Please critique my budget - freaking out

[financialworrier]

I'm a single parent about to move house and I'm really worrying that I'm going to be over stretching myself with the new mortgage, and I'm considering pulling out and staying put.

Can you critique my budget please?

Mortgage payment will be £900. But I have no savings really, the house will need me to spend money on it - new curtains, new furniture.

Income from salary of circa £3750 pcm.

Other expenses:

DS bus pass £70 a month
DS club fees £25 a month
DS lunches £50 a month
DS pocket money £70 a month
Dog walker £140 a month
Cleaner/childcare £312 a month
Mobile phones £40 a month
Life insurance £23 a month
Fuel £400-500 a month
Groceries £400 a month
Council tax, gas, electric, water £350 a month (estimated)
Internet - £20 a month
TV Licence - £15 a month
House insurance £15 a month
Misc subs - £30 a month

Total bills = £3575 a month!

Leaving less than £200 a month for Christmas, savings, holidays, new clothes, shoes etc.

This isn't sensible is it?

If you're getting a new company car do you have a choice what kind? As others have suggested a hybrid would be much cheaper to run.

Hi having a Company Car will increase your Tax and NI payments, so its not really a saving as such. I'd be more worried about paying out £900 per month on a mortgage that may or may not increase with interest rates etc which will in my opinion with the increase in Tax and NI payments for having a Company Car make your finances quite a bit tighter than they already are.

I have a Ds who's just 13.

What does he do when the housekeeper comes round? Surely he's just gaming, watching YouTube or whatever?

The average 12 year old will be able to fix some meals/snacks.

£70 pocket money is super high. Does he get money from his Dad too? Im surprised that there's no chores tied to that money.

You'll definitely be able to reduce the grocery bill. I'm a lone parent of 3 teens and my grocery bill is not much more than yours. The school dinner bill would fall if your Ds took in bits from home.

How does this compare with your disposable income if you don't move?

What is your current house situation?
Are you moving to a better area, bigger house, to be nearer school?

What is your budget if you stay put?

I would give some consideration to staying for a couple of years if you would be able to put money into savings, then move once you have a bit more of a cushion.

Also DS will be that bit older and will be able to take more responsibility for himself, the dog etc.

If you are moving, why are you not moving to somewhere much nearer work?

Could the cleaner do the dog walking, even a shortened version?

I would be moving about 10 mins / 5 miles closer to work.

DS has ADHD and anxiety and is settled in current secondary school after a turbulent first year, so I was restricted to finding a new house in places on the bus route.

Disposable income if I stay put would be about £900 per month for clothes, holidays, savings. So we would be very comfortable really.

Looks very similar to my budget. I have two dd's. it's bloody depressing but doable.

@MrJollyLivesNextDoor current house situation - our house is perfectly adequate. Three bed mid terrace. We were moving firstly for a "fresh start" after breaking up with my ex earlier this year. Secondly to get away from hellish neighbours who have since become less hellish as someone filed a noise complaint about them.

The new house is a forever home really - new build, good sized garden, garages, views over fields.

What would you gain by moving Home? Don't rule it out if it's going to be a good thing long term

I think the pocket money is extravagant. I have older teens who mage on £50.

Aldi can get a chunk off your shopping.

I'd there a relative or friend who DS could go to on your later nights?

I would ditch the cleaner mind to give myself a bit of extra wiggle room, but then I'm not that houseproud.

@Toooldtobearsed2

Yes, that's kind of what I'm thinking. You've articulated my subconscious thoughts I think - there is more to life than a posh house.

I honestly don’t think £70 pocket money is excessive - you can’t expect children to entertain themselves continually without any funds to do so. You sound like a very caring mum and are making the best for your son ensuring he is adequately provided for both financially and emotionally by ensuring he doesn’t spend too much time home alone.
It does like a bit tight and possibly as you say hold off a few years when the house keeper / childcare is no longer required.
Good luck whatever decision you make I’m sure it will be the right one.

Why are you moving? Will any of your costs increase/decrease when you move?
I understand need for dog walker and not wanting your son alone for 3 hours tw0ice a week but perhaps you could reduce housekeeper's hours or get a cheaper cleaner. Your son will need and want even less 'care' as he gets older. If his (generous) pocket money stays the same or increases he should be doing chores.
If he has contact with his father can that include some of your late working hours?

Looking at your disposable income I would really consider staying for a couple of years - but saving as much as possible in the meantime. It will make all the difference to you when you move.

It's a shame you have hellish neighbours but you never know - they might move 🤞

Looks like a choice between the housekeeper and the house then OP. I can tell you that I would have the new house, cut back on groceries and your ds's spending. I totally get the childcare/housekeeper arrangement, he may be 12 and capable of being at home for long periods by himself but that doesn't mean it's the best thing for him. A cleaner is the one luxury I would have if I could afford it. But he doesn't need £70 a month plus lunches, especially if like my dc he spends the lunch money on crap and then eats the contents of the kitchen when he gets home. My kids take pack ups now for this precise reason, the cost isn't much less than lunch money but they aren't as hungry when they get home so the saving is made there.

Groceries are doable. Do you impulse buy? I've saved money buy getting shopping delivered, I meal plan and only buy what I need.

Can the housekeeper or ds walk the dog, even if it's a couple of days a week?

Do you rent or own currently?

Also, not judging you or your lifestyle choices. You are obviously a responsible dog owner and parent.
I think most people are coming up with quite sensible suggestions to save on fuel and food which would not necessarily mean a drop in standard of living.
When you have a very comfortable cushion at the moment it's scary to imagine having much less.

You've still got a surplus at the end of the month. Not a lot admittedly, but it's doable especially if you lose the cleaner/childcare. The new house might appreciate in value quicker than the current one, you might get salary increases, who knows what might happen. I would say seize the day.

I would stay put in the short term and reassess your priorities once your DS is a little older.

Do you have both buildings and contents insurance? £15 per month is a bit on the low side.

Your company provides you with Live Insurance - can you drop this?

Half the cleaners hours for now. Or make it 2x2 hours saving to pay for 2 hours and have her with him 4:30-6:30 pm.

Fuel will likely be lower in a newer company car, sell your diesel, put money into savings.

I can’t believe people spend less then £400 on groceries, two adults here we spend around that if not more for all toilteries, 6 dinners per week and weekday lunches. We eat lot’s of fruit , vege, all dinners homemade so does hike the price !

I own currently. But mortgage is only £550 a month, bills are low, bus pass isn't needed.

One advantage of the new house would be that if I could get an electric/hybrid car then I'd have somewhere to charge it at home and that would reduce fuel costs. At the moment I have an allocated space which isn't directly outside my house so I can't have a charging point installed I don't think.

You can’t complain if you’re not willing to compromise. No need for a 6 hr a week cleaner, the DS should be helping if he wants his pocket money.
£100 pw food for two is ridiculous, I don’t spend that on 2 adults & teenager, budget and plan.
100 miles per day should be £10; £300 per month.
I can see savings of £600+