Financial Review of Week 36

HI EVERYBODY!

I don’t plan on leaving the house today, I’ve got too much desperate-search-for-a-new-job to keep me going. Plus I’ve got to batch cook my work lunches, it will be lentil based I’m sure, I just don’t know what. I am going to look through my cupboards later for inspiration.

So here, a little early, is the financial review of this week.

FOOD AND HOUSEHOLD SHOPPING

As it was Zero Waste Week this week I wanted to go Monday-Friday only buying Milk and Bread and saving other items for the weekend shop on the basis we had SO MUCH F****** FOOD in the house.

We achieved that.

Mon-Fri

Milk and Bread £2.09

Sat

Milk, Yoghurts x 2, Sweet Potatoes, Potatoes, Cucumber, Parsnip, Carrots £6.10

Toilet Roll £3.99

Kitchen Roll, Coat Hangers, Electric Toothbrush Replacement Heads £9.97

Frozen Onion and Frozen Sweetcorn £2.29

Sponges, Bread Rolls, Mozzarella x 2 £2.40

TOTAL FOOD AND HOUSEHOLD SPENDS = £26.84

 

DISPOSABLE INCOME/DISCRETIONARY SPENDING

TRAVEL (DAY TO DAY)

Bus Tickets x 5 = £5

CONTRABAND

2 x Rolls = £4.60

Chocolate Bars x 3 = £1.50

SD Card for Phone £1.21

Rain Coat £5.50

TOTAL = £12.81!!!!!!!! (YOWZA’S)

HEALTH

Gum x 4 = £3.96

POSTAGE AND PACKAGING

Posting Birthday Presents x 2 = £4.70

TOTAL DISPOSABLE INCOME/DISCRETIONARY SPENDING = £26.47

TOTAL COMBINED SPENDING THIS WEEK = £53.31

Let’s look at some stats.

I have £16.05 left of the food and household shopping budget with…ahem…16 days until it resets. I think we may be eating dust for a part of that time if we want to remain in budget. I know there are all those challenges where you live on £1 a day, which I am tempted to try

In terms of my disposable income left I have….£0. Well, I do have some money in my bank account, but I want to do some damage control first to see how much I have left after bills are taken out (I get my final statement of the month tomorrow) and I may be in debt already as I owe the boy some money for a football match ticket we are going to in October. So I’m guessing part of today may involve selling everything I own on Ebay.

I was talking to my counsellor last Monday about my money troubles and she offered to reduce the rate down to £15 a session, which I initially said no to, but man I am so tempted, but I think there is a real chance I may become unemployed soon so I may save the offer till then when I will really need it.

Things are going to get tough. We are on the descent to Christmas, an event I pretty much have to plan in January in order to figure out how I can afford to do it. I have a large family, plus the boy’s family, plus certain key friends, plus the boy to all consider. I like to send Christmas cards to everyone and anyone and have many family members living overseas. I also have family members who have birthdays either in December or January and I include them in the Christmas budget. Plus there is the Boxing Day Football match, train tickets to see my family who live in the South of England, plus wrapping paper!!!!

All in all I think Christmas will cost me around about £500, and I will have to subsidise a lot of that with vouchers I earn through survey sites. It will be tough, but possible.

 

 

Life After Debt

There is a forum I go on quite a lot and they were instrumental in helping me first getting cracking with my debt.

I was lurking around a different area of the forum and I found that someone who used to run a thread had started a new one. They closed the old one, which was their Debt Free Diary, when they became debt free in January this year.

Their new thread was about how after they became debt free they had suddenly started experiencing huge anxiety over money, about saving, and feeling immense guilt whenever they spent any money even though they had actual money to spend.

This has got me thinking because I wonder what will happen after I become free from my credit card and overdraft debt.

The truth is I won’t become debt free even when that is clear, as I will still have a student loan, and I still owe my boyfriend money. All it means is I will be free from the highest accruing interest debts.

But I know that I want to live on the same reduced disposable income, as I want to put what I am spending on debt clearance each month towards my savings. Because I want to learn to drive. I want a car. I want to travel. And I want a home of my own. Which means the debt tackling journey will begin all over again.

A mistake people make (I certainly made this mistake) is they say ‘Oh if only I had a pay rise, then everything would be ok!’

The trouble is people match their spending to their income. So if you get a 20% pay increase you will soon increase your spending by 20%.

So I want to make sure when I have paid off my credit card debt and overdraft that I put all that money towards my savings.

Another popular money management term is ‘Pay Yourself First’

Sounds fun doesn’t it? I like the sound of paying myself money.

But what it means is you transfer the money from your paycheck to your savings before you even get a chance to register it being there in your account.

Some companies will do this for you, they’ll split your wage between two accounts. I know that my employer does this.

So getting out of debt is one hurdle. What you do afterwards is the real challenge.

You know there is that statistic of x% of people who lose weight put it all back on PLUS MORE within a year?

I’m not sure if anyone has ever done a similar stat for debt but I don’t want to be in that group.

The sad thing is I have a long way to go before I worry about this.