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  • FIRST POST
    • fatrab
    • By fatrab 2nd Jan 18, 9:22 AM
    • 835Posts
    • 1,903Thanks
    fatrab
    My 5 year plan
    • #1
    • 2nd Jan 18, 9:22 AM
    My 5 year plan 2nd Jan 18 at 9:22 AM
    Happy new year!

    I made a thread at the end of last year in the DFW section (http://forums.moneysavingexpert.com/showthread.php?t=5756197) because of a few silly financial decisions I made in the past year and wanted to set them straight. As part of that I made a spending diary for week and realised how much more I was spending than what I though I was.

    So I promised 2018 was going to be different and that I'd make a thread here to set my goals and note down any achievements!

    My 5 year plan looks like this:

    Year 1 Timeline (2018):
    Jan - Pay HMRC - 1017 - PAID 25/01/18 (page 5)
    Feb - Pay off credit card 1 - 978.80 - PAID 28/02/18 (page 12)
    March - Build up 2000 safety fund - ACHIEVED 12/03/18 (page 14)
    May - Tax rebate - 857 mileage relief allowance + 179.20 rebate (page 21)
    June - Re-mortgage - Wheels in motion 26/04/18
    July - Pay home insurance IN FULL
    July - Cancel mobile contract for tablet - CANCELLED 27/03/18 (page 16)
    September - Pay TV licence IN FULL
    October - Pay car insurance IN FULL
    October - Pay car tax (big car) - CANCELLED 09/05/18 (page 21)
    October - Cancel my mobile - CANCELLED 20/04/18 (page 19)
    October - Renegotiate TV/Broadband/Phone package
    Throughout year - Overpay car finance - CAR SOLD 08/05/18 (page 21)

    Year 2:
    January - Cancel Mrs' mobile
    Pay off car finance - CAR SOLD 08/05/18 (page 21)
    Pay off loan - PAID 17/05/18 (page 22)
    Continue to build up the safety fund

    Year 3:
    Pay off credit card (currently on 0% deal)
    Overpay mortgage if possible

    Years 4 & 5:
    Overpay mortgage. I have 7 years and 4 months remaining at the moment but I have been making regular overpayments and I'm due to re-mortgage in October at the end of a 5 year fix.
    At the end of year 5 have enough money saved to pay any outstanding balance on the mortgage.

    Obviously as each debt is paid off I'll have extra to pay to the next debt, this is where I'll struggle. It'll take a lot of commitment and focus not to go bananas with any spare cash but I'm 43 and want to be debt free by 50. I can do this in 5 years. Debt free by 48 would be amazing!

    Wish me luck!

    Robert

    NOTE: Due to a malicious attack some diaries disappeared and this was one of them. I started a new one, but the nice people at MSE towers managed to recover my original one and they're now merged, from page 6 onwards.

    From May 2018 onwards:

    Statement of Affairs and Personal Balance Sheet
    Household Information

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


    Monthly Income Details
    Monthly income after tax................ 3408.83
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 234.87
    Total monthly income.................... 3643.7


    Monthly Expense Details
    Mortgage................................ 800.3
    Secured/HP loan repayments.............. 0
    Rent.................................... 250
    Management charge (leasehold property).. 0
    Council tax............................. 145.8
    Electricity............................. 37.27
    Gas..................................... 40
    Oil..................................... 0
    Water rates............................. 0
    Telephone (land line)................... 10
    Mobile phone............................ 72.46
    TV Licence.............................. 0
    Satellite/Cable TV...................... 14
    Internet Services....................... 10
    Groceries etc. ......................... 100
    Clothing................................ 0
    Petrol/diesel........................... 160
    Road tax................................ 0
    Car Insurance........................... 30
    Car maintenance (including MOT)......... 50
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 0
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 7.67
    Contents insurance...................... 0
    Life assurance ......................... 6.81
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 0
    Haircuts................................ 0
    Entertainment........................... 0
    Holiday................................. 0
    Emergency fund.......................... 50
    Total monthly expenses.................. 1784.31


    Assets

    Cash.................................... 1252.73
    House value (Gross)..................... 128000
    Shares and bonds........................ 0
    Car(s).................................. 4000
    Other assets............................ 0
    Total Assets............................ 133252.73


