Resolved Question
How to save money...like a plan. Attempted to write one, is it any good?
I have a job in a supermarket but i just blow my whole wage as soon as it comes in on basically a load of s h i t e that i dont reallly need but think i do. then when i have no money left i use my £500 overdraft and when thats all gone i use my credit card. Next wages comes in. It pays off a bit of my overdraft, i take some out to pay off my credit card and the cycle begins again. I never actually reach above minus figures.
Student loan went in and i dropped out of uni so i have to pay it back but not till im earning a right amount (which im not at the moment) so i have plus £500 now.
I get paid end of the month.
How can I save money so i dont end up back in that cycle again, because if i dont make a plan for myself (im clueless) i probably will end up back there.
So, heres my attemptive plan money plan.
£360ish wages per month (once tax gets sorted, currently its like £280 or something because they are wrongly taxing me)
I need £70 for bus/metro pass (monthly one)
I dont pay board/rent.
I need money for going out (every friday night, 2 nights during a week (to the pub))
Money for cigarettes, £5.75 a pack give or take 30p. About 60-80 a week.
Makeup is also needed...and hairdye....and haircuts. so about £70 since i dnt need to replace all makeup every month. if i did i'd be too broke for even cigarettes.
I really dont know where the rest of my money goes. Pocket money to myself i guess for spending on the rest of the crap i dont need. How can i save...should i put money in a tin or something because seriously i cant keep it in my pocket or in my bank, i just spend it on anything and everything.
Student loan went in and i dropped out of uni so i have to pay it back but not till im earning a right amount (which im not at the moment) so i have plus £500 now.
I get paid end of the month.
How can I save money so i dont end up back in that cycle again, because if i dont make a plan for myself (im clueless) i probably will end up back there.
So, heres my attemptive plan money plan.
£360ish wages per month (once tax gets sorted, currently its like £280 or something because they are wrongly taxing me)
I need £70 for bus/metro pass (monthly one)
I dont pay board/rent.
I need money for going out (every friday night, 2 nights during a week (to the pub))
Money for cigarettes, £5.75 a pack give or take 30p. About 60-80 a week.
Makeup is also needed...and hairdye....and haircuts. so about £70 since i dnt need to replace all makeup every month. if i did i'd be too broke for even cigarettes.
I really dont know where the rest of my money goes. Pocket money to myself i guess for spending on the rest of the crap i dont need. How can i save...should i put money in a tin or something because seriously i cant keep it in my pocket or in my bank, i just spend it on anything and everything.
Additional Details
Clothes i dont even count in that because i dont know how much i spend on them i just impulse buy constantly. im also addicted to internet shopping for anything and everything using my credit card. must be about £200 a month though, easily.
Pub...i havent actually ever added up how much i spend in the pub.
approx...erm...oh god this is shocking to say but approx £40 a week in the pub...on a very good minimal week.
Pub...i havent actually ever added up how much i spend in the pub.
approx...erm...oh god this is shocking to say but approx £40 a week in the pub...on a very good minimal week.
2 days ago
Best Answer - Chosen by Asker
I think it's more to do with financial management than planning to save, but both works lol
it's great that you put things in monthly terms; less hassle and more analysis:
Btw, if you can, get an annual bus pass - cheaper by £60 I think.
I don't think 60-80 cigarretes a week is helping your finances or your health. Self control is really an issue for you isn't it?
Wages: £360
Pass: £70
Cigarrettes: 20 a pack so you need 3-4 packs a week which makes it 12 -16 packs a month
that means you spend £69 - £92 a month
Make up is £70 a month
So far, you are looking at:
Wages: 360
Costs:
Pass: 70
Cigs: 92
Make-over: 70
What you have left: 128 (that is somewhat more than you spend on cigs, bravo)
Ideally you should be saving 20% but a minimum of 10%
In other words, £72 - £36 goes into the kitty
that leaves you with £50 - £92 to go out
If you do go out, you are realistically looking at £5 spending money (which is less than 2 pints, but a couple of drinks is fine), or £10 per week.
If you are serious about saving money, then either go out once a month (£40 per occassion) or cut back on your spending and go out twice a month.(£20 per occassion)
that is, if you don't spend it on the 'crap' you don't need.
