My 2020 Vision

A question about : My 2020 Vision

After lurking and reading everyone else’s diaries I thought it was time I started my own to keep me on track. Our goal is to have paid off our mortgage by 2020, when we are both 50. I am not sure if this is possible but you gotta have a dream.

We have made Ј2000 of overpayments so far this year from DH bonuses, PPI claims and money made from a few sales and extra bits that have come our way.

Our mortgage balance is currently Ј119565.99 and we also owe approximately Ј16000 on a secured loan. Our mortgage is IO and the secured is 8.5% with 40 payments left to go. We can overpay the secured but it costs Ј60 time + settlement interest so we have decided to throw everything at the mortgage until we have paid enough off to withdraw the overpayments to clear the secured or just keep paying it.

Adding them both together we owe a total of Ј135k against the house. We also owe Ј209 on a HP and about Ј200 on a TV which are due to be cleared with DH bonus in June.

We do have some work we want to do on the house now that we have decided to stay here for the next 5 years or so. This includes a new boiler as I am sure ours is costing us a fortune, new double glazing and doors, built in appliances in the kitchen, new flooring in the bathroom and our bedroom, blinds in 4 rooms and decorate throughout. Not much then! We are hoping to complete this over the next 12-18 months.

My OP target for the rest of this year is Ј4000 directly off the mortgage and our secured balance should come down by approximately Ј2200. Our first step is to cut down our spending to free up some cash and to start making payments to our mortgage as if it was a repayment mortgage and will end in 2031 years as if it was always repayment if that makes sense. This will increase our current payments by Ј430. If I can up these payments to Ј800, a Ј550 increase I will knock 3 years off the term but need to pay a lot more to hit 2020.

My first BIG payment will be 1st August as we have so much to pay out before then with a family wedding, our summer holiday, work on the car and a stag do!

We are both in our early 40’s with a 3 year old and a dog and work FT.

Oops that was a ginormous post

Best answers:

