money - where does it all go?

[denimdouble]

Hi,

So before I start, I know that we are fortunate and that so many people have it harder. I am just fed up of everything being so expensive and that so much of our money is tied up with bills and essential spends.

We both work hard in decent jobs and our joint take home pay is £7400. Today I have calculated that after every last thing that we have to pay we are left with about £1800 each month. This is essentially the money that we can use for holidays, days out, fun stuff etc.

We do have some debt that we are paying off, however this will end in about 18 months so this will make things easier. Our mortgage ends in 47 months which will make a huge difference to our lives.

I don't want to sound ungrateful or tone deaf as I am not, however it's awful to see that so much of our income is needed just to stay afloat.

Anyone else feel that same?

It's not needed you choosing to live a certain lifestyle

I haven't given any details of my 'lifestyle' though?

But it's blatantly obvious considering your outgoings are double what a lot of people earn

Wow - erm if I say anything else I might get banned - permanently

We live in the South- East so our mortgage is high for a very 'normal' house. Throw in some childcare costs, ever increasing household bills and it's not hard to burn through what looks like a good income. I think you are being a bit harsh with your comments tbh

Why's that?

Your fun money is more than I earn in a month!

Same

Because a lot of us have to live on what you have for extras.

Why have you debt op?

I get that and I have spent many years in my 20's living on nothing. I am not trying to pretend that I am destitute, however is this not site not for everyone? I am not posting on the cost of living forum etc.

Built up when we were earning a lot less - maternity, some house renovations and also some general silly irresponsible spending - no excuses.

What do you mean, where does it all go? You know how much goes on bills and what is left over. What are you spending that on? Just go through your accounts and tot it all up.

And when I was exceedingly poor I paid my debts first. That's good economics. Why do you have large debts ?

We always pay our debts too - mostly due to house renovations, maternity costs when we were earning a lot less and also some general silly spending

Why do you have debt. Why do you need to pay your mortgage off so soon are you in your 60s coming up to retirement?

Just posted about the debt. We will be 50 and 51 when the mortgage is paid so not that young :)

Do you track what you spend to be sure everything is really essential spends? If it worries you, there will be things like coffee shop or takeaway spending you can cut back on.

Having £1800 a month for extras is way, way more than many people will have. It's around £60 a day. You don't have to have holidays, and if you do they don't have to be expensive. For many people, fun stuff just isn't an option.

I have started tracking it and it's making a difference.

I do agree with your holiday comment and I can see why it might make me sound tone deaf. I am just sick of us working hard ( like so many others do) and seeing so much of it just disappear.

But not old either and you don’t NEED to pay it off so soon, you could add even another 5 years to the term and pay far less each month.

Some of your debt was silly - that was lifestyle choice.

Renovations and an “average” house in the SE doesn’t ring true. Sounds like you have a very nice house in a good area.

Do you have nice cars and expensive mobile phones etc?

If you wanted to reduce your outgoings what would you have to cut out? No doubt there would be quite a list of lifestyle choice expenditure rather than need.

blimey.

if you really don't know where it all goes, you need to put all your outgoings in a spreadsheet.

But you have an absolute stack of fun money.

Is your debt on Credit cards or what my mum calls the never, never?

Your outgoings are higher than you would like due to gratuitous and foolish spending. Some of us, and back when Mat leave was 6 months and we got tuppence halfpenny, used to save up first!

Is the £1800 before or after groceries?

What do you think you should have left op?

Well you've said that you've tracked everything so I think you know where it all goes?

You’re fortunate to be able to pay off your mortgage soon though and yes, these days, it’s now a young age to pay off a mortgage. They are predicting for younger folk, house prices are so high, that mortgages will not be paid off at retirement age.

I am ballpark your age and honestly, we are so fortunate to be able to have bought homes. I still have a way to go on mine because I divorced but should get there before I retire. My friends are just now paying off as well and you can tell - they are now booking long haul, overseas trips, getting new kitchens installed etc.