Damn I love alliteration. Anyway, I recently decided to try and take more control of my spending and finances. Before now I've always had a pretty simple goal in mind when it comes to money. I try and have at least 100 x the month in my bank account at the end of each month. So £700 at the end of July, for example. Things changed a little recently though and I have a new scheme now.
I don't know whether he intended me to hear or not but I heard my dad talking with who I presume was my mother, and he mentioned that even though I'm earning money now he doesn't really see any of it. It's a fair point and one I wish he'd brought up with me himself. I earn more than enough money now to be sending some rent/board his way. I never really had a problem with the idea either. The problem wasn't what I was getting paid, but rather how I was being paid.
Throw in that I have to wait until I have a decent amount of money and it can take a little longer. Actually, because PayPal charge a conversion fee for converting from dollars to pounds, it's in my best interest to withdraw lots of smaller amounts rather than one larger amount. I could have the money transferred to my bank straight from Fiverr but the service they use for that asks for a 10% cut and I'm not paying a 10% fee on top of the 20% fee that Fiverr has. I'd go solo but I have my misgivings about that, which I shall discuss at a later date.
So I decided to budget for the money I would have, rather than the money I do have. I came up with a pretty effective budget that I feels will fit neatly into my current lifestyle. My budget plan is pretty simple really; I'll leave £100 in the bank as my personal spending money for that month, I'll send my dad £100 in board/rent, and I'll put £100 in my savings each month, with an extra £100-200 being left in the bank account for taxation purposes. I'm almost at the point where I will have to pay taxes and I would have to pay £200 per £1000 I earn. Anything left over is essentially free cash but will likely be left there for taxing and to make me feel better about how much money I have in my account.
Well this has been long and boring. Thank you for your time.