How can I stop living pay to pay cheque?
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ambitiouspanda
Posts: 68 Forumite
Hi, I am 24 and I want to stop living pay to pay cheque.
I always pay my expenses which currently are as follows:
Income: £2583.94
Debt: £3699 - credit card bills. The 0% interest is coming off in April 2018.
Expenses (I live in London):
Rent: £757.33
Bills: £88
Oyster: £153.60
Therapy: £50
Phone bill: £13
Nails: £66
Hair: £70
Food: £130
Tithe: £258.79
Credit card repayment: £921.87 (my chosen amount)
Left over to cover me until next pay is £94-100 (4 weeks)
I pay so much for my credit card bill to rid myself of the debt. Especially because the 0% interest is coming to an end in April. The debt was much higher before and I’ve managed to pay it down. I got it to help myself out in a difficult period and assist a family member. My goal is to clear my cc bills by May. I know it seems like a no brainier but even when I didn’t have debt I found that I still lived pay to pay. It is so embarrassing! At the moment I have £20 in my account to carry me to my next pay day (which is in 5 days)...
Any advice would be useful!
Left over:
I always pay my expenses which currently are as follows:
Income: £2583.94
Debt: £3699 - credit card bills. The 0% interest is coming off in April 2018.
Expenses (I live in London):
Rent: £757.33
Bills: £88
Oyster: £153.60
Therapy: £50
Phone bill: £13
Nails: £66
Hair: £70
Food: £130
Tithe: £258.79
Credit card repayment: £921.87 (my chosen amount)
Left over to cover me until next pay is £94-100 (4 weeks)
I pay so much for my credit card bill to rid myself of the debt. Especially because the 0% interest is coming to an end in April. The debt was much higher before and I’ve managed to pay it down. I got it to help myself out in a difficult period and assist a family member. My goal is to clear my cc bills by May. I know it seems like a no brainier but even when I didn’t have debt I found that I still lived pay to pay. It is so embarrassing! At the moment I have £20 in my account to carry me to my next pay day (which is in 5 days)...
Any advice would be useful!
Left over:
**2018 G O A L S**
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!
0
Comments
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Most obvious candidate to explore on that list is £66 for nails and £70 on hair? I won't comment on the therapy as I don't know your circumstances and the tithe is a personal choice.
Are you making enough pension contributions to get maximum employer matching? Once you have paid back the CC and saved an emergency fund are you aware there is government help towards saving to buy a property with a HTB ISA or Lifetime ISA?0 -
ambitiouspanda wrote: »Hi, I am 24 and I want to stop living pay to pay cheque.
I always pay my expenses which currently are as follows:
Income: £2583.94
Debt: £3699 - credit card bills. The 0% interest is coming off in April 2018.
Expenses (I live in London):
Rent: £757.33
Bills: £88
Oyster: £153.60
Therapy: £50
Phone bill: £13
Nails: £66
Hair: £70
Food: £130
Tithe: £258.79
Credit card repayment: £921.87 (my chosen amount)
Left over to cover me until next pay is £94-100 (4 weeks)
I pay so much for my credit card bill to rid myself of the debt. Especially because the 0% interest is coming to an end in April. The debt was much higher before and I’ve managed to pay it down. I got it to help myself out in a difficult period and assist a family member. My goal is to clear my cc bills by May. I know it seems like a no brainier but even when I didn’t have debt I found that I still lived pay to pay. It is so embarrassing! At the moment I have £20 in my account to carry me to my next pay day (which is in 5 days)...
Any advice would be useful!
Left over:
I had to google 'Tithe', I didn't know what it was. Wouldn't it be more sensible to stop contributing that until your debt falls to zero, then maybe switch to 10% of your remaining monthly income after paying all living expenses (rather than 10% of your income).Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop0 -
Most obvious candidate to explore on that list is £66 for nails and £70 on hair? I won't comment on the therapy as I don't know your circumstances and the tithe is a personal choice.
