Now I've discovered that I'm returning to full-time work in October I have started to think about our new budget. I'm amazed at how well we've coped on statutory maternity pay and the last two months with no pay at all. I did save some money while I was pregnant to cover the bills etc but I've managed to open an ISA with what we haven't touched. This made me wonder what we used to spend our money on...
I've been doing a bit of research into budgeting and I am quite taken by zero based budgeting. The gist of it is you allocate all your pay to different categories and technically have nothing left at the beginning of the month. You have to factor in your 'fun money' and haircuts, dentists etc but I like the idea of it and think it could work for us. This way I get to choose the overpayment we make on the mortgage rather than it just being whatever is left over at the end of the month.
You can read more about zero based budgeting here.
M
x
Yes we zero budget-well almost-on a good month I might have a spare £20 rattling around in my account. Although not now as the energy bill has just gone up (again!).
ReplyDeleteWe have always set our our Mortgage overpayment and treated it like any other a bill (into a savings account-so we can pay it off in full without penalties-but same principle).
We have £100 fun money each per month.
Have been giving that some thought and might suggest we make it £75 individual and £50 joint so we get a decent excursion each month. Got to talk to Mr Sft about this.
Love that you are finding motivation from lots of places. You have done BRILLIANTLY on maternity leave and should feel really proud.
It's all about having control and power isn't it?
Good luck with your return to work.
Sft x
We've allocated £100 'fun money' too and have set up a mortgage overpayment savings account. I'm going to see how we go for the first couple of months then review it.
DeleteThanks for your advice.
M
x
Meant to say Mr Sft's contribution to the mortgage can't be set as he is self employed so we just add on the bit we can.
ReplyDeleteSft x
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ReplyDelete