Gracii Guns Posted January 13, 2014 Share Posted January 13, 2014 A short back story on me: I've never been a good saver, and even as a child I'd rather spend the little pocket money I had rather than save it. As a student, I spent most of three years living off my (approved) overdraft- as many students do. I've had a modestly (but not uncomfortably) paid job for the last few years, but I haven't got out of my bad financial habits from my student years. I will only check my bank balance when a paper statement comes through the door, and although I have internet banking, I'm too scared to check- even though it's not going to be horrendous. Last year I have managed to save up almost £2k in my ISA, I've cleared my credit card every month without fail, and always glance over my bank statement as soon as it comes through the door instead of leaving it unopened. I've dipped into my overdraft a little, but I'm always back in the black within a few days. I don't spend much on food, but have cut my grocery budget down so much that I'm losing weight for the first time in years. I never buy anything extravagant, but I always seem to spend more than I can sensibly afford, plus have much left to go into savings (and saving is important for me right now).Has anyone been in a similar situation and managed to break the bad habits? Can you offer any advice which will stick for someone who isn't numerically minded, and couldn't operate an excel spreadsheet past a basic level if her life depended on it? Thanks for reading, all advice is appreciated. Quote Link to comment Share on other sites More sharing options...
Damn_Smooth Posted January 13, 2014 Share Posted January 13, 2014 Wish I had some advice, but you know the saying about a fool and his money. I'm pretty sure that was written for me. Quote Link to comment Share on other sites More sharing options...
The Sandman Posted January 13, 2014 Share Posted January 13, 2014 I think it's about spending within your means, without denying yourself common pleasures. I've always had to work in recent years to be able to buy things I've liked, and throughout uni this was particularly prevalent! You just had to make it go further - which is fine. About eight months ago, it was really tight financially - because I was living in Cambridge, commuting to London for work - and with a load of bills etc. all falling at once, it was extremely tough. I was near enough spending on rent and travel what I was getting in per month, which naturally has no give. Things have massively improved since then, but it's not denying yourself those basic things: good food, treats, but it's not being ridiculous. I don't drink or smoke or have any other habit per se - which equally makes life that much easier! 1 Quote Link to comment Share on other sites More sharing options...
magisme Posted January 14, 2014 Share Posted January 14, 2014 Unless your money is making you money, you're not really saving. Sucks but it's true. Get with a financial planner once you save a bit. 1 Quote Link to comment Share on other sites More sharing options...
Gracii Guns Posted January 14, 2014 Author Share Posted January 14, 2014 (edited) Unless your money is making you money, you're not really saving. Sucks but it's true. Get with a financial planner once you save a bit.A financial planner? I'm a Graphic Designer in the north of England. I am never going to "save a bit" enough to hire a financial planner. Thanks for the advice though. I'll remember it when I get that lottery win. Edited January 14, 2014 by Gracii Guns Quote Link to comment Share on other sites More sharing options...
magisme Posted January 14, 2014 Share Posted January 14, 2014 It's not as big an expense as you think it is. And you don't need a ton of money to get started. Unless things are radically different in England. Quote Link to comment Share on other sites More sharing options...
wasted Posted January 14, 2014 Share Posted January 14, 2014 Maybe get a better paying job. Quote Link to comment Share on other sites More sharing options...
Johnny Drama Posted January 14, 2014 Share Posted January 14, 2014 I've saved up $9,000 in 4 months. >life Quote Link to comment Share on other sites More sharing options...
Graeme Posted January 14, 2014 Share Posted January 14, 2014 You must be better than me at any rate, I was in a bank today trying to set up a Credit Card for while I'm in Mexico, the whole process filled me with apprehension and dread. I had no idea what they were talking about half the time, credit limits and payback schemes and all this stuff... Banks make me uneasy.I don't tend to spend very much though... Quote Link to comment Share on other sites More sharing options...
dalsh327 Posted January 14, 2014 Share Posted January 14, 2014 Write down what you're spending your money on but don't look at it until the end of the month. You'll notice little everyday things add up and what you can go without. A lot of people don't think of saving for later, but even if it's something like "I feel like flying to go see GNR and make a vacation out of it", what would you give up to put money aside for it? Just use the same mindset and apply it towards saving. Financial planners, it doesn't hurt to look into one in the area, but go with someone you pay or works for a nonprofit (some debt relief orgs have them) and not someone that works on commission or for a bank. Quote Link to comment Share on other sites More sharing options...
Lithium Posted January 14, 2014 Share Posted January 14, 2014 bitch i'm paid, that's all i gotta say Quote Link to comment Share on other sites More sharing options...
John Bonham Posted January 14, 2014 Share Posted January 14, 2014 Unless your money is making you money, you're not really saving. Sucks but it's true. Get with a financial planner once you save a bit.A financial planner?I'm a Graphic Designer in the north of England. I am never going to "save a bit" enough to hire a financial planner. Thanks for the advice though. I'll remember it when I get that lottery win. You can't put a little bit away every week into an IRA? Quote Link to comment Share on other sites More sharing options...
Gordon Comstock Posted January 14, 2014 Share Posted January 14, 2014 Whenever I'm saving for a certain thing, a trip or whatever it is, I start "trip funds". I'm generally bad at saving money actually unless there's some big thing I can allocate it to, so any spare money I have gets stuffed into a piggy bank, every bill $20 or larger that I'm not spending within 2 days goes in there and I don't touch it again. For example, starting with maybe $100-200, it took me a couple months to buy a new mattress ($1000).I know that kind of thing doesn't work for everybody but that's what I do. Quote Link to comment Share on other sites More sharing options...
