The Numbers – You know that budget? Double it!

6 Years ago we bought our first property. It was so long ago that I feel like I had a little process amnesia.

Being a first time buyer was soooo much easier than being a home mover. The extra baggage creeps up on you and you don’t realise that you’ve accumulated so much stuff!

Let’s get down to the numbers.

My husband is a numbers man. He wants it all to be accounted for on the spreadsheet and adds a £200 buffer to absolutely everything! It really annoys me because I’m all up for rounding up to the nearest 10, but £200? He takes it too far!

Well, it seems as if Mr Charm was on to something.

The costly thing isn’t in things you accounted for costing a little more than expected, but it’s in the things that you had no intention of spending money on requiring money to be spent!

To give you an idea, we always knew that we had to give the house some make up. Lick of paint, furniture, art etc. We accounted for painting all the rooms and a newly fitted kitchen/bathroom for personal reasons, not really a super necessity.

As time progressed so did the need for that budget to be stretched.

Natural floorboards meant the risk of worms, stray bits and with a young child, anything that is a risk to master charm will be seen to. We had to get the floors sanded, treated and polished.

There’s also the other unaccounted area – the garden! We hadn’t had a garden for so long that upkeep and the importance of a sturdy fence was not at the forefront of our minds.

Limp water. Nothing boils my blood more than a limp shower. Power shower or nothing! That’s what we were dealing with. The bathroom was due a facelift, but lead times were a nightmare and was we really going to live with limp water for that long? I think not.

It turns out that all of those £200 add ons were welcomed and helped us in some stretched situations.

Lesson learnt? Double that budget & don’t be a home Reno snob. Another added learn for me was to let my husband get involved, two heads are better than one and after all, this is OUR home not mine!

Financial Hack: Treat your personal finances like a business

At the end of 2019, my husband and I sat together to draw up our plan for 2020. We divided the year in to 4 quarters. January – March being Q1, April – June being Q2 etc. You get the gist. I’m sure your company works in a similar way when setting financial targets for the financial year.

Q1 has drawn to a close and we sat down, reviewed the targets we had set and were overwhelmed with how much we were able to achieve. Some goals we surpassed and some goals we will have to take in to Q2 as they were incomplete.

The country is currently on lockdown and we’re about to go in to an inevitable recession given the financial strain this epidemic has had across the board. Weddings have had to be cancelled, companies have gone in to administration and let’s not forget the thousands in the UK and across the world that have unfortunately lost their lives.

Taking the above in to consideration what have you had to make redundant in your life? What luxury/ habit have you had to put on pause or downgraded a little?

Treat your personal finances like a business. Cut back, make sure you have a crisis fund, but most importantly, hit those targets!