I’m wrapping up our 2013 goals in order to clear the decks for our 2014 budget!
Financial Goals for 2013: (Goals updated in August)
- Reduce our mortgage balance to less than £72,000 The final balance on our mortgage for 2013 is £73,500. Our original goal was to reduce our balance by £25,000 – we managed £11,450. Way off goal, but still progress
- Complete and pay for all house repairs - Approximate cost £4,000. All done and goal completed, although we’ve spent £8k+ this year.
- Spend no more than £2,500 (originally £2,000) on groceries – 2013 Total: £2,614.34/£2,500 a monthly average of £217.86
Ongoing Net Worth Goal: Increase NW to £125K in 2013
We sneaked in!
We don’t include pension savings in our NW as we both have (now frozen) Final Salary Pensions. However following a recent pension change, we now have online access to my husbands (new) scheme and will be including this in our NW going forward.
2012-2013 increase: £14,539
Overall it’s been a very good year for our finances and we’re very grateful. Thank you for your continued support xoxo
2014 Financial Goal: Reduce our mortgage by £15,500
Things have changes a little this year and in August we made a few changes to our 2013 goals.
New Financial Goals for 2013:
- Reduce our mortgage balance to less than £72,000 – Our mortgage balance is now down to £74,700 and we’re creeping ever closer to the 50% milestone. Yay! We’re super happy to have paid off £10,250 in 2013.
- Complete and pay for all house repairs – Approximate cost £4,000. Ongoing! All repairs should be finished and paid for by the end of September…fingers crossed. All done, goal completed!
- Spend no more than £2,500 on groceries – I spent £287.10 in September! I did quite a bit of stockpiling and sent my son back to university with a lot of staples. I have £300.98 left for the next two months, quite doable with just the two of us at home. 2013 Totals: £2,199.02/£2,500.
October Net Worth: (£434.58)
We keep getting very close to our 2013 Net Worth goal of £125k……and then moving backwards. I’m sure the latest house repairs/updates have increased the value of our house – we’ve added a new entryway – but for now we haven’t made any changes to its worth on our spreadsheets. Perhaps we should get a current market valuation done.
Further reading: Financial Freedom Goals
We revised our annual goals a little last month – it made sense to as things have changed a lot over the last few months.
New Financial Goals for 2013:
- Reduce our mortgage balance to less than £72,000 – Starting balance before September 1st payment: £75,950. New balance £75,400. We’ve now paid off £9,550 in 2013…yay…..and I can’t wait for this to be over £10k next month!
- Complete and pay for all house repairs – Approximate cost £4,000. Ongoing! All repairs should be finished and paid for by the end of September…fingers crossed.
- Spend no more than £2,500 on groceries – Current spend (8 months Dec-July inc.) £1,660.62. I spent £251.30 in August, leaving £588.08 for the next 3 months . Total spend: £1,911.92/£2,500.
Financial Freedom Goals
Photo taken on my walk along the road to Sandbanks in Poole, Dorset this morning…it’s the only one I took as I was so intent on my marching. It’s a very pleasant area to get fit in
Our plan to get serious with our mortgage attack starts with our budget. We’re not looking to cut out everything – staying is our digital TV package (NFL is my husband’s love outside of me and the rest of the family lol), and travel. Also staying is the current round of house renovations as we really need to finish this house! However, there are a few changes we can start making over the next few months, which if accomplished, could lead to budget savings in 2014.
Five Financial Mini Goals:
1. Gas and electricity costs. You may remember this cost going up to a whopping £171 a month earlier in the year. We’re nearly back up to date with this account, and the power company estimate we will spend £1,200 on gas and electricity over the next 12 months – potential saving £71 a month.
2. Phone costs. My iPhone contract is due to end in December and I’m not interest in upgrading. I plan to go onto a SIM only deal – potential saving £18 a month.
3. Gift Spending. This is just my personal battle not to overspend at Christmas – potential saving £16 a month.
4. Personal Spending. Again this is just my personal battle. I have ‘Enough’ – potential saving £20 a month.
5. Grocery Spending. I left this one until last because it’s such a biggy for me. I know I can reduce our grocery costs even further. I’m lazy in the kitchen and still buy far too much processed rubbish. If I can really get to grips with this over the next few months, it’ll help our budget…..and my diet! German supermarkets and stockpiling are definitely the way to go – potential saving £50 a month.
So that’s it! For the next 4+ months I’ll be working on reducing these five areas of spending as well as trying to achieve our year end goals.