money. how we have turned it around..

[BigRAWesty]

First of all I was in to minds wether to post this or not, but I've decided to because it has helped us greatly.

This time last year my family were broke. To the point of struggling to put fuel in the car to get to work.. Wife and I decided something had to change.
We were sick of wondering if we could afford the nappies for our kids.
And quite simply we were living above our means. But were very unaware of it.

And the solution that has helped us.
DIRECT DEBIT....
That's it. Now magic. No sales pitch.
By simply paying the bills a bit each week we are no longer broke. Still don't have truck loads of cash but we can see the light.
We started of by working out how much we would need to pay weekly (or fortnightly or whatever your pay roster is) so that each bill was covered.
To start with we paid a little extra into things like water and electricity and now 12 months on were pretty much a full bill ahead. What makes it easier is you get that pay on time discount straight away. So you save again.
We got to a point were our water was $150 infront of the buffer. A quick call to the happy rep and a cheque was in the mail. Wife bought some nice clothes. Made her day.

Now there is a catch and one you'll have to watch for.
Some companies charge you a fee to pay direct debit. So this one is still a bit iffy and you personally do what your feel is best.
I personally have a credit card. I have 2 bills which charge to personally direct debit.. But they'll happily charge your card for free. But. I pay more than what's needed so that is compiling I'm the black and will help with our Jan trip as a bit of a back up.

Now the big bonus.
Christmas. Silly season. Wallet hurt time.
And the main reason why I'm posting this now because by simply putting $15 away each week we now have roughly $700 for gifts.

So in short I know that money is a huge stress. Well it was for us. But now were much better off by simply being smart and chipping away instead of drowning.

Anyway if your still reading.
Cheers and have a happy holiday season

[93patrol]

Well done Kallen. Great to see you happier and getting ontop of your money woes mate. Great work

[4bye4]

Thanks for posting this. Everything that you say is true for every one of us I would think. There is a proven increase in cases of depression and even suicides at this so called happy time of every year, contributed to by peoply wondering how the hell they are going to get through the festive season. Weather or on you want to use the potential solution offered, the post is in itself a timly and very useful reminder. Thanks Kallen.

[macca]

Well done Kallen. Got to be a great feeling to be back in control. Congrats mate. And have a merry Christmas.

[mudski]

Well done Kallen. It's seems your pretty chuffed with yourself here, and rightly, so...

[Cuppa]

Yep well done, putting money by for future bills is what we (well my wife really) have always done. Only way to go. That plus ‘living within our means’ & avoiding the use of credit (except for a mortgage). At our stage of life with retirement age not far off although not rich, we are now in a comfortable position because of this. I remember when we were both young & working full time as nurses, with a new baby, paying a mortgage & thinking we were lucky if we could afford the luxury of a take-away pizza once a month. Wasn’t unusual then. Things changed & todays young folk have grown up being fooled by big business into thinking they can have whatever they want....now.

Congrats on working it out before it was too late & you lost all that you valued.
Put half your $700 in your travel fund.

[Stropp]

mate i like your thinking, i did this for a few years after i got divorced as money was tighter than she was and i struggled for a while to make ends meet so i did exactly the same. glad to hear you are managing a little better mate, enjoy your rewards.

[cgm]

Really good stuff Kallen. I remember one or two posts a long while back when things were a struggle. Now to be in such a sensible place is so good to hear! Well done mate, both you and the Mrs should be proud of yourselves. Good for us all to have a think about savings.

[BigRAWesty]

Thanks guys. I didnt intent for this thread to glot, sorry if it has to anyone.
It's purely an option if someone is struggling. It makes things like Christmas a lot easier.

And cuppa. I'd love to. Lol. But it's just one thing that this sort planning can do.
$15 bucks ain't much these days. A few coffees a week you miss. Big whop.
But to have nearly a grand in a year stashed makes those big get aways possible.
If only we did this a few years again the meet in the middle probably would have happened for us.

One other thing I might add.
Weekly Shopping is something we of late have changed.
We now have the option of online shopping down here.
Again might not work in everyone's situation but our catalogues come Wednesday, the whole weeks meal plan is done up Wednesday night and based around the specials, and the ordered and collected the next day.
Prior to this our shopping averaged $250-300 a week. Now that we do online we manage to keep it below $250..
We don't starve. My wife is cooking some of the best meals yet.
Ain't doing much for my waist line that's for sure lol but it is remarkably easy.

Anyway.
Cuppa I do plan on doing another fund once we roll a few loans together. It will be a trip fund. Unfortunately due to a few missed payments over 12 months ago the banks black marked us.
So fingers crossed 2015 will be better again, who knows. We might make the cape in 2016...

[TPC]

Good stuff Kallen.
About 14 years ago i changed from weekly pay to monthly pay and really struggled to budget properly.
Over time I changed all my bills to monthly direct debit and pay a little more than what I estimate they should be and now are ahead on all bills.
Definitely the best way to go.