• Hi xspender, welcome to the mfw board Have you had a diary before as your name seems familiar? Anyway best of luck with the oping you have done so well already.
• Hi newgirly
  I did have one a long time ago and on the DFW thread even further back.
• Hi Xspender. I also recognise your name. Good luck with your journey. Our mortgage also finishes 2031, but am aiming for 2021.
• Hi yukkibear. I am suprised people remember my name as I dont think I post much. I am a bit too shy to post on other peoples diaries as I dont think I have much to add but I do like to read and I thank as I go
  I managed a NSD yesterday, must be the first one in ages, helped by taking everything I needed to eat and drink to work. I have slipped into naughty habits of buying breakfast, lunch and large mugs of tea at work and it is really adding up.
  I am going to do a tilly tidy of my accounts tonight as DH is paid tomorrow which should be about a tenner. He should also come home with some lift money from two of his team he takes to work every day which should be abot Ј50 so will pay this to the mortgage too.
  Other plans for the week include doing a big shop with lots of vouchers for the new Mr T they have opened near to me. I want to do a pretty big stock up to stop us nipping to the shop every 2 days We also need to complete the forms to sign up for childcare vouchers. Our DS is 3 and we still havent got round to it
• Go on then. I'll let you hijack my diary title
  A link to your old diary in case anyone wants to read back
  (I'm aiming for 2018 though)
• Oops probably should have checked if anyone else had the same one first I don't mind changing it if you can give me a day or two to think of another one. Good luck with your new target of 2018 VoucherMan
  I might have a read of my old diary myself, things have changed quite a bit since then (for the better).
• I still haven't come up with a different title for my diary but will keep working on it. Then need to work out how to change it.
  Had a look over my old diary - thanks to voucherman for the link - and wow! Things have changed since then!
  DH fuel bill is a lot higher than expected this month so our very expensive month is going to be tighter than a tight thing. Cleaner cancelled yesterday due to illness so saved a bit there but since she was on hols last week it will mean I will have to do it myself
  DH had a promotion at the beginning of the year and I worked out yesterday what his potential earnings are and he was chuffed to bits and I was chuffed that his first thought was about staying in this house and paying off the mortgage as quick as we can
  Have to go into town for an outfit for a wedding today and really can't be bothered
• Thank you for graciously sharing your title voucher man
  Bit of a spendy weekend as I had to get a dress for a wedding and the races. Good news is I got 20% off bad news is I bought 2!. And I am still not sure if either are right for me
  Booked the Chunnel for our hols which counts as as we are staying with relatives for our holiday which really helps keep our costs down.
  Had a lovely drive out with DH and DS today to our favourite cafe but its not cheap and we bought a couple of mugs too. Mugs are very short in our house and if more than 2 people visit they have to share cups Also popped into wait rose on the way home for a couple of GF items including beer which costs an arm and a leg or rather Ј7.50 for four bottles of GF lager......must make sure I drink it veeeerrrrrry sloooowwwwwlllyyy.
  Made some crust less mini quiches and baked some jackets using normal spuds for my lunches next week.
  Oh and 59p added to my change pots.
  Plans for this week are:
  1. Take a pack lunch, breakfast and milk for tea to work every day and don't spend a thing in the canteen or vending machines
  2. Stick to the meal plan and do not be swayed when DH says 'I fancy......' And say no to a takeaway. Doesn't he know I have dresses to fit into!
  3. Remember to use the Ј10 in vouchers and 600 points voucher I have for Mr T on thurs/fri.
  4. Have a lime and soda if go to pub after final class at college on Wednesday to keep costs down
  5. Make a meal plan and a shopping list for next week
  6. Post my expenses on Monday
  7. Make a start on listing my cupboards and freezers
  8. Make some GF scones and a cake for lunches next week
  9. Do not overspend when buying accessories to go with new dresses, can I use what I have got?
  Most of my goals this week seem to be about damage limitation and managing our food spend than making overpayments. We do overspend on food and I really need to regain control of this area. I have gone from been a vegetarian to a meat eating celiac in the last 12 months and still haven't got to grips with managing this and my normal eating DH and DS.
• Some successes with my plan this week:
  1. Take a pack lunch, breakfast and milk for tea to work every day and don't spend a thing in the canteen or vending machines Not spent a bean Monday or Tuesday and brought everything to work again today
  2. Stick to the meal plan and do not be swayed when DH says 'I fancy......' And say no to a takeaway. Doesn't he know I have dresses to fit into! Meals have been moved about a bit but no takeaways so far although tonight may be a chippy tea after college. Will see if I can persuade DH I fancy fish fingers mushy peas and oven chips instead as I have all this in and it will be quick
  3. Remember to use the Ј10 in vouchers and 600 points voucher I have for Mr T on thurs/fri. Shopping on Thursday, need to double check I have the 600 points voucher in my purse. I also read on the OS threasd they are doing Ј5 off Ј40 for next week too Every little helps
  4. Have a lime and soda if go to pub after final class at college on Wednesday to keep costs down Will probably give this a miss as I am tired allready today and have a busy day at work tomorrow and the later I am in the more likely it is we will have a take away
  5. Make a meal plan and a shopping list for next week Done and estimated Ј65 including booze for the weekend. Just need to stop DH adding extras in.
  6. Post my expenses on Monday Forgot, hope they pay out any way as half the process is automated and the boss has authorised them on line
  7. Make a start on listing my cupboards and freezers Not done
  8. Make some GF scones and a cake for lunches next week will do at the weekend
  9. Do not overspend when buying accessories to go with new dresses, can I use what I have got? Need to find a dress I like first! one of them is def going back and I am not sure the other one is dressy enough for the wedding. It should arrive n the post today but will have to then go pick it up from the sorting office. Planning to shop, on my own, on Sunday to finally sort out what the heck I am wearing for this wedding
