Ready to embrace a mortgage-free journey

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  • IAAM
    IAAM Posts: 95 Forumite
    First Anniversary Name Dropper Combo Breaker First Post
    Thanks for those positive words, South_coast :-)

    You're absolutely right savingholmes - the pension route is fine if it formed part of my strategy. However, although it's currently a Plan B, I do want to avoid going down that route if I possibly can.

    I started the whole MF journey about 7 weeks ago and the biggest impact so far hasn't been the OPs I've made, but rather the shift in my mindset as to how I spend my money, and me recognising the value of something when compared with the financial freedom it could give me by OPing the mortgage.

    I think our first month of cutting back on the joint spend (in November) probably saved us about £200 (or just under). That was mostly just not stockpiling items when we already had plenty of food in the cupboards already. On a couple of occasions (at the end of November), it was also going shopping having a fixed budget to stick to. That was really hard as I hadn't realised just how little I knew how much things cost, as well as how often I just put things in my trolley when I didn't even need them.

    We spent £391 last month and £170 so far this month. However, we do have a freezer full of fish/meat/soya etc. We are entertaining family over Christmas and so coming in below £391 in December might be a challenge, but January will definitely be much leaner as I start learning cheap lifehacks to cut back costs even more.

    I did learn a hard lesson at the weekend though. I went to the Post Office to send 2 Christmas parcels and some Christmas cards and it cost me a staggering £16! In fact, the parcels cost more to send than the presents cost me in the first place. (I managed to get them in the sales). I hadn't thought about the size of the gifts and the fact that, by putting them in big boxes that I had lying around, I was creating the problem of having to pay for them to go as Large Parcels rather than small! I'll definitely have a re-think about sending gifts through the post in future but it seems it would have been better to have sent gift cards (which could have gone by 2nd post) rather than costing about £5 or so for larger items.
    Mortgage Balance: £162,615.84 (December 2022); £163,945 (November 2022)
    Current MF date: Feb 2032.  (Previously: Jan 2033)

    Target MF date: May 2027
    (Overpayments needed to achieve this: £1,750pm!) 

    Joint spend: £391.09 (Nov)
  • savingholmes
    savingholmes Posts: 27,282 Forumite
    Name Dropper First Anniversary Photogenic First Post
    We've all been there. Good to note your learning for future but don't beat yourself up over it.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26%
    2) Spend on handyman & external building works £11.1K
    3) CC £2.5K on 0% spends card but offset by £34K savings (part EF, part future home improvement)
    4) Mortgage neutral by June 2030 AVC £9.6K/£127.5K AVC target 7.5% value @15/4
    5) FI Age 60 annual income target £13.7/30K 45.7%
  • IAAM
    IAAM Posts: 95 Forumite
    First Anniversary Name Dropper Combo Breaker First Post
    A thought for today:  Have you spent any money this week that you could have avoided?

    My answer: I treated a friend to a takeaway coffee & a cake, when I could have just bought her the cake and we could have had coffee at my place!

    What I learned: when you make a financial decision, it doesn't have to be all or nothing. Sometimes, it's possible to achieve a reasonable compromise in between
    Mortgage Balance: £162,615.84 (December 2022); £163,945 (November 2022)
    Current MF date: Feb 2032.  (Previously: Jan 2033)

    Target MF date: May 2027
    (Overpayments needed to achieve this: £1,750pm!) 

    Joint spend: £391.09 (Nov)
  • savingholmes
    savingholmes Posts: 27,282 Forumite
    Name Dropper First Anniversary Photogenic First Post
    I definitely spent money this week I needn't have done - but most of it was with a heart to give so I'm not going to beat myself up too much. 

    Today I put £2 of stuff back - but I still spent about £2 that I hadn't planned to spend.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26%
    2) Spend on handyman & external building works £11.1K
    3) CC £2.5K on 0% spends card but offset by £34K savings (part EF, part future home improvement)
    4) Mortgage neutral by June 2030 AVC £9.6K/£127.5K AVC target 7.5% value @15/4
    5) FI Age 60 annual income target £13.7/30K 45.7%
  • IAAM
    IAAM Posts: 95 Forumite
    First Anniversary Name Dropper Combo Breaker First Post
    We took our 2 grandchildren out for a wonderfully fun day earlier this week and discovered just how quickly entrance fees to activities + parking + food adds up SO quickly. But we wouldn't have it any other way and there are sometimes in life where the true value of something easily outweighs the monetary cost.

    We also found out that we are unexpectedly hosting 6 people on Boxing Day and so my December budget is going to go far more pear-shaped that I'd envisaged. 

    Still - the lessons from me sticking to my budget up until this point in December don't go unlearned and they will have contributed towards keeping other costs down overall. Plus, Christmas comes once a year and I would certainly trade missing a couple of OPs for spending wonderful time with loved ones.

    So, I'm really looking forward to spending some busy, but lovely, days with all my family over the next week or so, and then excited at regrouping in January and starting 2023 with my exciting plan to get rid of that mortgage!
    Mortgage Balance: £162,615.84 (December 2022); £163,945 (November 2022)
    Current MF date: Feb 2032.  (Previously: Jan 2033)

    Target MF date: May 2027
    (Overpayments needed to achieve this: £1,750pm!) 

    Joint spend: £391.09 (Nov)
  • savingholmes
    savingholmes Posts: 27,282 Forumite
    Name Dropper First Anniversary Photogenic First Post
    Have fun over the holidays. As you say - making memories and time with family are priceless.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26%
    2) Spend on handyman & external building works £11.1K
    3) CC £2.5K on 0% spends card but offset by £34K savings (part EF, part future home improvement)
    4) Mortgage neutral by June 2030 AVC £9.6K/£127.5K AVC target 7.5% value @15/4
    5) FI Age 60 annual income target £13.7/30K 45.7%
  • Karmacat
    Karmacat Posts: 39,460 Forumite
    Name Dropper First Post First Anniversary
    I'm absolutely sure you're right about the need to compromise between moneysaving and making memories.  Memories don't always need money, of course, but the children also need to share experiences with other children at nursery/school, whatever.  And you want to treat them, and see their eyes light up!  Have a lovely time 🎄
    2023: the year I get to buy a car
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