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  • FIRST POST
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 10:56 AM
    • 17Posts
    • 24Thanks
    champagne_to_lemonade_
    32,940.78 to zero...
    • #1
    • 12th Jul 18, 10:56 AM
    32,940.78 to zero... 12th Jul 18 at 10:56 AM
    32,940.78
    This is what living a champagne lifestyle on a lemonade wage brings you.

    My debt is as follows -

    Barclaycard - 10,903.09
    MBNA - 6,252.80
    Virgin - 5616.52
    Loan - 4000
    Overdraft - 168.37
    Car finance - 6000 (approx.)
    Total - 32,940.78

    I also have my mortgage which is currently 60,998.98, I!!!8217;m just putting it here for my own reference and I have a student loan which is about 11,000 but of course that is the least of my worries.

    Soooooo....here goes nothing! I hope I can motivate myself once and for all!!! Spent time over the years reading others and wishing it was me doing something about my debt, but of course done nothing about it other than increase my debt!!

    Wish me luck
    Last edited by champagne_to_lemonade_; 12-07-2018 at 11:04 AM.
Page 1
    • BelleOfBilboa
    • By BelleOfBilboa 12th Jul 18, 10:59 AM
    • 23 Posts
    • 52 Thanks
    BelleOfBilboa
    • #2
    • 12th Jul 18, 10:59 AM
    • #2
    • 12th Jul 18, 10:59 AM
    Welcome!
    Your 'name' couldn't resonate with me more! Congrats on creating a diary, first hurdle complete. I'm subscribing and looking forward to watching your journey.
    Oh and good luck!!
    Next 362.91/324.91; Natwest OD 2000/2000; Natwest Loan 1692.50/1692.50; CDL 4000/3790; Bank of M&D 2165.35/2015.35 DFD 31/12/19

    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 11:02 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    • #3
    • 12th Jul 18, 11:02 AM
    • #3
    • 12th Jul 18, 11:02 AM
    I have signed up for a benefit in work called Sharesave where I am putting 150 away each month. It runs for 3 years and best case you can make a little bit of money but worst case you leave with the same amount you have put in. There is no risk and the money can be withdrawen at any time (2-3 working days) so I will be counting this as my emergency fund if I REALLY need it. I will try and build up a mini one also to avoid having to actually take money out before the 3 years are up.

    Emergency fund currently sits at: 450
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 11:23 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    • #4
    • 12th Jul 18, 11:23 AM
    • #4
    • 12th Jul 18, 11:23 AM
    Thanks Belle, I will go have a read of your diary, the title is definitely me, well apart from the 20's part, I am sadly more mid 30's

    Also, the major reason for me starting this diary and sorting out my debt is there is a very high chance I will be made redundant in the next 12-18 months. My payout would be ok-ish, but it would probably only clear about half my debt, but leave me no income to pay my bills!!
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 12:08 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    • #5
    • 12th Jul 18, 12:08 PM
    • #5
    • 12th Jul 18, 12:08 PM
    This is my SOA. I work full time and do a job on the side once a week for my friend. The income from both of these vary, my monthly income changes and the work I do for my friend can vary each week, but these are the minumum earnings.

    Statement of Affairs and Personal Balance Sheet

    Household Information
    Number of adults in household........... 1
    Number of children in household......... 1 (my child is 18, so technically an adult hence why no benefits/maintence etc)
    Number of cars owned.................... 1

    Monthly Income Details
    Monthly income after tax................ 1500
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 300
    Total monthly income.................... 1800

    Monthly Expense Details
    Mortgage................................ 392.3
    Secured/HP loan repayments.............. 119.99
    Rent.................................... 0
    Management charge (leasehold property).. 0
    Council tax............................. 115
    Electricity............................. 60
    Gas..................................... 41.65
    Oil..................................... 0
    Water rates............................. 0
    Telephone (land line)................... 0
    Mobile phone............................ 13.98
    TV Licence.............................. 0
    Satellite/Cable TV...................... 0
    Internet Services....................... 25.24
    Groceries etc. ......................... 200
    Clothing................................ 0
    Petrol/diesel........................... 150
    Road tax................................ 12.5
    Car Insurance........................... 40
    Car maintenance (including MOT)......... 0
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 15
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 7.5
    Contents insurance...................... 7.5
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, Christmas etc)...... 125
    Haircuts................................ 30
    Entertainment........................... 0
    Holiday................................. 0
    Emergency fund.......................... 0
    Gym..................................... 12.5
    Car valet............................... 10
    Dog Haircut - 3 times a year............ 10
    Dog food & treats....................... 10
    Dog Walker.............................. 80
    Eyebrow wax & tint...................... 15
    Total monthly expenses.................. 1493.17