  I am feeling much more focussed on our spending at the moment even though the next 7 weeks are some of the most expensive we have had in a long time. DH bonus is in the bag for the end of June so we will be back on the straight and narrow although most of it will be covering our holiday spends, wedding expenses and our day at the races. I will be putting some away for the car insurance fro August, which we usually pay monthly, and paying off the bit outstanding on DH TV to reduce the amount of DDs that go out of the account every month.
  Paying the car insurance up front will also save me the interest charges and I am going to shop around, go through TCB and reduce our cover/increase the excess as I have a car that is worth the same as the insurance cover!
  DH said this morning that he would like to bank/save his next bonus in September as we do not have anything to pay out as we usually have our summer holiday then but will have already been away. A chunk of that will be heading towards the mortgage with a smaller chunk to savings for hols/christmas and the rest may go on some of the smaller jobs that need doing in the house like completing the bathroom makeover and decorating the living room and replastering the ceiling.
• 1. Take a pack lunch, breakfast and milk for tea to work every day and don't spend a thing in the canteen or vending machines done and chuffed to bits
  2. Stick to the meal plan and do not be swayed when DH says 'I fancy......' And say no to a takeaway. Doesn't he know I have dresses to fit into! Done although did have a chippy tea on weds
  3. Remember to use the Ј10 in vouchers and 600 points voucher I have for Mr T on thurs/fri. Ј19 in vouchers but shop was a bit more than planned
  4. Have a lime and soda if go to pub after final class at college on Wednesday to keep costs down nobody went
  5. Make a meal plan and a shopping list for next week done and posted on the OS thread
  6. Post my expenses on Monday didn't get done
  7. Make a start on listing my cupboards and freezers starting this when I get off here
  8. Make some GF scones and a cake for lunches next week will do this tomorrow
  9. Do not overspend when buying accessories to go with new dresses, can I use what I have got? shopping this afternoon and have decided to use one of the dresses I bought already but need something for the evening and a hat
  Some money we were expecting hasn't come through so we are a bit tight until I get paid on the 21st. Good news is my boss is signing off my grade progression next week so I will be getting about Ј75 extra take home a month, not masses but every bit helps. We managed to get a babysitter for the night of the wedding so saved Ј95 on the hotel but will need 4 taxis and to pay her so not loads saved but I will have a better time at the evening do without worrying about DS3 and having to go to bed early with him.
  My tutor graded me outstanding at the end of course on Wednesday so I celebrated with a bottle of beer and a chippy tea. My stomach cramps were bad after eating it as with my coeliac disease I shouldn't eat them really. This is the first time I have felt bad though. Save me some pennies if I don't eat them again. I only have the chips.
  I am going to list all my cupboard and freezer contents this week as I have an embarrassing amount of food in and am still spending more than I should. As things are a bit tight and we still have quite a bit to pay out DH and I have set ourselves a target of Ј50 plus a Ј5 voucher for food/booze for the rest of the month. I only have 1 weekly shop to cover and there is masses in.
• I havent posted for a while as I dont seem to be making any head way in overpaying my mortgage. We have real cashflow problems at the moment with lots of things needing to be paid for after I get paid but before DH get paid and my wages wont cover them all We will have the money to pay for them it is just the timing is off so I have had to drawdown some of my overpayment money to bridge us until DH wage and bonus gets paid on the 28th. The good news is this is a bit more than we thought and will cover my expenses which didnt get paid this month.
  DH did put some loose change on a horse and won Ј100 which has helped and we have decided to sell a couple of electrical items. Wont get much but we got rid of all our clutter a few years back to help us clear some debt.
  I find an easy access account to accessable to put my savings in so I use my mortgage as a savings account as if I dont need the money it is better paying off the mortgage as if it was in an account I would fritter it away.
  I am going to start a spending diary of my supermarket shopping and break it down into what I am spending in each area as I think this is an area we could cut down on. I still need to list my cupboard contents as I didnt do it last week as when I opened the cupboard there was a week's worth of meals looking at me.
  For the rest I am going to tread water/minimise the damage until we come back off our hols 20th July as we have so much going on until then. I have re done our budget and we have enough money to live well and overpay we just need to stop spending everything we get......easier said than done
• As my progress will be a bit slow between now and 22nd July I have decided to note the little steps that I have taken towards being mortgage free and also the things/spends that are holding me back. If I see it in black and white I am hoping it will spur me on and the steps back will embarrass me enough to cut them down. I won’t say cut them out as I don’t want to pull the purse strings so tight we are miserable.
  Steps Forward
• No takeaway at the weekend
• Used our National Trust membership to take dog for a walk on Sunday and had ice cream from the freezer when we got home
• Our camera needs replacing and we have a family wedding on Saturday and our annual holiday in 3 weeks but we have found the perfect replacement on offer half price in one store (will look and see if I can order through TCB) Not sure if this is a step forward or a step back
• Have done some research on what value/basic products are GF and have tried the cereal which is great and will be including more of these products in my shopping from now on
• Have bought some mince for DH to make chilli, bolognaise and shepherds pie and will make veggie versions for myself as I cant stand mince and he doesn’t like lentil bolognaise (but it will have lentils to pad it out shhhh). Can’t believe I haven’t thought of this before.
• Bought some GF YS bakery products and froze in portions
• Spent Ј8 on 6 cards and stamps for 3 birthdays this week. Most I spent on a card was a Ј1 which is my self imposed limit and it cost Ј1.68 to send 2 to France in the same envelope! Will try and hand deliver 4 of the cards and keep the stamps as 2 are already late
• Bulk bought chicken from the butchers at Ј10 for 2kg
• Dried all my washing on the line this weekend
• Brought all my food and drinks to work from home and DH is getting fed on a curse and DS is getting fed at nursery
• Today will be a NSD