Dazey Posted January 14, 2014 Share Posted January 14, 2014 Learn how to use excel and put it all in a spreadsheet. Every penny I have going in and out of my account on a regular basis is accounted for in my account spreadsheet and I keep track of day to day spends with online banking and my HSBC iPhone apps. Quote Link to comment Share on other sites More sharing options...
Popular Post Guest Len B'stard Posted January 14, 2014 Popular Post Share Posted January 14, 2014 Learn how to use excel and put it all in a spreadsheet. Every penny I have going in and out of my account on a regular basis is accounted for in my account spreadsheet and I keep track of day to day spends with online banking and my HSBC iPhone apps.The party never stops at the McLeods eh? 5 Quote Link to comment Share on other sites More sharing options...
CheapJon Posted January 14, 2014 Share Posted January 14, 2014 Nope, I've always been great with money. 1 Quote Link to comment Share on other sites More sharing options...
Gracii Guns Posted January 14, 2014 Author Share Posted January 14, 2014 Thanks for your advice guys. I'm going to do was dalsh recommended and keep my receipts, then work out what I can ditch.I found out that I'm getting paid for a freelance job on Thursday- yay! 1 Quote Link to comment Share on other sites More sharing options...
Johnny Drama Posted January 14, 2014 Share Posted January 14, 2014 I'd say the only folks that are doing it right are mags and Dazey.Make sure you have three bank accounts and use an online banking app. One for everyday use, one as an online saver and a term deposit. Whenever you get paid into your everyday account, use the app and transfer everything except maybe like a 100 quid into your online savings. Use your 100 until it runs out and only transfer what you need from there on into your everyday account. That way whatever isn't being used is not only not being touched, but it'll be making interest. Whatever is left in there come time to renew your term deposit can all be thrown into your term deposit so you're definitely not touching it and it will make plenty more interest than just sticking in your online savings. Also make sure that in order to track your expenses you:1. Use Excel to create a basic budget for the next 3 months to see whether you might be living out of your means or rather planning to do so and compare with your (estimated?) Actual spend for the past 3 months or so. If Gracii Guns Ltd. is running at a loss, you're doing it wrong. 2. Get rid of all your credit cards and use a debit card. No one needs them IMO if you want money. 3. Use that debit card as much as you possibly can without spending actual physical paper with Lizzie's face on it so you can really micro manage and track your spending. 1 Quote Link to comment Share on other sites More sharing options...
Redhead74 Posted January 14, 2014 Share Posted January 14, 2014 ^ You're such a fucking accountant JD! Gracii will probably get to this stage somewhere down the track, but I hardly think after years and years of having a certain spending/saving habit she's going to turn into a bean counter overnight. I think you have to start really simple. Like some of the others said write everything you spend down. In fact go and buy a little notebook or have a section in your phone where you can easily record every bit you spend WHEN you spend it so you don't forget anything. Then tally it up after a month and analyse what was essential and what wasn't. Like Sandy said you have to allow yourself some treats here and there. If you don't you'll just go on a mental spending spree from the denial, ruining all your hard work. When I travelled Europe I did this. Had a little black notebook and everything went in there. We had to make sure we were spending within our estimated cost of the trip. And it's amazing that when you know every cent is going to be accounted for you find yourself questioning whether you need to spend it in the first place, before you've even done so! 1 Quote Link to comment Share on other sites More sharing options...
Georgy Zhukov Posted January 14, 2014 Share Posted January 14, 2014 I wouldn't mind becoming an accountant. Maybe something I can fall back on. Quote Link to comment Share on other sites More sharing options...
Johnny Drama Posted January 14, 2014 Share Posted January 14, 2014 @Red:1. Hey it's free financial advice! 2. Not really. Whilst I don't exactly use Excel I've done all the rest since I was 15 and I had more money at 17 than most of my mates do at 25. It's kinda silly how irresponsible some are with money when it only takes a modicum of effort to manage it without barely affecting your way of life. Quote Link to comment Share on other sites More sharing options...
Lithium Posted January 14, 2014 Share Posted January 14, 2014 @Red:1. Hey it's free financial advice! 2. Not really. Whilst I don't exactly use Excel I've done all the rest since I was 15 and I had more money at 17 than most of my mates do at 25. It's kinda silly how irresponsible some are with money when it only takes a modicum of effort to manage it without barely affecting your way of life. Quote Link to comment Share on other sites More sharing options...
Johnny Drama Posted January 14, 2014 Share Posted January 14, 2014 Suck my junk. Quote Link to comment Share on other sites More sharing options...
The Sandman Posted January 14, 2014 Share Posted January 14, 2014 Had a little black notebook and everything went in there.Ooh, client list 1 Quote Link to comment Share on other sites More sharing options...
Gracii Guns Posted January 14, 2014 Author Share Posted January 14, 2014 Johnny and Redhead are both right. I do want to get to a point where I'm confident with dealing with every last penny, but honestly calculating anything in Excel is a big task for me. My boyfriend set me up a spreadsheet a few years ago, but didn't teach me how to make it do the maths on my own. I'm not numerically minded at all, and struggled at maths all the way through school, so I'm not keen at trying something that I've tried and failed at a thousand times before. I think I'll ask the boy to make one again for me and to teach me how to manage it this time. Johnny- I only have a credit card (which I use wisely) to get myself a good credit rating- I'm hoping to be applying for my first mortgage one day, so a credit card is just a step towards making that happen. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.