Monday, 27 April 2015

Budgeting for planned spending

Hello Dear Reader,

Budgeting isn't boring; it's liberating! It means I can look at our finances for the year, months and weeks ahead and not have surprises. This does mean we make plans and regularly review them and that's exactly what we've done tonight. 

Both our holidays have been saved for, budgeted for and months in advance paid in full. We bought our holiday and ferry crossing online and used the 'manage my booking' facility to pay for both in full.

Our bills, with the exception of our water bill (no discount for monthly payment) is also paid online with my banking app on my phone and I set the money aside to pay every quarter. My car insurance is due any day and we've put money aside to pay it in one go. I never automatically renew and simply use my renewals notice as proof of my ten years no claim discount and then search for the best price that also has the best cashback, either through Quidco or Top cashback. Each year, I get around £50 back which reduces my policy to around £120. I do te same with house and contents insurance.

As we're going on holiday (twice) this year, we need to do some planning and organising so we don't waste money when we get there. We're self-catering so, all bar a meal on the way there and one on the way home, I'll cook in the apartment which really keeps the cost down. We also save money by taking everything that you need self catering but isn't provided. Forgetting the odd items can soon lead to browsing, supermarket trips and spending knowing that 'I have that at home!'

So, we're making lists and beginning the prep early to spread the cost. We've broken the lists into: kitchen (from food, cleaning, sundries, equipment- no oven, so I actually take our toaster oven) cleaning/laundry, car requirements (hi-vis ect), toiletries, bedding, medicine and first aid and clothing. It sounds a lot but it all easily fits in the boot of our car in stacking boxes. 

My financial plans for next month are to pay for: European breakdown cover for 12 months, dog sitting for second holiday, next quarter's water bill as it will arrive when I'm just about to go on holiday. No surprises and all budgeted for. I could bore you with all the planned spending and saving over the next few months but I'm sure you get it.

Budgeting and planning doesn't make me feel restricted but helps us relax knowing that bills are all covered and we can treat ourselves to holidays without a credit card in sight and can come home without rendering ourselves skint!

I'm back to writing my lists. Over to you Dear a Reader, what needs to go on my list for our self catering holiday so we don't run up expense by forgetting anything. 

Until tomorrow,

Love Froogs xxxx