Making some money, how do I create an environment where I can make a minimum of £250 a week as a return

A thought popped into my head, after I was ruminating about hemorrhaging £798 in five days. Between 10:30am Friday and 12pm Tuesday we spent £792 on nothing in particular, rent, food, travel, stuff. Today I get just over £115 in cash from something my grandparents set up nearly 50 years ago. Back then £115 was a lot of cash to have on a weekly basis, the spending power is the equivalent of between £2000 to £5000 a week. They obviously were not given sound financial advice about pegging it to inflation. Currently, we looking at an annual equivalent rate of 2.5%…. hmmmm! So every £100 gives me £2.50 a year.

So I would like between £250 per week over the next 7 years. How much do I need to have to generate that? The annual sum is £13000 net. Based on savings that would be 300000 lump sum I think.

I need to do research.

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How do we bleed money? £700+ in 72 hours

I don’t know how we do it, well, I have a good idea but it seams so crazy that this amount of cash slips through our fingers.

Friday nearly £800 arrives in our account. Within minutes £300 has gone on rent leaving around £500. I take £100 at 10:30 and immediately spend £20 on phone top-ups leaving £80. I then buy a packet of cigarettes at £5.60 leaving £73.40.

An hour later my wife takes £100 and buys school cardigans two two packs at £12 each, leaving £76. Then she buys a MacDonald’s about £6 leaving £70.

After lunch I go and get the girls from school, I owe the school £34 in school club fees, so that’s now £39ish. I take the girls from school to Islington to meet up with my wife, their mum and have a bite to eat. Once, I get off at zone 1, I realise that my oyster card needs a top-up as I only have a zone 3-4. That’s £5 now leaving me with £34. We go to Jamie’s at the Angel, the kids meal is around 5.25 each and pretty good quality. So the food for them and drinks for us comes to £35 with a tip, my wife gives me a £1 coin to make up what I have to £35. I now have no cash.

We leave Jamie’s to catch a bus, the kids have a strop and we buy them some drinks for the bus ride. My wife DW pays, its £2ish. Once we get off the bus close to home, DW pops into a shop for £15 worth of lager, £11.90’s worth of cigarettes and £7.50’s worth of make and do mags for the kids. She’s now down to £32ish.

So between 10:30 and 20:30 we’ve spent £168 on mostly intransigent stuff. The only thing that will last is £24 worth of school cardigans.

Saturday morning I transfer £50 to DW bank account to ensure that a bill is paid. I pick up the remaining £30 and take my youngest daughter out for a walk. While we are out I spend £20 on a new pair of headphones for her, £6.99 on a toy dog that caused her to burst into tears and some pastries for the family for breakfast. The £30 is now gone so I take out £50 from the bank.

That evening, DW takes the £50 and goes to the shop for £15 worth of lager and £5.90 worth of cigarettes leaving just around £30. So by Saturday evening we have reduced the £800 by £600 leaving £200 in the bank.

Sunday morning I take my youngest out to the swimming pool, I have £30, I spend £5.90 on cigarettes and 80p on a Kinder Bueno, then £4.65 on the pool entrance. After swimming, I spend £10+ in Morrison’s on some food.  Later that day DW went out to do a food shop, she took £100 from the bank in cash (so the cash in the bank is now £77) spending roughly £65 on food and cleaning stuff, later in the evening she went to the corner shop and spent £5 on lager and £11.90 on cigarettes. Leaving us with around £15 cash in hand this morning and by 10am that was gone too. £5.90 on cigarettes, £6 on school lunches and £1.40 on sweets for the kids as we walked past a shop on the way to school.

So this morning it started off with £77 in the joint account, I had to transfer £30 to pay for my weekly oyster card, leaving £47 until Wednesday when I’ll get some cash, which will be used on DW’s oyster and to tide us over to payday.

So breaking it down step by step.

  • Out                       In
  •                             £800
  • 20 ptu
  • 34 school
  • 5.90 c
  • 5 o
  • 35 d
  • 24 sc
  • 6 mcd
  • 2 j
  • 15 l
  • 11.9 c
  • 7.5 m
  • 50 d
  • 20 t
  • 6.99 t
  • 3 f
  • 15 l
  • 5.90 c
  • 5.90 c
  • 0.80s
  • 4.65 sw
  • 10 f
  • 65 f
  • 5 l
  • 11.90 c
  • 5.90 c
  • 6 sl
  • 1.40 s
  • 23 o

legend

  • c = cigarettes
  • mcd = McDonald’s
  • j = juice
  • l =lager
  • m = magazine
  • D = debt
  • t = toy
  • f = food
  • s = sweets
  • sw =swimming
  • sl = school lunch
  • ptu = phone top ups
  • o = oyster

 

So there you have our breakdown, it’s not that complicated, but you can see how money easily evaporates and this is common for most weekends. Before anyone dives in about smoking and drinking, consider smoking and drinking has made up 9.4% and  7% of our post rent income over these three days.

On Remaking Habits

I’ve recently lost a couple off habits that I was working hard at forming.

First one, keeping a handwritten event appointment diary.

Second, keeping track of out incoming and outgoing cash-flow.

I need to get back on track with both. They are both good habits to have. In some respects you can use one to help with the other. Something I need to add into my diary is a mood. What mood am i In at a particular moment and how that affects the subsequent things I do.

I tend to be quite mercurial, DW doesn’t know half the time what mood I’m in and how its going to swing.

One thing I must do is book some GP appointments, I’ve started taking 35.5mgs of Ventrofaxine on top of my Mirtazapine 30mgs and I have to admit it has stabilised my mood swinging.

So its time to use the change in my behaviour for good, start the diary again, start tracking money again.