With Nationwide, they pay 4.75% post tax on their 5 year e-bond and charges you if you take money out (tbh, a 2 year e-bond would probably be more worthwhile if the bank rate increases within that time). If it's really a bother, then invest the money in glits or something so you wouldn't get your hands on it.
Hope this helps
it's great that you put things in monthly terms; less hassle and more analysis:
Btw, if you can, get an annual bus pass - cheaper by £60 I think.
I don't think 60-80 cigarretes a week is helping your finances or your health. Self control is really an issue for you isn't it?
Wages: £360
Pass: £70
Cigarrettes: 20 a pack so you need 3-4 packs a week which makes it 12 -16 packs a month
that means you spend £69 - £92 a month
Make up is £70 a month
So far, you are looking at:
Wages: 360
Costs:
Pass: 70
Cigs: 92
Make-over: 70
What you have left: 128 (that is somewhat more than you spend on cigs, bravo)
Ideally you should be saving 20% but a minimum of 10%
In other words, £72 - £36 goes into the kitty
that leaves you with £50 - £92 to go out
If you do go out, you are realistically looking at £5 spending money (which is less than 2 pints, but a couple of drinks is fine), or £10 per week.
If you are serious about saving money, then either go out once a month (£40 per occassion) or cut back on your spending and go out twice a month.(£20 per occassion)
that is, if you don't spend it on the 'crap' you don't need.
With Nationwide, they pay 4.75% post tax on their 5 year e-bond and charges you if you take money out (tbh, a 2 year e-bond would probably be more worthwhile if the bank rate increases within that time). If it's really a bother, then invest the money in glits or something so you wouldn't get your hands on it.
Hope this helps
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Other Answers (3)
- DRINK MORE BEFORE YOU GO OUT TO SPEND LESS AT THE PUB, OR JUST GO OUT LESS.
SMOKE LESS. - Well - how much do you spend in the pub? There is a big gap between your income and the expenditure you listed - so the money is going nowhere.
And I notice that you don't have any plan for spending on clothes, and they don't come cheap.
Have you got a bike? Maybe you could cycle to work, if it's not too far as transport is expensive. But you'd have to think carefully about that as you may end up spending just as much on the bus/metro to go out as you do on the monthly pass now.
You certainly need some discipline in your saving. So, maybe a jar would help. However, if you save loads of coins DON't then put them into one of those counting machines in the supermarket as they really rip you off. You should be able to pay coins into your bank account - or open a savings account which you can't access through a hole in the wall.
Just a few ideas to help you. - You have started to do the 'right thing' .. working out where the money is going is something that many people are too stupid to ever think of ..
Having seen where it's going I'm sure you can immediately spot some area's where you are being less than clever ..
Smoking is something that only rather silly people do these days .. . next time, instead of buying a packet of 20, why not set fire to a £5 note ???? It will be good fun, cheaper (by 75p) and less damaging to your health ..
You may feel that you have to keep going because your 'peer group' (friends / hangers on) all smoke .. well, perhaps it's now time to leave them behind....
People who run up debt are only slightly less silly than those who smoke .. so that should be your next target (no more Credit Card).... get a Debit Card, cut up the Credit Card (they work much the same, but a Debit Card deducts straight out of your bank account == and if there's no money the Card may 'bounce' - after the first time you get told at the till 'Sorry your Card has been Refused' you will learn not to overspend ..
Once you have eliminated your CC debt, the next step is to eliminate your Bank Overdraft ... after you have paid it off, ask the Bank to reduce it to £100 .. and then to £0.
Once your finances are on a sound basis you need to start thinking about your future ..
Look around at work .. are there any OLD people working at the same job as you ????
are they happy ??? do they look 'well off' ???
how do you think you will like it, in 40 years time, if you are still working at the supermarket ???
It's a pity you dropped out of Uni (this is a very good place to meet the sort of people who can help you in the future .. rather than the sort of smoking drunks who will only hold you back) .. it's going to be very difficult (but not impossible) to get promotion / better job without some qualifications = see if the Supermarket has some sort of Training Scheme you can get onto .. and perhaps you could take up Evening Classes ?
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