A Newbies SOA

Madmummy_3

Hi all this is my first post !!! been a "lurker" for a while and have just gone through my affairs and was very shocked at my outgoings !!! would be greatfull for any ideas where I can save......
We are a family of 3 living in service accomadation so that is taken from sorce
we have been saving for a deposit but also spending !!!! as you can see so I am going to pay off two cards and leave the remainder on the life o balance rates ?? hope that makes sense thank you for looking



Monthly income after tax................ 450
Partners monthly income after tax....... 1700
Benefits................................ 100
Other income............................ 0
Total monthly income.................... 2250

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 164
Management charge (leasehold flat)...... 0
Council tax............................. 0
Electricity............................. 17
Gas..................................... 35
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 50 ( 2 phones on fixed contract 18mths)
TV Licence.............................. 9
Satellite/Cable TV...................... 60 ( this is Tv / Broadband / Phone )
Internet Services....................... 0
Groceries etc. ......................... 250
Clothing................................ 100
Petrol/diesel........................... 120
Road tax................................ 0
Car Insurance........................... 35
Car maintenance (including MOT)......... 40
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 150
Other child related expenses............ 60
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 26
Life assurance ......................... 50
Other insurance......................... 0
Presents (birthday, christmas etc)...... 25
Haircuts................................ 10
Entertainment........................... 50
Holiday................................. 40
Emergency fund.......................... 100
Total monthly expenses.................. 1387

Assets
Cash.................................... 50000
House value (Gross)..................... 0
Shares and bonds........................ 30000
Car(s).................................. 15000
Other assets............................ 15000
Total Assets............................ 110000

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
msdw 1 ........................7400......145.......22%
msdw 2 ........................6200......135.......19%
abbey..........................4000......120.......0
m&s............................4600......135.......3.5% lob
Total unsecured debts..........22200.....535.......

Monthly Budget Summary
Total monthly income.................... 2,250
Expenses (including secured debts)....... 1,387
Available for debt repayments........... 863
Monthly UNsecured debt repayments....... 535
Surplus(deficit if negative)............ 328

Personal Balance Sheet Summary
Total assets (things you own)........... 110,000
Total Secured debt...................... -0
Total Unsecured debt.................... -22,200
Personal net worth...................... 87,800



Thank you from a debt free want a be !!!!

getting-sorted-sarah

Hi Madmummy!

Madmummy wrote: »

Monthly income after tax................ 450
Partners monthly income after tax....... 1700
Benefits................................ 100
Other income............................ 0
Total monthly income.................... 2250

Monthly Expense Details
Mortgage................................ 0
Secured loan repayments................. 0
Rent.................................... 164
Management charge (leasehold flat)...... 0
Council tax............................. 0
Electricity............................. 17
Gas..................................... 35
Oil..................................... 0
Water rates............................. 0
Telephone (land line)................... 0
Mobile phone............................ 50 ( 2 phones on fixed contract 18mths)
TV Licence.............................. 9
Satellite/Cable TV...................... 60 ( this is Tv / Broadband / Phone ) Mine is £20 for the 3 throughVirgin - think about losing a few channels?
Internet Services....................... 0
Groceries etc. ......................... 250 You could drop this a bit - try the Grocery Challenge thread
Clothing................................ 100
Petrol/diesel........................... 120
Road tax................................ 0
Car Insurance........................... 35 Is this for 2 cars? - check to see if you can save on this when it is up...
Car maintenance (including MOT)......... 40
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 150
Other child related expenses............ 60
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 26
Life assurance ......................... 50
Other insurance......................... 0
Presents (birthday, christmas etc)...... 25
Haircuts................................ 10
Entertainment........................... 50
Holiday................................. 40
Emergency fund.......................... 100
Total monthly expenses.................. 1387

Assets
Cash.................................... 50000 Ahhhrgh - why savings when you have CC debt? Unless the interest on your savings is more than 22%? Pay these off. Then save.
House value (Gross)..................... 0
Shares and bonds........................ 30000
Car(s).................................. 15000
Other assets............................ 15000
Total Assets............................ 110000

No Secured Debt

Unsecured Debts
Description....................Debt......Monthly...APR
msdw 1 ........................7400......145.......22%
msdw 2 ........................6200......135.......19%
abbey..........................4000......120.......0
m&s............................4600......135.......3.5% lob
Total unsecured debts..........22200.....535.......

Compared to most of us on the DFW thread, you are debt free - you have more cash than you have debts - so you can pay the debts off. Your outgoings don't seem too excessive to me, although I'm sure there are small changes you could make.
All the best.

doodledo_2

Would it not make sense to use your savings to clear your debts?

Or is this money tied up??

Madmummy_3

I can get hold of around 15k of the money so will pay off 2 cards . Thought I would pay back the rest the hard way really to teach me a lesson not to use my c/cards on rubbish !!!!

MrsTinks

Madmummy - Unless your debts are less than the interest you earn on your savings then having savings IS COSTING YOU MONEY... that makes no financial sense now does it

If you want to punish yourself then tighten your budget up and up what you put into savings each month. Set a target for saving £5000, then £10000 etc.
It makes NO sense having debt that costs you money in all honesty. Now if the debt was 0% apr... then carry on! Otherwise pay it off.

getting-sorted-sarah

You're going to teach yourself a lesson by wasting more money?!! Any interest you pay is money down the drain - please don't think I'm being harsh - but pay off as much as you can of any debt you are being charged interest on. Once they're paid you can cut up the high rate ones - if you need credit again there are better deals on the market.

doodledo_2

I agree with MrsTine.

Get the savings out clear your debts and the crazy APRs they charge and then set yourself some stretching targets to get those savings replaced.

It makes more sense in the long run and the APRs on the debt will outweigh the interest on your savings.

Madmummy_3

Thanks I know your all talking loads of sense so will have to bite the bullet and draw it out and pay it off ... Thanks when you hear others saying whats in your mind you know it must be right and it makes you take the plung !! All the cards will be shredded !