Money Issues

LegacyUser

In nut shell, I'm not good with money! I have trouble saving and if I have some cash left over, its usually spent. I have always left bills to my partner, as I cannot manage them. I have always had issues throughout my life, where money is concerned. I lost my house over financial difficulties. I have had difficulties in the past where I have been unable to meet bills and also lost my home over financial issues. I really don't know how to handle money and be independent and have money to do things with.

I really don't know how I can sort myself out with this, as it has been an issue that has been around for a long time. I don't know where to start.

I appreciate any ideas, help or advice.

Thank you

tenchi-fan

When I was younger I had a lot of discretionary income and I spent it on crap. The more money I earned the more I spent & I never seemed to have enough. It's a very childish attitude and I think the boom made sure many people carried on with this attitude even while they were falling behind on debts and losing their homes.

Two timeless pieces of advice:

Be happy with what you've got. Don't try to keep up with the Joneses. For example, a second-hand, fuel-efficient car is a much better investment than a brand new car. Never get into debt just to have something you want immediately only to spend a lifetime paying it back, without having put in the effort of actually earning it.

Second, look after the pennies and the pounds will look after themselves. Avoid routinely splurging on everyday items, like buying Cafe Lattes, and shop in cheaper supermarkets. Then before you make a big impulse decision like a new iPhone with a data plan of €50 a month, just remind yourself of some of the smaller sacrifices you made to get your finances in order and think twice about making a big impulse buying decision.

From your opening post, you didn't actually mention what you spend your money on! I assume you're a girl.. I'll try not to be sexist in any examples I use.

If you feel the need to buy designer clothes, or can't pass a sign that says "SALE!", I strongly suggest finding a new, cheaper hobby. You don't need a new outfit or new shoes every week, and your friends don't expect you to wear something new each time they see you.

If you do like to go shopping, have a good look around the stores but buy something small like a scented candle or a bargain basement DVD for a fiver rather than a new outfit or pair of shoes. If you really want to watch your cash, take €10 to town with you rather than your debit/credit card.

Gambling usually isn't an issue for women. However, if you spend more than say €10 a week it should raise red flags in light of your financial difficulties. Even then, you should try to restrict your spend on gambling.

Next, the big one.. alcohol.. or "socialising". Needless to say whether you drink at home often or just a weekly binge this will seriously impact on your wallet. And getting back to the fact that you lost your home previously, once again, red flags waving.

Too many people have an attitude of "I earn €400 a week, I pay rent, pay bills, and spend anything left over". You should cancel your credit card and set up a standing order to move €50-100 per week to a savings account which cannot be access through the ATM.

It can also be helpful to do a quick budget. Write down your monthly income, then write down all your expenses (rent, esb, phone, health insurance, house insurance, life assurance, etc), and make a note of any upcoming events like birthdays and weddings that you will need to save money towards.

Ever2010

Techie-fan has given some good advice there. A budget is the best place to start - sometimes having separate accounts foe certain things too.

Each month both myself and my partner put a certain amount into our joint current account to cover all bills, rent and food for the month - he puts money for diesel and I buy my bus ticket for the month as soon as I get paid - that way all bills, rent are paid (direct debit) and there's money in the account to get to work and to eat for the month.

We have a joint savings account too which is for a house in the future - this amount varies each month but money is NEVER taken out of this account. I also have a separate account for savings, car insurance, tax, holidays whatever, and one thing that my mother always did and I still do is a small amount into the local credit union each month - this pays for Christmas.

Whatever is left is mine to spend - I make a note of things like upcoming events or presents to buy so that I don't run out of money - it's not perfect but it usually works. We do have a credit card as well but I always pay it off in full each month.

When you have the figures sorted out in front of you then it's stark clear - never spend more than you have.

lau1247

Momoneymoproblems wrote: »

In nut shell, I'm not good with money! I have trouble saving and if I have some cash left over, its usually spent. I have always left bills to my partner, as I cannot manage them. I have always had issues throughout my life, where money is concerned. I lost my house over financial difficulties. I have had difficulties in the past where I have been unable to meet bills and also lost my home over financial issues. I really don't know how to handle money and be independent and have money to do things with.

I really don't know how I can sort myself out with this, as it has been an issue that has been around for a long time. I don't know where to start.

I appreciate any ideas, help or advice.

Thank you

OP, there is no magic solutions.. it's plain and simple, just don't buy anything that is not needed, always think twice before you buy anything..

Example: Every time I go shopping with the missus that she would look at clothes and ask for my opinion, whenever I get the feeling that she wanted it.. while it might be not be constructive but I actively remind her whether she felt it was needed.. more often than not, she doesn't and she knows it..

I wish I could buy all the things for her but in reality this is never the case.. but hey at the end of the day we save a good bit of money..


no offense, but from your post where you said you leave the bill to your partner, this come across laziness and trying to avoid confrontation of some sort..

No one is born with the magic skill, we all just have to learn some common sense.. it's all about discipline to overcome urges..

elbee

OP, I cannot echo the 'Watch the pennies and the pounds watch themselves!' advice enough.

I'm OK with money but could never figure out why, when I wrote down all of my main expenses (rent, bus ticket, food, bills, phone) I should have had so much elft over and never did. I don't smoke. My social life is heavily based on tea in people's houses or meeting during the day rather than going to pubs. When I do go the pub, I drink very little, and at the time I hadn't bought new clothes in a year when friends of mine on the same salary were buying new stuff every week.

I started writing down absolutely every penny I spent (right down to 50c for chewing gum) for a while and I realised that I spent hundreds a month on crap I didn't need. The biggest change I made was taking packed lunches to work - not going out at lunchtime means you virtually can't spend anything! - and it just stopped me from seeing 3 for 2 on toothpaste and buying it (then forgetting I had it when the toothpaste ran out), or buying magazines I read once and forgot about, or trying a new desk-snack or stir fry sauce every few days. It really was the little things.

Now I save three hundred quid a month. Again, not all of this was chewing gum and magazines - probably about 150 of it is not buying lunch in a sandwich or bagel bar every day. But it made a huge difference in my case.

Best of luck!