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  • FIRST POST
    • Edenrose1
    • By Edenrose1 9th Aug 18, 9:01 AM
    • 13Posts
    • 3Thanks
    Edenrose1
    Money Left After bills - *New thread*
    • #1
    • 9th Aug 18, 9:01 AM
    Money Left After bills - *New thread* 9th Aug 18 at 9:01 AM
    Hello All,


    I could see old threads on this subject, but nothing new... I am keen to know what people / families manage on after bills, mortgage and essential items.


    We have a fairly good income / bills ratio. Just bought a new house - on paper we will be 200 a month better off...as we cleared unsecured credit cards and the childcare costs will end. However I do worry that we are stretching ourselves a bit... took a 5 year fixed, on a slightly higher rate, and less term...yikes... we will be mortgage free by 58 years old...


    After all essential bills and mortgage, school dinners (Not including travel and food ) we are left with approx 2,500 to 2,900 (depending if my husbands does overtime)


    Out of this we buy food, travel to work...I believe our shopping bills are approx. 750 a month (this includes clothes), fuel is approx. 600 a month as we both commute... so on paper we are left with 1,150 for 'fun money'...which we should be saving, but it soon goes...


    On top of this I get a bonus each year of 3000 *(after tax). This is used for a holiday...


    Running 2 cars and commuting seems very costly... we probably save approx. 400 a month give or take...however keen to hear from other families ... sometimes I worry that we have stretched ourselves by taking on this mortgage...even though each month we are 200 better off ..


    We are a family of 4 (2 adults and 1 teenager and 1 toddler)


    Just out of interest - how do other families make it work and what does your household budget look like....


    Thanks
Page 2
    • Tabbytabitha
    • By Tabbytabitha 11th Aug 18, 9:34 AM
    • 3,621 Posts
    • 5,926 Thanks
    Tabbytabitha
    In the main, comparing money "after bills" automatically makes any comparison a nonsense... because bills are so variable and might be the issue.

    Places that measure poverty look at the figure "after housing costs", where housing costs are limited to mortgage/rent and council tax.

    If one had, say, 1000/month "after housing costs" one'd be "rolling in it" - but if one were to spend the OP's 750 on food and left with 250/month it'd look like one had to be a bit careful.... whereas the actual problem is hidden within the bills and would be that extraordinarily high food bill being hidden as the problem.

    The word "bills" is too variable as to what's included/not - and how much is spent on each.

    Stick to "after housing costs" and it's clear how much money's actually available.
    Originally posted by PasturesNew
    For an individual perhaps, certainly not for a family!
    • FBaby
    • By FBaby 11th Aug 18, 9:47 AM
    • 16,914 Posts
    • 41,730 Thanks
    FBaby
    I've always been quite fascinated by people's spending habits and what they consider 'normal'. The disparity between what seems similar household is quite surprising!

    Whatever disposable income one is left with, I find it shocking that anyone would spend 750 a month doing the weekly shop for only 4 people, one of which being a toddler.

    However, that explains why when I queue at the checkout, I see trolleys with tons of alcohol, expensive meals, and indeed, 5 or more items of clothing.

    Nothing wrong with this if you can afford it, but ultimately, it is a choice and you can't expect much sympathy that you might not be able to save much at the end of the month.

    My parents used to spend an equivalent amount on the weekly shop. My mum was a spender and fell for every temptation. It used to drive my dad mad. Even now they are retired, he is horrified on how much is spent each week, but bad habits are hard to break.

    I would feel massively guilty if I spent that amount, and yet there are definitely improvements that I could make to my current spending. It really comes down to how much you want to reduce your weekly shop for more disposable income compared to the freedom and excitement of buying what one wants.
    • Pollycat
    • By Pollycat 11th Aug 18, 10:54 AM
    • 20,547 Posts
    • 55,242 Thanks
    Pollycat
    I've always been quite fascinated by people's spending habits and what they consider 'normal'. The disparity between what seems similar household is quite surprising!

    Whatever disposable income one is left with, I find it shocking that anyone would spend 750 a month doing the weekly shop for only 4 people, one of which being a toddler.

    However, that explains why when I queue at the checkout, I see trolleys with tons of alcohol, expensive meals, and indeed, 5 or more items of clothing.

    Nothing wrong with this if you can afford it, but ultimately, it is a choice and you can't expect much sympathy that you might not be able to save much at the end of the month.

    My parents used to spend an equivalent amount on the weekly shop. My mum was a spender and fell for every temptation. It used to drive my dad mad. Even now they are retired, he is horrified on how much is spent each week, but bad habits are hard to break.

    I would feel massively guilty if I spent that amount, and yet there are definitely improvements that I could make to my current spending. It really comes down to how much you want to reduce your weekly shop for more disposable income compared to the freedom and excitement of buying what one wants.
    Originally posted by FBaby
    I'd add "for the future".

    It's all very well living for the present but some people come down to earth with a bang when that high salary is no longer there - either because of redundancy or retirement.

    OH & I both had good, well-paid jobs.
    Whilst our contemporaries were driving round in Audis and BMWs, we had a less expensive (but still nice) car.
    etc.

