Single mum, nursery stress, finance stress, I’m drowning

[Givingup11]

Don’t know where to begin.

I earn 2,900. Mortgage is 900. Travel to work 200 a month (this is with working from home the maximum amount) and student loans 325 coming out of this too, car payment of 220 which is needed for work. I also have 100 a month on credit card interest free.

I am so stressed. My career is good so far with ability to earn more in future but what am I supposed to do right now? How am I going to cope? It’s around 1,200 for full time nursery? I’m not entitled to anything extra or any help unless I give up work. I’m so low. Ex partner is being pursued for maintenance but he’s now threatening to take a year off work. He’s an awful person but that’s another story. He should be paying 580 a month but I obviously can’t rely on that. He should be obliged to pay half. I don’t know what I’m going to do.

Can you return to work part time if more financially beneficial? Any family around to help? Would a childminder be cheaper than nursery?

Are you eligible for govt tax free childcare on nursery fees? That saves 20%.

How old is your child? How long until the student loan and credit card is paid off?

op, when you cannot rise your income further you need to reduce your expenses.

Start small, you have a very good disposable income. Have you considered using a childminder instead of a nursery? reducing your food bill by cooking seasonal stuff? Get a more economical car? Little changes make big differences.

Whatever you do, do not stop working. You need to maintain that earning power to protect the financial future of your child and yourself, even if you end up working to pay for the nursery. It is only 3 years, don’t sacrifice what you have built so far, your options reduce exponentially the longer you stay off work.

Have you applied for universal credit? They paid 85 per cent of my nursery for me. It wad a godsend. Go to entitledto.com and put your numbers in

Are you sure you won't get help with nursery bills?

Apply for tax credits/universal credits - as a single parent you’re entitled to more than a couple so the calculators don’t always work and you may well qualify.

failing that, sign up to the tax free childcare scheme - it saves you 20%.

Do you need the car plus the travel to work?

How long will the credit card take to pay off?

Could you ask the Student Loan Company and the credit card company for any leeway? Eg ask them to reduce repayments/freeze interest.

Could you downsize while your child is little?

Could you compress your hours or drop a few hours a week to save you a day at nursery?

Can you (absolute last resort) reduce anything like pension contributions for a little bit?

It’s hard… and temporary… don’t panic… you will get through somehow and things get easier as children get older.

Btw don’t forget your nursery bill will reduce a bit when the 30 hours funding kicks in (probably not by the full 30 hours and only in term time but still - it’s something)

Is your child already in nursery? Or are you looking at potential nursery costs?
Child minders are usually cheaper, and there are often cheaper nurseries available. Plus you will pay with tax free childcare so if it is £1200 a month you will be paying less.
£325 for student loads sounds high on a salary of £2900 per month?

Are you sure you aren’t entitled to anything? You might find you have a small universal credit allowance but so a contribution to your childcare bill.

Is that take home pay? If that’s gross, that’s similar to what I earn and I can claim up to £600 a month childcare through universal credit.

Is there anything you could do as a "side hustle" - obviously would need to be home based, evening based, which isn't great.

Also, you are aware of the Govt top up for nursery fees right? If they are £1,200 a month, then you will be entitled to the full £500 per quarter, so fees will be a bit less than £1,050 in total per month.
Check though - you might be entitled to UC (you can't claim this and help with nursery fees)

Sign up to 'tax free childcare', you'll receive 20% additional contribution from the government to help with childcare

Could you put child in your room with you and let out child's room? I know you won't want to but for a year until child can get some of those 30 hours cheaper childcare it might mean you can stay in your home.

Do the 20 per cent tax childcare thing.

Switch to childminder if cheaper.

Can you cut back on anything as a temporary measure? Do you have to pay £100 per month off credit card? Would they accept less, say £50 pcm?

Would work allow you to compress hours into 4 long days so you could reduce a days childcare?

Reduce pension payments until childcare cheaper.

If you have mortgage could you ask for mortgage holiday for a few months or move on to interest only until child gets free nursery hours? My sister did that for 11 months. Once child at school she caught it back up.

Can you sell any baby equipment you no longer use?

Get on to CMS and tell them child's Dad refusing to pay any child support. Ask them to take it from employer. Saying he will give up work for a year is a stupid empty threat. It would harm his own career and what would he live on? He would still have to pay maintenance the following year until child is 18. So unless he takes 18 years off work he will have to pay for his child.