    Secured & HP Debts

    Description....................Debt......Monthly.. .APR
    Mortgage...................... 62832....(800.3)....3.14
    Total secured & HP debts...... 62832.....-.........-



    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Credit card....................3630......110.......0
    Total unsecured debts..........3630......110.......-


    Monthly Budget Summary

    Total monthly income.................... 3,643.7
    Expenses (including HP & secured debts). 1,784.31
    Available for debt repayments........... 1,859.39
    Monthly UNsecured debt repayments....... 110
    Amount left after debt repayments....... 1,749.39



    Personal Balance Sheet Summary
    Total assets (things you own)........... 133,252.73
    Total HP & Secured debt................. -62,832
    Total Unsecured debt.................... -3,630
    Net Assets.............................. 66,790.73

    Created using the SOA calculator at www.stoozing.com.
    Reproduced on Moneysavingexpert with permission, using other browser.
    Last edited by fatrab; 17-05-2018 at 6:54 AM.
Page 14
    • Purplemumof2
    • By Purplemumof2 10th Mar 18, 7:24 AM
    • 6,070 Posts
    • 22,304 Thanks
    Purplemumof2
    The chap who viewed the car at the start of the week called back last night and made an offer, he'd been to see 7 other vehicles and I think he knows ours is one of the cleanest out there. Unfortunately he's not quite offering enough. We're 500 apart.


    Hopefully we'll reach an agreement halfway
    Originally posted by fatrab
    That's exciting stuff! Fingers crossed x
    Official DFW Nerd Club - Member no. 791 - Proud to be dealing with my debts
    MBNA: 6350.00 Cap 1: 407.72 BC: 6224.59
    AFD xxx LTW 4/17
    POAMAYC 2018 #041 PD 5970.32/7000
    Savings for Christmas 161.42/365
    20p Savers 2018 2 Savers 2018 50p Savers 2018 SPC 11 2018 #003
    • fatrab
    • By fatrab 10th Mar 18, 3:11 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    That's exciting stuff! Fingers crossed x
    Originally posted by Purplemumof2
    Don't want to count my chickens before they're hatched, but it looks like we've agreed a sale. Will confirm on Monday when the cash is in my hand!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • foxgloves
    • By foxgloves 10th Mar 18, 3:40 PM
    • 4,025 Posts
    • 20,708 Thanks
    foxgloves
    I hear you regarding the weighloss frustrations. Between 2011 & 2013, I managed to lose 6 stones, & my husband (big guy...loves his food & beer) lost 4. We did Rosemary Conley's diets.....well, kind of our version of them. My husband particularly likes her 321 diet where you have 2 strict days a week on 800 cals & eat more the rest of tge week). It's keeping it off that's so bloody difficult. I regained two stone but am now tackling it with renewed diet efforts & more walking. It's hard work & I have decided just losing 1lb a week will still mean I can be back to my all time low weight by Christmas. 1lb a week for a year is over 3 stones & that's a really good health-improving amount.
    Anyway, good luck with it!
    Money can't jump out of your purse on its own so ask 'Can I borrow one, make one, grow one, bake one, re-purpose or recycle, acquire it for free?' Yes? Then put that purse away & keep your money because little savings grow!
    Loan pay-down fund instalment 2 = 716-58
    Payment received from surveys: 2015 = 320 2016 = 210 2017 = 304 2018 = 244
    • fatrab
    • By fatrab 12th Mar 18, 1:00 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Afternoon!

    Well it's been an eventful weekend with its ups and downs!

    Great news, Mrs fatrab's car is sold. Cash currently on route to bank with Mummy fatrab (assuming she doesn't get a taxi to the airport with it! )
    Mixed news, Mrs fatrab's toe nail had to be removed this morning, it's been giving her problems for years so a bit painful now but will be better soon, hence Mummy fatrab running errands as I'm back up north!
    Bad news, Friday night's takeaway and Sunday's Mother's day meal put me back to 16st this morning!
    Good news, Mother's day meal for 3 adults including drinks, 36!
    Bad news, fell off the wagon and had a pint on Sunday. 6 weeks alcohol free and it was only 1 pint.
    And I'll finish on something positive, 2 NSD's coming up as I did a bit of cooking last night and have meals made for next 2 days!