Are you making enough pension contributions to get maximum employer matching? Once you have paid back the CC and saved an emergency fund are you aware there is government help towards saving to buy a property with a HTB ISA or Lifetime ISA?
Yes, I know the hair and nails seems excessive but it actually isn’t. I have long thick curly hair that requires professional assistance. In regards to my nails it is my guilty pleasure and helps for work.
My employer doesn’t match any contributions made but offers 7.5%. I won’t make any contributions until my cc bills are paid... then I am going to really do it! That aside, do you have any other comments on how I can save more etc?**2018 G O A L S**
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!0 -
If you owe £3699 and are repaying £921.87 monthly then that would take four more months at that rate, and if the 0% expires next month then there will obviously be interest to be added from then too, unless you're able to balance transfer to another 0% card.ambitiouspanda wrote: »My goal is to clear my cc bills by May.
It's generally a good idea to pay down debt but obviously to do so at an accelerated rate leaves you little room for manoeuvre while doing so - the flip side is that once the debt is paid off then you'll suddenly have £921.87 of disposable income that should transform your finances and allow you to achieve the goal in your signature.0 -
Yes, I agree with that!!! Completely! I can even tithe 10% on my left over!chucknorris wrote: »I had to google 'Tithe', I didn't know what it was. Wouldn't it be more sensible to stop contributing that until your debt falls to zero, then maybe switch to 10% of your remaining monthly income after paying all living expenses (rather than 10% of your income).
Do you have any other comments on my expenses etc? I really want to save more money and pay my cc bills quickly.**2018 G O A L S**
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!0 -
I'd BT the credit card debt personally, to a long term 0% deal fee-free. I'd then pay the minimum on that, whilst using the significant freed up cash to bolster my emergency savings fund and make pension contributions.ambitiouspanda wrote: »My employer doesn’t match any contributions made but offers 7.5%. I won’t make any contributions until my cc bills are paid... then I am going to really do it!
I'd also be looking to increase my income, because otherwise you'll be paying nearly a third of your income in rent forever!
No, at least not with what you've posted. You're looking at a quid here and a quid there. So concentrate on increasing your income.That aside, do you have any other comments on how I can save more etc?0 -
ambitiouspanda wrote: »Yes, I agree with that!!! Completely! I can even tithe 10% on my left over!
Do you have any other comments on my expenses etc? I really want to save more money and pay my cc bills quickly.
I'm a bloke, so not the right person to talk about hair and nails costs, have you considered trying to increase your income, in addition to reducing expenses.Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop0 -
Can you explain what is Tithe? I suggest you do your own nails and use a training school to get your hair cut.
Re therapy if it’s something that is professional and crucial for your mental health then of course continue. If it is some new age Mumbo jumbo knock it on a head too.
Adittionally, your food costs are rather high for one person.0 -
If you owe £3699 and are repaying £921.87 monthly then that would take four more months at that rate, and if the 0% expires next month then there will obviously be interest to be added from then too, unless you're able to balance transfer to another 0% card.
It's generally a good idea to pay down debt but obviously to do so at an accelerated rate leaves you little room for manoeuvre while doing so - the flip side is that once the debt is paid off then you'll suddenly have £921.87 of disposable income that should transform your finances and allow you to achieve the goal in your signature.
I have £1000 from a bonus so I would be on schedule to pay it all off by May... fingers crossed!**2018 G O A L S**
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!0 -
Can you explain what is Tithe? I suggest you do your own nails and use a training school to get your hair cut.
Re therapy if it’s something that is professional and crucial for your mental health then of course continue. If it is some new age Mumbo jumbo knock it on a head too.
Adittionally, your food costs are rather high for one person.
Tithe is 10% in my net income I pay to church. I’m a Christian. Following the advice of another poster I will tithe 10% on my left over money until my cc bills are paid. Yes, I will probably start doing my own hair and nails etc. Thank you so much!**2018 G O A L S**
[STRIKE]1) Pay off overdraft[/STRIKE]
2) Pay off credit card by November 2018
3) Begin 2019 debt free and be debt free for the rest of my life!0
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