    Assets
    Cash.................................... 0
    House value (Gross)..................... 85000
    Shares and bonds........................ 450
    Car(s).................................. 15000
    Other assets............................ 0
    Total Assets............................ 100450

    Secured & HP Debts
    Description....................Debt......Monthly.. .APR
    Mortgage...................... 60998.9..(392.3)....2.59
    Secured Debt.................. 4000.....(0)........0
    Hire Purchase (HP) debt ...... 6000.....(120)......7.9
    Total secured & HP debts...... 70998.9

    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclaycard ...................10909.....170.......0
    MBNA...........................6252......92....... .0
    Virgin.........................5616......82....... .0
    Total unsecured debts..........22777.....344

    Monthly Budget Summary
    Total monthly income.................... 1,500
    Expenses (including HP & secured debts). 1,493.17
    Available for debt repayments........... 6.83
    Monthly UNsecured debt repayments....... 344
    Amount short for making debt repayments. -37.17

    Personal Balance Sheet Summary
    Total assets (things you own)........... 100,450
    Total HP & Secured debt................. -70,998.9
    Total Unsecured debt.................... -22,777
    Net Assets.............................. 6,674.1
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 12:21 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    • #6
    • 12th Jul 18, 12:21 PM
    • #6
    • 12th Jul 18, 12:21 PM
    I've not included a budget for clothes, entertainment or holidays. I know this isn't realistic in the real world. Clothing I don't actually buy lots but when I do I go on a splurge, the plan for this year is to not buy anymore, should be do-able. Holidays I am going away in August, all is paid for just need spending money. Future holidays will be on hold for now. Entertainment, I would love to say it is because I am stopping everything but in reality I am pretty anti social these days. I work 6 days a week, my free time I like to go to the gym/swimming, long dog walks and most of my friends have young kids so to catch up with them it is mostly a night in.

    I am in the process of getting my bathroom done. I have paid for the labour to install and tile, but I need to buy a bathroom suite and tiles. I also need a few other essential home items over the coming months from recently moving.
    Last edited by champagne_to_lemonade_; 12-07-2018 at 12:32 PM.
    • BelleOfBilboa
    • By BelleOfBilboa 12th Jul 18, 1:20 PM
    • 23 Posts
    • 52 Thanks
    BelleOfBilboa
    • #7
    • 12th Jul 18, 1:20 PM
    • #7
    • 12th Jul 18, 1:20 PM
    Are you quite attached to your dog walker? If not, have you heard of borrowmydoggy.com? Essentially you set up a profile for your dog and people who aren't as fortunate can share your dog eg. lunchtime walks, holidays etc. May save a bit of money?


    Is your child still in education? If they are working you could ask for a contribution from them? As soon as I got a full time job my parents asked for 'rent', I didn't pay very much but was enough to get into the habit. Also why not save on the car valeting and get them to do it


    Just a couple of ideas to get you thinking
    Next 362.91/324.91; Natwest OD 2000/2000; Natwest Loan 1692.50/1692.50; CDL 4000/3790; Bank of M&D 2165.35/2015.35 DFD 31/12/19

    • Robin09
    • By Robin09 12th Jul 18, 1:28 PM
    • 15 Posts
    • 48 Thanks
    Robin09
    • #8
    • 12th Jul 18, 1:28 PM
    • #8
    • 12th Jul 18, 1:28 PM
    Good luck on your debt busting journey
    • enthusiasticsaver
    • By enthusiasticsaver 12th Jul 18, 1:49 PM
    • 6,680 Posts
    • 14,163 Thanks
    enthusiasticsaver
    • #9
    • 12th Jul 18, 1:49 PM
    • #9
    • 12th Jul 18, 1:49 PM
    If you have signed up to save 150 a month where is that coming from or is that deducted at source from your wages? It appears you cannot afford it looking at that soa as you have almost a 37 monthly shortfall just for paying basic bills/debt repayments and not allowing for saving for home improvements(bathroom) or car maintenance or entertainment or holidays. There certainly is not 150 spare.

