I have the kind of family that many people think shouldn't need extra help from the Government

[MogadoredMemoo]

I would like somebody to tell me how we can reduce our outgoings. We are the kind of family who people seem to think shouldn't need any financial help from the government. there seems to be an attitude that we just need to tighten our belts a bit. So I am really interested in how people think we will manage if out tax credits are cut.

Dh earns just under 25K. I really seriously cannot at the moment due to health problems.

We currently get £80 a week in TC and this helps us keep our head above water. But under the new system it looks like we wont get it any more.

So with DH salary and CB we have a monthly income £1772.00

Mortgage £700
Council tax £83
Car Insurance £58
Gas £60
Elec £80
Maintenance for DSD's £250
Petrol £200
Contents and Buildings ins 67.00
other bits ie TV licence, broad band phone, pet insurance £100
Nappies £20

That would then leave us just £154 each month to clothe and feed 3DC and to feed 2 dsd's.

How are we suppose to manage on that? I'm not saying that we should just be given hand outs but why can't the government do other things to help like keeping petrol cost lower. we just about managing at the moment but we are going to be in shit if these cuts go ahead. We will end up losing our home.

Even worse I suspect there are thousands of families like us out there. The ones trapped in the middle, not earning enough to survive but earning too much to get any help.

op hopefully typo but just in case ema is different to esa

Livestock not pets. With a pet I would at first attempt rehoming.

Shrug, OP asked how she could cut back, I made suggestions, no-one has to like them or indeed follow them, no skin off my nose, but if I had to cut to the bone then 10 quid a month on a pet would be 10 quid I could spend on my kids.

It sucks, it really does, been there as a kid, but the world is harsh and needs must.

Mogadored I have sent you a message about DLA. Providing you have been sick for more than three/six months you will be entitled.

Please read my mail.

Christmaswishes. Unfortunately it's not that simple. I have episodes of psychosis, I am also being assessed for bipolar.

It is very hard to manage with a big drop in income & I really appreciate this more than most.

What I did may not be an option for you due to equity but it worked for me; I sold my nice house in a lovely area & used the equity to buy an absolute craphole of a house in a deprived area.

The relief of not being crippled with bills outweighed living in the disgusting house until I got on my feet & I would do the same again if I needed to.

I agree that the price of petrol etc is crippling some people at the moment.

I hope everything works out for you & that your health improves soon too.

ESA is the new incapacity benefit

Thanks Fabby, will have a read now

Morloth - you wouldn't need to rehome a dog - you'd just keep it like any other animal. Its not that extreme that she is going to live on the streets is it ? Get a grip!

Memoo - sorry to hear that. So is your mortgage interest only or repayment ? R u living in london? X

Morloth - you wouldn't need to rehome a dog - you'd just keep it like any other animal. Its not that extreme that she is going to live on the streets is it ? Get a grip!

Memoo - sorry to hear that. So is your mortgage interest only or repayment ? R u living in london? X

Sorry did mean ESA

Our mortgage is repayment i think. We live in Cheshire. We bought the house when the Market was booming. We paid 110k for it and now it's only worth 100k.

I have a grip, I am not the one getting excited here.

I hadn't realised that only answers that allowed the OP to maintain exactly the lifestyle she has (including pets) were allowed. I was under the impression from her OP that she was looking at ways to weather a rough patch in her family's situation.

Definitely look at switching to an interest only mortgage, it might not be great for the long term but if it means that you can keep your heads above water while the kids get older and you get some help with your health then it might be enough to swing it.

If your dh is commuting 30 miles per day if you sold up could you rent nearer his place of work - he could then cycle/walk to work....again more money saving and he would be around more to help if you get unwell again.

You would probably be entitled to rent a 3 bed as well which would make life less stressful? Unless all your resident dc are the same sex.

Shop around for cheaper insurance on the car and home, can your DP car share to save petrol costs? I have done this and seen my petrol costs more than halve. Cut back on gas and elecric. I got rid of broadband last year and landline phone (we are the 20% of the country that doesn't get free broadband), now I use a mobile + G3 dongle package. Do you have just the one car? If you are not working you don't need 2.

Also a good idea to speak to mortgage provider about possibly reducing mortgage repayments and spreading them over a longer time.

Or sell up and rent somewhere cheaper?

Moving closer to dh's work would mean we are too far away from dsd's. So it's not really an option at the moment.

My parents have a finacial advisors so I'm going to see if we can speak to her about her mortgage. Swapping to an interest only us a good idea.

If you can't change anything then you are going to have to figure out how to get more money.

How often do you see the dsds and how old are they - if they are fast approaching their teenage years.....well you know they turn hideous and spend all their time with friends IME! Also you may be able to rent somewhere big enough for them to come and stay over alternate weekends?

They are 7 and 8. We have them tuesdays, Thursday's and one day at the weekend.

I am going to make some changes after the advice on here. Going to shop around for cheaper gas, elec etc.

See if we can sell the car and get one that is cheaper to run.

Apply for DLA/ ESA

Assume you must be eligible for contribution-based JSA/ESA ?

£1700 pa Gas/Electric
Should easily be able to get down to £1k for 2 bed terraced.

I'd recommend signing up to www.lovemoney.com for advice and hints on how to save money.

They send out two very good newsletters on Fridays:
Frugal Food - lists food offers in the supermarkets and restaurants as well as recipes for cheap, healthy meals.
Frugal Friday - lists offers in shops, online that are not food related - clothes, books, toys, etc.

Cavemum at first glance I thought that was a dating site

Definitely going to try and get our gas/elec prices down. I am guilty of using the dryer too much and putting the heating on instead of an extra later

layer

Yes changes are needed but I think the pet solution is ridiculous like kids they are for life.

Hi memoo.

Yes you definitely need to get on interest only mortgage - most people I know are. This would save you a few hundred pounds a month .

I also think you will be able to get dla or esa or even both. From what you have said you would qualify.

Look into better deals on bills etc like lots of people have said.

Obviously look into your husband doing more work or you doing something that you are able to do. Have you thought of doing some cleaning privately?. I have done this before it is good pay and flexible. You can do as little or as many hours as you want and get the clients yourself. I think this would be manageable for you at this time.