Steps Back

• DH bought a brand new PS3 game that cost Ј5 more than if he had pre ordered it from Mr T (Ј43)
• DH and I had tea out on Saturday (Ј25 including drinks)
• Spent a fortune (Ј10) on batteries as 3 things ran out at once (including my kitchen scales)
• Couldn’t sell the electrical items this weekend as can’t find the lead and one needs cleaning up. Will do this after our holiday.
• We have just returned from our holiday and after a spendy and stressful 3 months have new enthusiasm for our slightly amended MF plans.
  DH loves our house, more than I do, and it is in a great spot but I am always looking to move to gain an extra bedroom and a dining space so on holiday we discussed and decided on getting an extension and staying put for the foreseeable future
  Between now and Christmas we are aiming to save Ј10,000 and will then get some quotes with a view to saving even more and having it built by summer 2014.
  We both really want to clear our mortgage by the time we are 50 still so this is only a slight detour from our original plans.
  Our first goal is to clear about Ј800 on a credit card ( our only unsecured debt ) and save Ј1100 month plus DH bonuses each month after that. I have worked out we still need to find about Ј1500 so will cut the budget even more and get selling the last few bits we have hanging around.
  This month we are living out of the freezer and cupboards and I have a max budget of Ј100 to spend on fresh bits, a bit of a change from the amounts we had been spending
• Back from hols a week and a bit and so far we have had to get rid of a wasps nest, replace the toilet seat, the shower head and the heating element of the oven I thought things came in threes, if so I have another 2 things about to break or blow up!
  Our frugal mo jo is still working it’s magic and I have only spent Ј58 on food in the last 8 days which is unheard of from us. This even includes a takeaway! We are living out of the freezer although we have discovered some old meat that has had to be binned. We did try to eat it but it was past it and tasted awful so have increased the food budget by Ј40 which was money saved by being under budget elsewhere. DH is still on board and has been thinking about spends and has put off some house purchases until next month like a new hose pipe connector even though ours is leaking everywhere.
  DH wages were a lit bit more than expected which is good as it has covered the cost of the house repairs/purchases. I don’t think we will hit our target of Ј500 off the visa this month as we have been out for my birthday Ј70 (movie and dinner) but have managed Ј300 so far and I think I could manage another Ј100 if we stick to our budgets elsewhere. We are still on target to settle the visa in full next month and out our first Ј500 in the extension account.
  The extension account stands at just over a tenner.
  There is going to be a departmental restructure at work which is going to put both my seconded and usual job at risk towards the end of the year so I have decided to put my plans for taking a degree on hold for 12 months. I don’t want the financial commitment if I lose my job. The redundancy payout would be low as I have not been there long as I was made redundant from my last job. I hope redundancies don’t come in threes as I have been made redundant twice already!
  If the worse happens the extension fund will pay off the second part of our mortgage and we could manage OK on DH wage so the more I can save in that pot the better.
  Our budget is tight as a tight thing this month, self imposed by us, yet I feel we have eaten better, been able to afford a birthday treat, felt more organised and less stressed and spent more quality time with DS and each other.
  I must feel satisfied with my lot or maybe I have changed my spending habits finally as I haven’t had any idea what I wanted when family asked what did I want for my birthday. DH bought me some flowers, only the 3rd time in 10 years (there’s that number again) and tonight I am going to buy three things out of my birthday money; a magazine (a rare treat), some pinking shears (to convert cards in to tags and to make an advent calendar for DS out of recycled paper and cards from an idea I saw on line) and a tenner’s worth of stuff for the local food bank.
• Filled the car up tonight as I had a double points voucher for mr s. I had budgeted Ј30 for 5 days at work but is has lasted me 8 so the Ј60 I have put in tonight should last me until the end of the month these are working days as we use DH car on the weekend. I had budgeted Ј150 for the month so if I can manage on this tank full I will have another Ј60 to go towards clearing the card, my first goal.
  Another home expense, or rather car one, last night costing Ј30 I am up to 5 now so only 1 more to go
