My SOA and Situation Realisation

shteca · 29 July 2018 at 11:15AM

Below is an update of my situation
Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 1
Number of children in household......... 2
Number of cars owned....................

Monthly Income Details
Monthly income after tax................ 3000
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3000

Monthly Expense Details
Mortgage................................ 477.2
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 100
Council tax............................. 76
Electricity............................. 59
Gas..................................... 0
Oil..................................... 0
Water rates............................. 22.43
Telephone (land line)................... 0
Mobile phone............................ 42.68
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 22.95
Groceries etc. ......................... 264
Clothing................................ 111
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 276
Childcare/nursery....................... 300
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 45
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 7
Other insurance......................... 14
Presents (birthday, christmas etc)...... 20
Haircuts................................ 30
Entertainment........................... 174
Holiday................................. 25
Emergency fund.......................... 0
Eating out.............................. 270
Total monthly expenses.................. 2336.26

Assets
Cash.................................... 0
House value (Gross)..................... 125000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 125000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 66474.7..(477.2)....0
Total secured & HP debts...... 66474.7...-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
NatWest Overdraft..............7500......107.4.....0
MBNA Credit Card...............5780.5....148.2.....0
Ikano Bank Loan................10601.4...308.5.....3
Sainsburys Bank Loan...........13220.5...307.4.....9
Total unsecured debts..........37102.4...871.5.....-

Monthly Budget Summary
Total monthly income.................... 3,000
Expenses (including HP & secured debts). 2,336.26
Available for debt repayments........... 663.74
Monthly UNsecured debt repayments....... 871.5
Amount short for making debt repayments. -207.76

Personal Balance Sheet Summary
Total assets (things you own)........... 125,000
Total HP & Secured debt................. -66,474.7
Total Unsecured debt.................... -37,102.4
Net Assets.............................. 21,422.9

Created using the SOA calculator at https://www.stoozing.com.
Reproduced on Moneysavingexpert with permission, using other browser.

Most of you that had helped me in the past had said I need to post a SOA to get any real help so I have gone and sorted that.
Just a quick note, to work out some of my numbers I have gone back through my spending over the last year written every transaction out on Excel and categorised everything. I have then taken an average of each category to use for the SOA. In the past couple of months I have been trying but this month especially to DRASTICALLY cut the costs.
I had been pushing it off not because I didn't want to but because so much has changed recently it makes it hard for me to put everything in with certainty.
With regards to my flat, I did recently spend a lot of money I didn't have to refurbish the whole place but I saw an opportunity to really increase the value and things spiralled. It was difficult for me to be happy with the state it was in and since then I have really noticed a difference in my outlook. It has put a huge strain on me financially but I do feel it was worth it all things considered.
So starting with the flat, I spent £10,000 getting it to what it is now and I had a friend from work make me a cash offer of £125,000 so I guess I did well. I bought the flat 4 years ago for £89,500 and in my last post commented on how I was thinking of selling it to clear all my debts and rent for a while. I have been put off this idea and thanks to others comments think slowing down and taking a step back would be the best POA.
Up until 3 months ago I had a ridiculous Mercedes C Class that not only was causing me huge financial issues but I also never used it. I got it when I thought I was going to be using it for work 2 years ago but since started taking the Metro into town and THANKFULLY got rid of it 3 months ago. Cost me £1,500 in the difference in value to loan but was the best thing I ever did. So now I have no car but get around just fine. I do spend about £150 a month on Ubers and car rentals though which are inevitable every time I need to go somewhere. There is also the £55 monthly Metro ticket which I buy.
Another cost I have not included is restaurants. I was dating a girl who was a lot more financially stable than I am which came with the cost of dates and meals out. I am also a sucker for forgetting lunch and eating out in town as well as going out with friends. From doing my budget this has been my biggest eye opener and NEEDS TO STOP COMPLETELY!
With my income it can vary soo much it makes it difficult to know what my monthly income on a given month will be. I am self employed and work in Sales so a good month could be £5,000 and a bad month can be £0.

[purplesignup][/purplesignup]

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Mnd · 29 July 2018 at 12:22PM

Does the children's mother not pay you anything?

shteca · 29 July 2018 at 12:26PM

Mnd wrote: »

Does the children's mother not pay you anything?

No we share the time with the kids 50/50
I pay her £300 a month...

a_silver_lining · 29 July 2018 at 1:08PM

Hiya, well done on the SOA.

Eating out was my biggest expense previously. My income is much less then yours (more then half less) with similar mortgage and bills, but I spent £127.27 eating out in June. In July with effort on my part I dropped this to £52.07.

