Budgeting advice

missis2024

Ok, makes sense, borrow from my other pots. Borrowing from myself. Tnx x 

theoretica

Another good indication to look at is what has happened to your debt over the last year? Has it gone up. down, both in different months, and how fast?  If it has been steadily growing, you have been overspending and need to find this overspend and trim it out to get into a better starting point for then paying off debt.  If it has been steadily shrinking, you have been paying it off and want to make sure you are as efficient as possible about this.  If it is up some months and down others you probably want to focus a bit more on saving up for bigger spends, and making sure debt goes onto the lowest interest card and not the overdraft.

Do you have anything sitting around that you don't use and would rather sell to get out of the overdraft?

ManyWays

I did the MSE budget... Is that not good enough?
It may be spot on. But if you could fill out a Statement of Affairs (link again: https://www.lemonfool.co.uk/financecalculators/soa.php) and post it here, you will get the benefits of a lot of experienced eyes looking at it, we wont tell you to live on almost nothing, we are looking for realism and missing budget lines. At the moment we are just guessing.

How long have you been in the overdraft every day of every month (or all but one or two days)? 

missis2024

Okay, I've looked at the SOA and I can see how it's different to a budget. I'll try and do it and post it on here. I always have little time and at the moment I'm trying to work out a budget for Xmas as a priority, so I don't overspend. 

My debt has gradually increased over time because I've not been making ends meet after my separation. I have a young child who's had just started school this September so I have just increased my hours at work. I am not extravagant in any way but things come along, costs I've not built up a budget for like school holiday child care, holidays, birthdays, car maintenance, mot etc which I've put on my credit card to get by. The last couple months I've stayed in my overdraft after getting paid ( 

missis2024

I don't have anything to sell really. Odds and sods, only a couple hundred quid altogether. My kids have been enjoying selling their old toys on vinted and I think I'll let them keep the money to buy other ones... ...which will save me money! 

missis2024

font=courier new][b]Statement of Affairs and Personal Balance Sheet[/b][b]

Household Information[/b]

Number of adults in household........... 1

Number of children in household......... 2

Number of cars owned.................... 1[b]

Monthly Income Details[/b]

Monthly income after tax................ 1572.34

Partners monthly income after tax....... 0

Benefits................................ 170.2

Other income............................ 1176.26[b]

Total monthly income.................... 2918.8[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 160

Secured/HP loan repayments.............. 0

Rent.................................... 867

Management charge (leasehold property).. 0

Council tax............................. 108

Electricity............................. 253.13

Gas..................................... 0

Oil..................................... 0

Water rates............................. 0

Telephone (land line)................... 0

Mobile phone............................ 7

TV Licence.............................. 13.25

Satellite/Cable TV...................... 4.99

Internet Services....................... 0

Groceries etc. ......................... 392.25

Clothing................................ 60

Petrol/diesel........................... 69.07

Road tax................................ 22.31

Car Insurance........................... 28.56

Car maintenance (including MOT)......... 91.67

Car parking............................. 0

Other travel............................ 0

Childcare/nursery....................... 89.58

Other child related expenses............ 129.58

Medical (prescriptions, dentist etc).... 15

Pet insurance/vet bills................. 112.35

Buildings insurance..................... 0

Contents insurance...................... 0

Life assurance ......................... 44.77

Other insurance......................... 0

Presents (birthday, christmas etc)...... 0

Haircuts................................ 43

Entertainment........................... 35

Holiday................................. 0

Emergency fund.......................... 0[b]

Total monthly expenses.................. 3554.84[/b]

[b]

Assets[/b]

Cash.................................... 0

House value (Gross)..................... 82500

Shares and bonds........................ 0

Car(s).................................. 1500

Other assets............................ 0[b]

Total Assets............................ 84000[/b]

[b]

Secured & HP Debts[/b]

Description....................Debt......Monthly...APR

Mortgage...................... 61875....(160)......3.14[b]

Total secured & HP debts...... 61875.....-.........-   [/b]

[b]Unsecured Debts[/b]

Description....................Debt......Monthly...APR

M&S cc ........................5203......123.......18.9

FDIRECT CC.....................3567......107.......22.9

First direct ODRAFT............2000......57.09.....39.9

Overpay cc's and od............100.......0.........0

Pay back family loan ..........40........0.........0[b]

Hope I've done this right. For the childcare and child related expenses, this is an average out pcm for annual costs. 
The debt to my family is 2, 693 with no interest. It's optional to may them back but I'd like to start chipping away at that. 

missis2024

This summary goes with it .... Thanks in advance! 

ManyWays

What is this "other income"? 

Overpay cc's and od............100.......0.........0

Pay back family loan ..........40........0.........0
You have confused the amount of debt  with the overpayments you want to make, instead add the family debt as a debt on its own - its real if not urgent. No need to put the overpayment amount in at all, the purpose of the SoA is to show what overpayments might be possible. And unless you urgently need to reply the family loan, then chipping away at the overdraft and credit cards is a better idea.

Other child related expenses............ 129.58
that is a very specific amount, does it include provisions for school uniform, trips. pocket money, mobiles (how old are the kids?)

missis2024

Hi, thanks for taking a look! 

The other income is child maintenance plus the net income I get from a flat I rent out. I've just realised I shouldn't have put it as net as I've also put in the mortgage repayment! I also need to add in expenses for the flat ..., maintenance, building up a pot in case of loss of rent, cost of accounts etc....

I'll take out the over payments on debt... And put in the family debt ..thanks for explaining 

Other child related expenses includes everything I can think of, yes school uniform etc, I've worked it out annually and divided by 12. They are 11 and 4. 

Shall I redo and repost? 

Thanks so much, this IS helping me!  

theoretica

You will probably find more things that need to tweak your budget as you go on - it works both ways, some spending you need to change your budget, other times things that are not in, or over your budget should not be spent.

Presents (birthday, christmas etc)...... 0  I rather suspect the family members you owe money to would prefer that something reasonable in this category is prioritised over paying them back.

Probably worth doing a separate budget for the rental business - tax, accountant, mortgage, savings needed for maintenance/repairs, gas checks, costs around re-letting and working out what you can take as 'your' money.  Rather than muddling your money and the business money in together.  It makes it much clearer how viable the business is, and if you might want to think about selling when the flat comes vacant, or not.