    So, last week's stats:

    Eating Out - 62%
    Shopping - 35%
    Snacking - 3%

    No fuel!! And have made an arrangement where I'll use the van at least once a month, so that'll save me 30-60 per month.

    Need to really get the head down now and get this weight shifted. Another 15lbs and I'll be into the 14's, want to hit that target by end of June.

    And will be phoning the finance company with an overpayment later today.

    Onwards and upwards!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • JoJoC
    • By JoJoC 12th Mar 18, 2:11 PM
    • 1,776 Posts
    • 6,515 Thanks
    JoJoC
    All sounding good Rab! Finances and weight are ticking along nicely
    CC1: 4481.14/ 5031.14 (12% paid off, 600) | CC2:3307/ 3807 (14.4% paid off, 550) | Loan: 10,528.20/ 15,792.30((33% paid off, 5,264))

    July debt total: 24,630.44 | New debt total: 18,316.34 | Total debt paid: 6,414.10 (26%)
    *My debt busting and savings diary*
    • fatrab
    • By fatrab 13th Mar 18, 7:02 AM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    One of my goals for the year was to have a 2000 emergency fund, so I've topped that up from the money that came in yesterday

    After a great deal of deliberation I'm going to wait until payday on the 26th before paying anything with the remaining money, so that I have maximum funds available for an overpayment.

    I am absolutely torn between either paying a lump sum to the car HP (6.9%) or paying off the loan completely (3.1%) and freeing up 167/month. I know the advice is to pay the highest interest debt first but I can't get it out of my head that it'll be better when I need to start looking at re-mortgaging in May/June if I have one less credit agreement on my file.

    Decisions decisions..........
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • Rocco86
    • By Rocco86 13th Mar 18, 1:46 PM
    • 6 Posts
    • 14 Thanks
    Rocco86
    Personally I would pay off the loan, this not only frees up money each month to add to the budget or save for a lump sum for car payment, but it's one whole debt gone! This to me would be a great motivator
    • undlou
    • By undlou 13th Mar 18, 1:56 PM
    • 43 Posts
    • 22 Thanks
    undlou
    Your post is very inspiring, I do feel more motivated to save for a mortgage after reading it. Good luck to you and your family.
    • onedaysomeday
    • By onedaysomeday 13th Mar 18, 3:49 PM
    • 401 Posts
    • 612 Thanks
    onedaysomeday
    Have just read all 14 pages and just popping by to say well done :-)
    Debt paid 1780.76 / 7180.59 (24%)
    CAR SERVICE CHALLENGE: 21/154 BY 5/6/18 (13.5 %)
    EMERGENCY FUND: 0 SAVINGS POTS: 0
    • fatrab
    • By fatrab 13th Mar 18, 4:09 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Personally I would pay off the loan, this not only frees up money each month to add to the budget or save for a lump sum for car payment, but it's one whole debt gone! This to me would be a great motivator
    Originally posted by Rocco86
    I completely get what you mean, but when you punch the numbers into a snowball calculator it makes far more sense to target the highest interest debt first. That's the advice I've always worked to in the past, and it's the hard line I give to anyone else paying their debts off.


    But it becomes a more difficult decision when you're actually in that position yourself!


    I should pay it off the finance, I want to pay off the loan, CCard is at 0% for 3 years so there's absolutely no point paying that off.


    I've set up the payment to the Finance company in my online banking, I just haven't sent the money - yet!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • fatrab
    • By fatrab 13th Mar 18, 4:10 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Have just read all 14 pages and just popping by to say well done :-)
    Originally posted by onedaysomeday
    Thanks for taking the time to read them all!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • LearningtoAdult
    • By LearningtoAdult 13th Mar 18, 4:17 PM
    • 29 Posts
    • 65 Thanks
    LearningtoAdult
    I've just sat and read through you're whole diary and it lovely to see how dedicated and focused you are. It's definitely made me focus and realise a few thing about my own debt free diary.

    I'll be subscribing and look forward to following your journey with you.
    • fatrab
    • By fatrab 13th Mar 18, 4:33 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    I've just sat and read through you're whole diary and it lovely to see how dedicated and focused you are. It's definitely made me focus and realise a few thing about my own debt free diary.

    I'll be subscribing and look forward to following your journey with you.
    Originally posted by LearningtoAdult
    Thanks!


