Not in control

drownindebt · 24 July 2017 at 12:06PM

Hi,
Coming back after a few years out.
I would do a SOA, but the bills, food and mortgage expenses are paid by my wife - I pay a contribution.

What would the best way be to start?

thanks!

EDIT: I have 2 credit cards and 1 personal loan and I want to be debt free, using my money instead of money I don't have!

quintwins · 24 July 2017 at 12:09PM

make a list of your income and outgoings including contributions to see exactly where you stand and how much you should have left every month.

drownindebt · 24 July 2017 at 1:08PM

Hi,
Yes - I've been doing that for the past few months. With so many line items, its hard to keep track.

Maybe I should take out cash for things like lunches and top up shops - then it's just one line item of (cash for lunch) rather than 14 or so line items.

I'm also using moneydashboard, but I can't see it helping me at the moment.

quintwins · 24 July 2017 at 1:18PM

Set a weekly budget and withdraw the cash, only carry the cash with you and no cards. It might even help to only carry your daily budget.

drownindebt · 25 July 2017 at 3:30PM

I've got my monthly budget set. As I said above, I've got to wait until the end of holiday to change around savings.

In
Wage = £2,716.47

Out
Easyjet booking for bike to take on holiday = £40.00
Contingency savings = £4.06
Tax savings = £100.00
Cash out for lunch + sundries = £100.00
Holiday savings = £500.00
Sofa repayment = £44.00
NDDS tax credit overpayments = £20.00
Children's savings = £25.00
Fitted wardrobe repayments = £86.00
Mortgage, child maintenance, food contribution = £976.20
Childcare = £346.93
Netflix = £7.49
DVLA vehicle tax = £11.37
Dropbox = £7.82
Dropbox tax = £0.21
Personal loan repayment (minimum) = £341.39
Mobile phone + airtime = £39.05
B4rclaycard Platinum purchase credit card repayment (minimum) = £38.57
Contact lenses (1 month) = £13.38
Cash for haircut = £15.00

That leaves £0.

Questions:

Should I stop saving and instead pay down repayments
Should I be paying back more than the minimums
Anyone else had to pay the Goverment back for Tax credits?

quintwins · 25 July 2017 at 3:39PM

drownindebt wrote: »

I've got my monthly budget set. As I said above, I've got to wait until the end of holiday to change around savings.

In
Wage = £2,716.47

Out
Easyjet booking for bike to take on holiday = £40.00
Contingency savings = £4.06
Tax savings = £100.00
Cash out for lunch + sundries = £100.00
Holiday savings = £500.00
Sofa repayment = £44.00
NDDS tax credit overpayments = £20.00
Children's savings = £25.00
Fitted wardrobe repayments = £86.00
Mortgage, child maintenance, food contribution = £976.20
Childcare = £346.93
Netflix = £7.49
DVLA vehicle tax = £11.37
Dropbox = £7.82
Dropbox tax = £0.21
Personal loan repayment (minimum) = £341.39
Mobile phone + airtime = £39.05
B4rclaycard Platinum purchase credit card repayment (minimum) = £38.57
Contact lenses (1 month) = £13.38
Cash for haircut = £15.00

That leaves £0.

Questions:
Should I stop saving and instead pay down repayments

Should I be paying back more than the minimums

Anyone else had to pay the Goverment back for Tax credits?

Not only do you have £0 left your overspend by around £20 a month. unless you cards are 0% I would be throwing all the savings at it.

You should always try to pay over the minimums, not just to pay debt down but because this looks better on your credit report. (for credit cards, not loans)

Yes I have paid an overpayment back to tax credits, I assume you have spoken to them and they are happy with the £20 in which case just leave it at that until it's gone, you are paying no interest on this payment so it makes no sense to mess with it.it took me 6 years to pay mine back (I could have paid more but they decided on £12 a week and I wasn't going to argue with them)

drownindebt · 25 July 2017 at 3:49PM

Thanks Quintwins,

I've read about having a £1000 emergency fund before paying down debt - is that right?

I'll adjust the direct debits to go more than the minimums

Tax credits - yes, that's what we agreed. Many years to pay that off!

thanks for the support

drownindebt · 25 July 2017 at 4:09PM

As you can see from my budget, I don't have any other subscriptions or things that people accrue. I'm using my brother's family Spotify account and Netflix is my only luxury (though I'm not the one in the house watching it - kiddies!).

Just realised there isn't fuel on here. I use the car rarely, but even then it still needs petrol. Also, school holidays are upon us and I should save something for the childrens activities.

Did a clear out last night. I have a bag to sell that I could get £15 for. Also have some shoes I could return, though had planned on using them on holiday.

Also got some old tech. A MacBook Pro, old phones and an old tablet. Anyone found some good places to get rid of them? For maximum value, I think I'll gumtree the MacBook - hopefully get around £700 for that.

Also signed up to survey filling. Will do the introductory test tonight to see if I'm good enough!

quintwins · 25 July 2017 at 4:19PM

drownindebt wrote: »

As you can see from my budget, I don't have any other subscriptions or things that people accrue. I'm using my brother's family Spotify account and Netflix is my only luxury (though I'm not the one in the house watching it - kiddies!).

Just realised there isn't fuel on here. I use the car rarely, but even then it still needs petrol. Also, school holidays are upon us and I should save something for the childrens activities.

Did a clear out last night. I have a bag to sell that I could get £15 for. Also have some shoes I could return, though had planned on using them on holiday.

Also got some old tech. A MacBook Pro, old phones and an old tablet. Anyone found some good places to get rid of them? For maximum value, I think I'll gumtree the MacBook - hopefully get around £700 for that.

Also signed up to survey filling. Will do the introductory test tonight to see if I'm good enough!

If you couldn't service your debts then getting rid of Netflix's would be the first thing to go. Could you speak to your wife? You are paying an awful lot into the family pot, obviously we don't know the house hold outgoings but maybe something could be cut out?

I would list your MacBook on gumtree and Facebook pages collection only, too much risk of that sort of thing on eBay. Everything else can go on eBay or try O2 recycle for anything broken or just really old.

kids are expensive! but remember the free things like trips to the park/beach, nature walks. We have a petting zoo locally that is free. Let the kids make a picnic (it's more fun when they help). Even picnics in the garden are fun. I've spent most of my summer forcing my bigger kids off the xbox and stopping my smallest one from decorating my house in food:rotfl:

drownindebt · 25 July 2017 at 4:33PM

^ Amazing - thanks for sharing. Trips to the beach are free as well, if you're clever and know where the free parking is (nearest residential roads to the beach and a 10 minute walk!).

I've looked and the going rate for the Macbook is £400. Really surprising because it runs so well, but oh well. Was considering repurposing it for the kids, but they could have something cheaper when Daddy is less out of the red! I'll wipe it and list it tonight.

The family pot - yes, I need to understand this more. Essentially it's my share of the mortgage, bills, food and then there's childcare. I'm satisfied that we've got the cheapest deals, but where I own more than her, it's not a half and half split.

To be honest with Netflix - I'd rather the kids weren't watching TV on repeat (there's virtually one show they watch over and over again), and looked at the arts and craft materials, or played with mud in the garden or whatever.

quintwins · 25 July 2017 at 4:43PM

drownindebt wrote: »

.

To be honest with Netflix - I'd rather the kids weren't watching TV on repeat (there's virtually one show they watch over and over again), and looked at the arts and craft materials, or played with mud in the garden or whatever.

I'm watching in the night garden for about the 5th time today :rotfl::rotfl::rotfl: to be fair he did draw some pictures and play outside...and it did give me chance to grab food and a coffee.

Not in control

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