  Naughty chippy tea tonight at Ј5.30 but did pick up a YS loaf for 29p at the garage
  Not much else to report tonight.
• Hello diary, long time no speak
  I have been MIA and put my MFW plans on hold over the last few weeks as I have been under consultation for redundancy from my job. I found out today that I have kept my job and got some really good feedback from the head of department which is great news.
  I now feel I can get on with my plans to get rid of my mortgage. Over the last couple of months we have firmly decided that we are not planning to move and want to be MF or with a very low LTV by the time we turn 50 in 2020. We also want to add a single storey extension to our kitchen to create an open plan kitchen family room which can double as a guest bedroom (we have a very small house).
  We have Ј15k on a 2nd mortgage to clear which is our first task. We plan to have this cleared by June 2014.
  Our current mortgage is IO (I am sure I have told you this before) and our second task is to ‘catch up’ with the monthly capital payments we would have been paying had it been repayment from the start so that it will be SIF in 2031. We will just then need to make the extra up to cover those other 11 years! Not much then!
  We have decided to do all the jobs/decorating inside the house by summer 2014 as well as have new windows and doors fitted and start the extension in 2015. So far we have done the bathroom, DS bedroom, stairs and landing. Our next big job is new wardrobes and carpet for our room.
  I have made some real progress this last couple of months which is paving the way for saving to clear the 2nd mortgage. We have slashed our food bill from Ј450+ to Ј290 month and DH has given up booze which is freeing up even more into saving. I have also started putting away Ј150/month into a bills account to cover annual bills and birthdays etc.
  Short term goals until the end of the year are:
  1. Maintain Ј280/month for food with a view to reducing it to Ј250 by Christmas ongoing
  2. Clear CC balance which is stil around Ј800 - 30th Sept
  3. Complete bathroom makeover - Sept/Oct
  4. Finish DS bedroom (rug, blind, pictures, bed) - Sept/Oct
  5. PIF for holiday to Cornwall with DM (going May) 31st Oct
  6. Save Ј750 for all Christmas expenses inc. nights out & presents - Dec
  7. Winter prep the house Oct
  8. Continue to save Ј150/month for annual bills ongoing
  9. Reduce fuel consumption and submit meter readings every month ongoing
  10. SIF TV payments Ј82.17 30th Sept
  11. SIF underpayment to EDF Ј33/mnth need to check balance 30th Sept
  12. Have at least Ј4000 saved towards clearing 2nd mortgage by June '14 (really I would like Ј5k) ongoing
  13. Take lunch to work every day 0/70 ongoing
  14. Look into starting a GF blog
  I feel really fired up to get started on this journey again after a short stop off and have even managed a couple of tilly tidies this week
• It sounds like you have a plan. Recording waste is a good idea. DH is away in Dubai next week so I plan to eat everything in the fridge before buying anything new except milk. We'll see how that goes DD won't be up for any wacky combinations and I will probably eat with her more so it might be a series of strange lunches instead.
• Hi MallyGirl - my Friday night tea will be a hodge podge from the freezer as I am running low on just about everything!
  A huge 40p TT today. I am tidying them up to one of my on line savings accounts during the month and then will pay them over in a lump sum at the end of the month.
  Lunch brought to work today but that's it for MFW plans today.
  I am visiting my Mum a the weekend so will be taking my sewing machine that has never been out of the box and some curtains that need lining and taking up. 2 pairs. She is a dab hand at sewing so will teach me how to set the machine up so I can start using it at home.
  It was freezing in our house last night. I went upstairs to put DS to bed and came down to DH putting the fire and the central heating on but sitting in his shirt and underpants! The fire went off and I handed him a fleece and told him to put some blooming clothes on. We left the heating on low though as it was really cold and I had warm layers on and a fleece over me.
  One thing I forgot to add to my list was to open an ISA which is where I will keep the Ј4-5k I am hoping to save by the end of the year as this is going towards paying off the second mortgage next year. I cant overpay it, well I can but it is Ј60 a time and then they reduce the installments so I would rather save and settle it in full.
  I am getting a free 2nd hand lap top at the weekend so will look into starting a blog when I have fathomed out how to use it. I will also be able to create some spreadsheets. Oh how I have missed spreadsheets only having an ipad for the last year