This was big for me as eating out, takeaway, coffee out is a big social thing for me. The main effort I made was to focus on my meal planning for work and days out, bringing in enough snacks and drink to stop buying emergency food out. I think I can still rope it in a bit more by picking cheaper eat out places if I'm socialising though!

Good luck!

Sncjw · 29 July 2018 at 2:09PM

Eating out it!!!8217;s around the same your paying for groceries. Cut it out. Plan your meals better.

Are you really needing to spend £111 on clothing.

You have have no insurance at all for your house. This is a must.

You don!!!8217;t pay tv license?

enthusiasticsaver · 29 July 2018 at 5:10PM

Eating out is the biggest expense and has to go temporarily until you have started living within your income. Clothing can also be reduced. Plan your meals better and take packed lunches to work.

Regarding the debts I would see if you can get a 0% money transfer card to get rid of the overdraft. If the MBNA credit card is also 0% then it will take you just over 4 years to clear the credit card and overdraft, maybe sooner if you use your sales commission to get rid of it. It requires financial discipline though. Then tackle the loans.

System · 29 July 2018 at 6:33PM

shteca wrote: »

Lunch in town is £10 easily.

£50 a week for lunches at work or £5-£10 a week if you take packed lunches. Packed lunches would save you £2000 a year.

shteca · 29 July 2018 at 7:40PM

a_silver_lining wrote: »

Hiya, well done on the SOA.
Eating out was my biggest expense previously. My income is much less then yours (more then half less) with similar mortgage and bills, but I spent £127.27 eating out in June. In July with effort on my part I dropped this to £52.07.
This was big for me as eating out, takeaway, coffee out is a big social thing for me. The main effort I made was to focus on my meal planning for work and days out, bringing in enough snacks and drink to stop buying emergency food out. I think I can still rope it in a bit more by picking cheaper eat out places if I'm socialising though!
Good luck!

Thank you for posting! It really feels good to know I am not completely alone with my spending habits.
I am massively working on turning this to a great big £0 for August.
This weekend has been a huge one for me! I have spent a grand total of £10 on an Uber and £20 in Aldi. Other than that not one single penny has been spent. I have had the kids all weekend since Friday morning and entertained them and fed them within that budget. Had a great time too. I also have my meal for tomorrow sorted

shteca · 29 July 2018 at 7:58PM

Tarambor wrote: »

£50 a week for lunches at work or £5-£10 a week if you take packed lunches. Packed lunches would save you £2000 a year.

Completely agree. I am ashamed of how much I am spending on eating out and going out. I am going to be addressing this as of last week. I will try to keep updating my post.
This weekend I spent £20 in Aldi and £10 on an Uber and that is it.

shteca · 29 July 2018 at 8:04PM

Sncjw wrote: »

Eating out it!!!8217;s around the same your paying for groceries. Cut it out. Plan your meals better.
Are you really needing to spend £111 on clothing.
You have have no insurance at all for your house. This is a must.
You don!!!8217;t pay tv license?

With regards to the meals. 100% this whole exercise of counting every penny I spend has had a huge impact on me. It genuinely has shocked me to see how much I spend.
With regards to clothing, this will be one of those where the average over the past 12 months has brought the numbers up. It would include school clothes and shoes for the kids as well as myself and summer outfits etc.
One thing I have noticed is how on eBay people sell good as new kids clothes for a FRACTION of the price. Bought something a while back and was so happy with it. Will be trying this again.
I live in a flat and the insurance is included in our service charge which is £100 a month.
Nope, I got rid of my TV as it broke and not bothered replacing it. Kids prefer playing on iPad / iPhone anyway. I don't watch TV

shteca · 29 July 2018 at 8:10PM

enthusiasticsaver wrote: »

Eating out is the biggest expense and has to go temporarily until you have started living within your income. Clothing can also be reduced. Plan your meals better and take packed lunches to work.
Regarding the debts I would see if you can get a 0% money transfer card to get rid of the overdraft. If the MBNA credit card is also 0% then it will take you just over 4 years to clear the credit card and overdraft, maybe sooner if you use your sales commission to get rid of it. It requires financial discipline though. Then tackle the loans.

Eating out / clothes completely agree. I have focused on this 100% since last week. I only spent £30 this weekend on food, going out, travel everything. Had the kids all weekend until tomorrow too.
With regards to Credit Cards I have applied but I can't get any more credit. It is just damaging my credit rating now as I keep applying but keep getting rejected. I think even the Credit Card companies have worked out I'm over my head.
The MBNA was a 0% when I got it but that was years ago. It is a regular rate now. Can I change this with them?

My SOA and Situation Realisation

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