    The dog walker is expensive so you could look to save on that by walking him yourself and ideally you should be doing the car valeting yourself and dropping the presents budget. On your present income there is nothing extra to repay the debt so if you lose your job in the next year or so you will be in real difficulties.
    Debt free and mortgage free and early retiree. Living the dream

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages and Endowments, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 1:57 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    If you have signed up to save 150 a month where is that coming from or is that deducted at source from your wages? It appears you cannot afford it looking at that soa as you have almost a 37 monthly shortfall just for paying basic bills/debt repayments and not allowing for saving for home improvements(bathroom) or car maintenance or entertainment or holidays. There certainly is not 150 spare.

    The dog walker is expensive so you could look to save on that by walking him yourself and ideally you should be doing the car valeting yourself and dropping the presents budget. On your present income there is nothing extra to repay the debt so if you lose your job in the next year or so you will be in real difficulties.
    Originally posted by enthusiasticsaver
    Thanks for your reply. My wage would be 1650 if I never took off the 150 but it is taken off my income before tax, I can access it whenever I want, so thought it was best to keep as savings?!

    The dog walker is non negotiable as I need him to walk the dog those 2 days when I am at work and my daughter is at college. I could cancel him over summer but he is fully booked and can not risk losing my space as I will need him in August.

    All my debt is 0% so with the minimum payments it is reducing by 344 per month. 1800 per month is my gaurenteed minimum, this year I haven't earned below 2000 but thought would just put in the worst casse scenario.

    Agree about the present budget, this was just what I calcualed on average my yearly spends on Chrsitmas and birthdays were, but this will be dramtically cut. Should this come out my SOA?
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 2:05 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    Are you quite attached to your dog walker? If not, have you heard of borrowmydoggy.com? Essentially you set up a profile for your dog and people who aren't as fortunate can share your dog eg. lunchtime walks, holidays etc. May save a bit of money?


    Is your child still in education? If they are working you could ask for a contribution from them? As soon as I got a full time job my parents asked for 'rent', I didn't pay very much but was enough to get into the habit. Also why not save on the car valeting and get them to do it


    Just a couple of ideas to get you thinking
    Originally posted by BelleOfBilboa
    I do really like him, and what I like is the daily updates he puts on fb so you know he is actually taking the dog out and doing what you are paying for, as how do you really know when you are at work! Borrow my doggy wouldn't work for me becasue I need at least 2 walks a week (may need to increase next month when my daughter gets her college timetable) and I give him a key to my house, wouldn't feel comfortable meeting strangers each week and giving out my key.

    Can't ask my daughter for money, she has a part time job but never asks for a penny from me. She doesn't get much and what she does get is enough for her to enjoy herself with her friends and buys what she wants.

    Car valet I know, this is a new thing since I got my new car and to be honest I don't want to give it up and with working 6 days a week, running a house and looking after an eldery relative this is 2.50 a week I am willing to sacrifice.

    I don't mean to be awkward with my replies to your suggestions, they are genuinely appreciated!
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 2:10 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    Good luck on your debt busting journey
    Originally posted by Robin09
    Thank you
    • enthusiasticsaver
    • By enthusiasticsaver 12th Jul 18, 2:54 PM
    • 6,680 Posts
    • 14,163 Thanks
    enthusiasticsaver
    Thanks for your reply. My wage would be 1650 if I never took off the 150 but it is taken off my income before tax, I can access it whenever I want, so thought it was best to keep as savings?!

    The dog walker is non negotiable as I need him to walk the dog those 2 days when I am at work and my daughter is at college. I could cancel him over summer but he is fully booked and can not risk losing my space as I will need him in August.

