2008 - Live on £4000 for a full year.

Frugaldom

Like Cranky40 says, this challenge is about economising and saving. If anyone feels up to trying the challenge with a different figure then please do so. We all live in different situations. Personally, I don't need a car to get to work, so it's classed as a luxury item. But if you really need a car then it's a necessary expense, so deduct it from your annual income and only include extra fuel when it is for recreational or non-work related travel. I can't change the title of the thread now, but the first post has been edited several times to fit the challenge List so far...
CHALLENGER LIST

001. Nykmedia - £4000
002. Mumzyof2 - £4000
003. Notanothergreyhair - £4000
004. Mini_huny_money - £4000
005. Penny2myname - £4000
006. Hypno06 - £4000
007. Impomdasp - £5000
008. Whitewing - £4000
009. LoadedIWish - £4000
010. Tigerseye - £4000
011. Oliveoyl - £4000
012. Funbrum - £4000
013. Tryingtodobetter - £5000
014 - 87p - £4000
015 - Cranky40 - £5000

Jump in and let me know if your name has been missed

chewits

I'd like to be included please, actually I've got no choice! But it'll help having everyone along to motivate each other

Frugaldom

Bluesteel705 wrote: »

Count me in, if I stick to it I can be debt free by next Christmas! :j

Now that is a great target! I'll get you numbered and listed asap LOL Even I am getting excited at the prospect of this challenge and I've done it before!!

Note to anyone with a family: your 4k can be increased by the amount of Family Allowance you receive. I don't know what the current rate is, so can't calculate for 1, 2, 3 or 4 children. If everyone else agrees, then I think this is fair. I did the 4k challenge with a household of 3 but wasn't receiving Family allowance - long story, not going into it, but it ends with an ex! :rotfl: :rotfl: :rotfl:

FrankieM

Hi nyk...
I hope you don't think I was being negative or anything. I think the challenge is a great idea.
I think its always good to realise that you can live on less than you think.
I personally think that there are people in this world who don't have housing or food or regular income, to them £4000 would be an absolute fortune...and we worry about not having x,y and z and whether we've had our 5 a day ( no offense meant to anyone!)

I've joined the 'pay of £20k by Christmas 2008' challenge, though everytime I think about it my amount keeps going up..at the moment its just under £22k.
For that challenge, I've decided to work on the 3rd for the mortgage, 3rd for savings, 3rd for living on. My living on amount is around £300 per month after I've paid all the DD's, so to be able to do it including those would really help me towards my target...

Prudent

I have been doing some sums. Since becoming an mser (I think way back in 2004?) I have worked hard at getting a good life style for miniumum spend. Just now I live on £850 per month (this is for two of us). For things deemed essentials I can subtract £313. This is made up of council tax @£113, communting for myself @£100 and daughter @£70 plus additional essential educational costs £30.

Therefore we are currently living on £537 a month or £6444 per annum. Comping (see signature) provides a lot of nice little luxuries. We live well on this the £537 a month. Nice three bed semi, several short breaks and at least one holiday a year (all provided by comping this year), I am quite a social creature and like to do things with my friends a lot. We eat out about a couple of times a month and go to the cinema (free of course) regularly. I also like going to shows and concerts, but again I often manage to win the tickets.

Therefore just now, living well, we are living about 1/3 higher than the £4000 figure.

I guess my concern about reducing too much on this figure is the rising costs of heating and food just now. I am almost tempted to make my challenge to stay as I am and not give into rising costs.

Would you consider letting me join with a figure of £6,000? This shaves off £444 a year and gives me a round figure of £500 a month. Oh and my mortgage costs £1 a month, but I might just pay off the £94 balance.

Edit: Just seen your note about family allowance: My family allowance gives me £840 a year, but still not where I need to be for £6000.

Frugaldom

Prudent, there are no hard and fast rules, you are more than welcome to join and we shall accept your £6000 challenge. I'm sure everyone will agree that being able to pay off your remaining mortgage of £94 more than adequately proves you can work your money Well done! One condition... you share your tips with us all on a regular basis LOL

Jacks_xxx

:wave: I'm in awe of everybody who's giving this a go, but I don't think this is the challenge for me.

I guess I feel like we've cut back as much as we can, and downshifted our lifestyle as much as possible for now.

We already pay more than 75% of our income in debt repayment every month (inc mortgage) and I thought I was doing quite well to be paying for all food, petrol, haircuts, school trips, house maintenance, car maintenance, car insurance, parking permit, car tax, RAC, clothing, the dentist, pocket money and Birthdays & Christmas out of about £600 a month that's left(or £7200 a year.)

I'll be watching with interest though. (I've subscribed to the thread! )

Love Jacks xxx

shell37_2

Hi NYK!!

I've followed your sig link from the Sealed Pot Challenge, I'm intrigued by this challenge:D .

Can you please include me? £4000 is my challenge too, I think I understand how it all works (I read the other posts) . Work out weekly budget from £4k, spend less than it and save the difference? I could put it in the sealed pot paper mache zoo.....:rotfl: :rotfl:

Thanks guys for thinking up these challenges and getting me motivated for 2008:T :T

Frugaldom

FrankieM wrote: »

Hi nyk...
I hope you don't think I was being negative or anything. I think the challenge is a great idea.
I think its always good to realise that you can live on less than you think.
I personally think that there are people in this world who don't have housing or food or regular income, to them £4000 would be an absolute fortune...and we worry about not having x,y and z and whether we've had our 5 a day ( no offense meant to anyone!)

I've joined the 'pay of £20k by Christmas 2008' challenge, though everytime I think about it my amount keeps going up..at the moment its just under £22k.
For that challenge, I've decided to work on the 3rd for the mortgage, 3rd for savings, 3rd for living on. My living on amount is around £300 per month after I've paid all the DD's, so to be able to do it including those would really help me towards my target...

Am I getting a sneaky suspicion that you may be in on this challenge too? Looks like your figure is around £7,200 but you would love it to be... £5,200 so you could knock that extra 2k off your mortgage by next Christmas? :cool: Come on, you know you want to....

juliejay

I think I get it and I'd like to join for our family of four with a budget of £5000. We currently spend £7500+ but the bills just seem to expand to fit the money coming in (and usually more besides). If I try and stick to £100 a week all in I reckon I'm almost there and we could have a proper holiday with what we save.
Please add me to your list. I've been meaning to do something for a while, just needed a nudge...

:xmastree: Merry Christmas