    I like to try and post every weekday as my weekends with family are precious so tend not to spend much time with my face stuck in the laptop, but it must make it hard for anyone to catch up as I'm sure I must be dribbling a load of nonsense some days. I find posting and updating my signature daily helps keep me focused even if nobody were to be reading it - a bit like an old fashioned diary!


    Best wishes
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • LearningtoAdult
    • By LearningtoAdult 13th Mar 18, 7:53 PM
    • 29 Posts
    • 65 Thanks
    LearningtoAdult
    Thanks!


    I like to try and post every weekday as my weekends with family are precious so tend not to spend much time with my face stuck in the laptop, but it must make it hard for anyone to catch up as I'm sure I must be dribbling a load of nonsense some days. I find posting and updating my signature daily helps keep me focused even if nobody were to be reading it - a bit like an old fashioned diary!



    Best wishes
    Originally posted by fatrab
    It's good isn't. I've just started a diary and even if no one else really reads it I'm finding it quite therapeutic to get my thoughts/feelings written down.
    • fatrab
    • By fatrab 14th Mar 18, 6:56 AM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Good morning!

    The money was burning a hole in my pocket. I had to do something with it. Was thinking of heading to the casino, red or black? (haha I don't gamble, never have!)

    I paid a lump of it to the car finance and have left myself a buffer in my current account. Will reassess after payday on 26th and see where I stand.

    I'm sticking to my plan, even if it kills me!

    Make a plan. Stick to the plan.If it's not in the plan - DONT DO IT! Target Debt - CAR FINANCE 3180/20000 (15.9%)
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • fatrab
    • By fatrab 14th Mar 18, 8:13 AM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Oh, forgot to mention, I have also completely removed my overdraft facility. Cancelled. Gone forever!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • jwil
    • By jwil 14th Mar 18, 2:12 PM
    • 8,504 Posts
    • 26,015 Thanks
    jwil
    I'd have cleared the loan I know it's not always the best financially, but psychologically having one less debt is a great motivator. Well done you for sticking to your plan though
    "If you can dream it, you can do it". Walt Disney
    • fatrab
    • By fatrab 14th Mar 18, 2:20 PM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    I'd have cleared the loan I know it's not always the best financially, but psychologically having one less debt is a great motivator. Well done you for sticking to your plan though
    Originally posted by jwil
    Oh, you've no idea how hard it was to decide what to do, but I'm going to clear the big one first. Get that out of the way. Should be sorting out my tax rebate soon, April/May, so that'll make a big dent in the debt mountain too.
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • fatrab
    • By fatrab 15th Mar 18, 8:41 AM
    • 835 Posts
    • 1,903 Thanks
    fatrab
    Taking a week off.....
    Howdy!

    Made another small change yesterday. I don't know how you feel about this but I'm fed up with all the little DD's that come out every month. TV licence being one of them. So I've contacted them and switched onto paying annually instead of monthly. My current payments to date have me covered until September then it'll go onto an annual payment.

    Now looking forward to the day my home insurance is up for renewal and my Vodafone contracts begin to expire.

    So it's reached that coasting time of the month when everything is paid, payday is in sight and my fingers are crossed that no obstacles get in the way for the next 10 days or so. The car is filled with petrol, I'm driving back home tomorrow, and I'm off work next week. Spending a week at home with the family before Mrs fatrab goes back to work. Hopefully get the decorating finished in the kitchen and start on the hall. Maybe even get out into the garden if the weather allows!

    Probably won't be on here much for the next week, so will catch up with everyone again when I'm back at work on the 26th. So while I'm on holiday, as Martin would say, I hope you save some money!
    You can have results or excuses, but not both.
    May's targets - Lose 1 stone - 6lbs off, 21/31 AFDs, 13/18 lunches.
    37 x 2 coins (#32) - Wannabe debt free by Dec 2022
    • onedaysomeday
    • By onedaysomeday 15th Mar 18, 9:07 AM
    • 401 Posts
    • 612 Thanks
    onedaysomeday
    Enjoy your holiday time fatrab
    Debt paid 1780.76 / 7180.59 (24%)
    CAR SERVICE CHALLENGE: 21/154 BY 5/6/18 (13.5 %)
    EMERGENCY FUND: 0 SAVINGS POTS: 0
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