    All my debt is 0% so with the minimum payments it is reducing by 344 per month. 1800 per month is my gaurenteed minimum, this year I haven't earned below 2000 but thought would just put in the worst casse scenario.

    Agree about the present budget, this was just what I calcualed on average my yearly spends on Chrsitmas and birthdays were, but this will be dramtically cut. Should this come out my SOA?
    Originally posted by champagne_to_lemonade_
    OK that is clear about the 150 as savings so if you can access it then it can be used as an emergency fund. Christmas and birthdays should be allocated from your soa and ideally you would be putting cash aside monthly for this. I think you could definitely drop that lower though especially as you only have your daughter. Explain to extended family and friends you need to cut back and maybe arrange for kids only? We did that a few years ago and found it was a relief for most people to stop buying tat for people which cost them money and the recipients space.
    Debt free and mortgage free and early retiree. Living the dream

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages and Endowments, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 12th Jul 18, 3:08 PM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    I am definitely going to rein in Christmas this year. I was the first out of my friends to have kids and at the time none of them had major outlays so they were all very generous. However, now everyone has multiple kids and it really all can add up! Going to be doing Christmas on a serious budget or maybe offer out my babysitting services to my friends for one night rather than buy kids more plastic tat and could bring them to mine and make Chrsitmas cards/watch Christmas films. I have just made this up in my head but think I will actually do it. At the end of the day they get loads of gifts and won't notice one less at all. All this Christmas talk and people havn't even been on their summer holiday - sorry!!

    I think this year I can get away with only giving to 2 more people for their birthday and could do it for 25 each. Christmas in total I could do for 500so 550 to find over 6 pays is 91.66 slightly better on 125.
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 13th Jul 18, 8:39 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    It is pay day today for me! I have decided that I am going to be paying all my bills (obviously!) having a food budget, budget for the dog and a Christmas/Birthday pot. I am not going to save for annual expenses such as Building and Contents (due next July) Road tax (due next June) Car Insurance (Due next June) Gym membership (due next May). I know this goes against the norm, but I will deal with these when they happen and want to focus on everything into reducing my debt for the time being.

    My overdraft has been paid off so my debt is 168.37 lighter. Will look into my credit cards and see what minimum payments are due because I had made a few payments at the start of the month so not sure what is actually due and when.

    Debt as of right now: 32,772.41
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 13th Jul 18, 8:46 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    Made a payment to Barclaycard there, minimum was 168 but paid a little over 203.09 so balance now sits at 10,700.

    Debt as of right now: 32,569.32
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 13th Jul 18, 9:18 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    Made a payment to Virgin of 116.52 balance is now 5500

    Debt as of right now: 32,452.80
    • BelleOfBilboa
    • By BelleOfBilboa 13th Jul 18, 9:20 AM
    • 23 Posts
    • 52 Thanks
    BelleOfBilboa
    You go girl!!
    Next 362.91/324.91; Natwest OD 2000/2000; Natwest Loan 1692.50/1692.50; CDL 4000/3790; Bank of M&D 2165.35/2015.35 DFD 31/12/19

    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 13th Jul 18, 9:22 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    Sorry about all these posts, but I want to keep a record for myself to refer back to, and better than all the bits of paper I've scribbled these dates and figures onto.

    Barclaycard 10,700
    1,134.65 0% October 2018
    2,934.66 0% February 2019
    6,630.69 0% June 2020

    Virgin 5,500
    1,461.73 0% October 2019
    4,118.07 0% May 2020

    MBNA 6252.80
    All 0% December 2020

    Loan (from my sister) 4000
    0% until I pay her back
    • champagne_to_lemonade_
    • By champagne_to_lemonade_ 13th Jul 18, 9:24 AM
    • 17 Posts
    • 24 Thanks
    champagne_to_lemonade_
    I will wait until the MBNA direct debit comes out, not sure 100% what the minimum will be, made a rough estimate in my SOA as this is the first payment due. I don't want to make a payment now as I am not sure if I make one if they will still collect my direct debit or not. This card has the furthest away 0% dates so I will just be leaving that on the minimum for now.

    Best go get on with some work!!
    Last edited by champagne_to_lemonade_; 13-07-2018 at 9:31 AM.
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