    Whilst our contemporaries were holidaying in 5* All Inclusive spa hotels (which we would have hated) we were exploring the Greek Islands, Turkey etc and hitting 'new' destinations. We were amongst the first to go to Goa on a package holiday back in 1994, Mexico in 1991, Sri Lanka in 1996, Cuba in 1997. Everybody thought we were paying a fortune for our holidays but we weren't.

    Whilst our contemporaries were running up huge credit card bills, we were living well within our means.


    We planned for our future.


    I've been (early) retired for 15 years, OH for 12.
    We have 3 or 4 holidays per year and have no money worries.

    I suspect this is what the OP's family could do if they sorted their finances out.
    • getmore4less
    • By getmore4less 11th Aug 18, 5:28 PM
    • 32,739 Posts
    • 19,702 Thanks
    getmore4less
    The OP was worried they may be tight on cash, clear they are not ifthey budget wisely but that has clearly not been happening(debts and sub prime sugest a history of over spending)

    Without more details in some standard format like the SOA that categorises into fairly recognised group it is hard to see where they are going wrong.
    They will also have the same problem no idea where the money is going.

    Take essential bills(after mortgage/rent) people include differnt things

    council tax.
    gas.
    electric.
    water.
    many then add
    TV licence
    phone
    internet
    then some add
    TV package
    Mobile phones
    cleaner
    kids clubs
    school dinners.
    ...

    how you do it is not an issue as long as it is clear when you ask someone is 1,500-1,900 a month enough you know what has already been covered.
    • Tabbytabitha
    • By Tabbytabitha 11th Aug 18, 6:08 PM
    • 3,621 Posts
    • 5,926 Thanks
    Tabbytabitha
    I'd add "for the future".

    It's all very well living for the present but some people come down to earth with a bang when that high salary is no longer there - either because of redundancy or retirement.

    OH & I both had good, well-paid jobs.
    Whilst our contemporaries were driving round in Audis and BMWs, we had a less expensive (but still nice) car.
    etc.

    Whilst our contemporaries were holidaying in 5* All Inclusive spa hotels (which we would have hated) we were exploring the Greek Islands, Turkey etc and hitting 'new' destinations. We were amongst the first to go to Goa on a package holiday back in 1994, Mexico in 1991, Sri Lanka in 1996, Cuba in 1997. Everybody thought we were paying a fortune for our holidays but we weren't.

    Whilst our contemporaries were running up huge credit card bills, we were living well within our means.


    We planned for our future.


    I've been (early) retired for 15 years, OH for 12.
    We have 3 or 4 holidays per year and have no money worries.

    I suspect this is what the OP's family could do if they sorted their finances out.
    Originally posted by Pollycat
    To be fair though, you (like me) didn't have any children.
    • Pollycat
    • By Pollycat 11th Aug 18, 6:28 PM
    • 20,547 Posts
    • 55,242 Thanks
    Pollycat
    To be fair though, you (like me) didn't have any children.
    Originally posted by Tabbytabitha
    True.
    But I'm not sure me and OH had 100k pa income (as another poster has suggested) when we were young enough to have a toddler.
    • Gavin83
    • By Gavin83 11th Aug 18, 8:30 PM
    • 5,253 Posts
    • 8,596 Thanks
    Gavin83
    We planned for our future.
    Originally posted by Pollycat
    That's fine but it's a balance. I know people who have gone without to save for their retirement and then have never had the chance to enjoy it, either through early death or illness.

    I've got a good pension but also enjoy myself now as much as possible too. Instead of putting a deposit on a house I went travelling for a year. Don't regret it for a second. I would however regret getting to 60 and getting a severe life limiting illness that meant I was basically housebound at best, requiring 24/7 care at worst sitting on a giant pot of money. Spend it while you can.
    • getmore4less
    • By getmore4less 11th Aug 18, 8:30 PM
    • 32,739 Posts
    • 19,702 Thanks
    getmore4less
    True.
    But I'm not sure me and OH had 100k pa income (as another poster has suggested) when we were young enough to have a toddler.
    Originally posted by Pollycat
    plenty do career first and kids later leaving it till their 30s/40s.

    but the first post had

    We are a family of 4 (2 adults and 1 teenager and 1 toddler)
    • Pollycat
    • By Pollycat 12th Aug 18, 9:20 AM
    • 20,547 Posts
    • 55,242 Thanks
    Pollycat
    That's fine but it's a balance. I know people who have gone without to save for their retirement and then have never had the chance to enjoy it, either through early death or illness.

    I've got a good pension but also enjoy myself now as much as possible too. Instead of putting a deposit on a house I went travelling for a year. Don't regret it for a second. I would however regret getting to 60 and getting a severe life limiting illness that meant I was basically housebound at best, requiring 24/7 care at worst sitting on a giant pot of money. Spend it while you can.
    Originally posted by Gavin83
    I was merely pointing out that the OP could have a very different future if she gets a handle on the 1k+ that seems to disappear every month.

    And we did spend it while we could.
    Just not all of it.

    And we're still spending it.
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