all 3 growing kids, school uniform and you and hubby's work and leisure clothes.
- I would add a Holiday spending pot as you'll need spending money when you go away camping this year and can then start saving for the costs of next years holiday.
- Just a note on the gifts pot, I don't think it's too big at all if its to cover 3 kid's birthdays including parties / cakes etc plus all friends parties, Christmas and presents for family / nieces and nephews etc and eachother. It might even need to be increased slightly but hard to say without knowing if you like to spend £50 on each of your children's birthdays or £150. All personal preference of course and no judgement at all, just the preference shapes whether that will be a big enough pot to save

Well done again, you're doing great!

canvascamper

Aah thanks guys for all the feedback 🙂 lots to think about!  


There's a couple of things that are easy to answer - 
Haircuts - I cut my own and 10yo's, OH pays his own and 3yo at the barber. 7yo has a short pixie style that is £30 every 3 months so I could add that as £10 a month.
Just realised I've forgotten dentist fees!

Beauty products - I don't really buy any! I get the basics from home bargains or similar or occasionally TK Maxx if there's something on clearance, but this would come out of food/household. Make up I have loads of from my 20s, I'm sure it's out of date!

OH pays for school dinners and wraparound care which is £70 a week so I pay for the activities.

The clothes pot should be ok as I get all my clothes off eBay and all the kids casual stuff off eBay, uniform is bought new but passed down and shoes are new as needed. My mum buys them new coats every year which is brilliant. I will probably need to revisit this when they're teens! 

Will add a holiday spends pot.

Holiday spends and dentist are going to have to come off something else though. There's loads of other categories I thought of - home improvements, furniture (all ours is second hand and knackered), holidays, Christmas...but there's just not enough money to go around. 

I haven't allocated child benefit to anything yet as I was hoping I could use that to rebuild the emergency fund. That may not be realistic, I might need some of it. 

On a positive note, I've got some brilliant bargains from eBay for 7yo birthday - a brand new smart watch for £20, a new Barbie with loads of accessories still in the box for £10, a unicorn onesie for £2.

Also it was sports day today and managed to sneak away from work for an hour to watch a bit. I was so proud of my kids, they both won something and were really supportive of their peers. 7yo also got her red tips in karate tonight. Lots of joy all around 💕

savingholmes

Sounds like a great day 

canvascamper

Quite excited - my money transfer is approved and I will have it by tomorrow 😁. Feels like a big step forward (although also well aware it is actually extra debt and so not really an 'achievement' in any meaningful way).

Chrystal

It is an achievement because it will save you money in the long run.  XXX

savingholmes

It is much easier to pay off debt when it isn't constantly rising due to interest. You'll get there.

[Deleted User]

Hope the transfer came through today for you. 
You could save the monthly interest charge you were paying and throw it back towards the overdraft debt xx

canvascamper

Hello!

The money came in!! Hooray! Now just need to wait for payday on 17th before I can get my pots in order and start with a clean slate and a clear plan (also have to try to not spend much until then really or it's chipping into the gains!) Last month my overdraft was £880, I borrowed £1000 and then whatever is the difference on payday will be the first repayment to the loan. 

canvascamper

No spend day today 😊

I also remembered to claim my work expenses - I always forget and then miss the deadline but I've put a reminder in my phone and calendar and got them in on time this month! I've done quite a lot of driving and had to get a few taxis so it was £100 claimed. That will be nice on payday.

Also, very good day for politics if, like me, you have been in despair for 2 years at the state of our "leadership"...