Name: Carol O’Halloran

Age: 48

Income: £60,000

Occupation: PR consultant

Before my divorce I earned at the highest £144,000 but regularly above £75,000, plus pension, medical and other benefits. I was the main wage earner in our marriage and, as part of the divorce, I had to give my ex-husband a high payout so that I could keep the house.

About two to three months later I became ill with a stress-related physical illness, and I had to cut my hours down dramatically. I now work part time while I am in recovery. My earnings were reduced to £60,000, and I still have £200,000 outstanding on my mortgage.

Half of my monthly income goes on mortgage repayments as I am now the sole homeowner, but a high proportion goes on medication to manage my illness. Stress will inevitably take its toll on the body, regardless. And, no matter what you put in place financially, there’s no guarantee a plan will come to fruition. Life has a habit of taking another turn you didn’t anticipate.

Health supplements, prescriptions and acupuncture for pain relief total £485 per month. The rest of my income outgoings go towards “healthy” food items that are not widely available and at a higher cost than usual everyday food produce. Regular prescriptions cost at the maximum about £120 a month, while acupuncture costs £35 a session and has to be done weekly during flare-ups of my illness. A naturopath [a health practitioner who applies natural therapies] costs £50 per phone consultation, and the drugs can total up to a maximum of £400 every six to eight weeks.

Being ill can mean it was hard to get to the doctor or hospital for an appointment, so sometimes I’d get a taxi or, if I was well enough to drive, then hospital parking can cost £4. Taking a taxi could cost between £15 and £20. Then there’s also the cost of extra washing powder for washing bedding all the time, which meant an increase in my electricity bills. I needed to buy extra clothes because I was cold all the time – plus heating – even when the weather was mild.

I spent a fortune on prescription drugs that often didn’t work, so I would waste money. The NHS has no system to recycle drugs, so they go to the pharmacy to be thrown away. I have now had this illness for two-and-a-half years, and I haven’t been able to save, as all my earnings are spent.

I rent out rooms on Airbnb to generate extra income, which comes to about £350 a month on average, because it is quite seasonal. One week’s holiday a year is my luxury when I can afford it, and I try to buy decent shoes, but clothes rarely unless they are a necessity. Due to my health, I buy good-quality food and, where possible, I buy organic fish and meat when I can.

Every three weeks I get my hair cut, and I have it dyed regularly, which costs about £35 to £60. Beauty products normally cost about £5. My nights out are few and far between, and I sell some of my items on eBay to buy books and cinema tickets or to have brunch with girlfriends.

I will have to continue to work past retirement age to repay my mortgage – probably into my 70s. I will have to revise my pension planning due to my ill-health, and I hope that paying into a pension will provide a decent income in retirement.

My future plan is to get well, then work full time, pay off my debt and save money.

I have learnt that adversity – as in the health issues I have had to face – has helped me to move forward and manage my finances according to my circumstances. I know that it is temporary, which is a blessing.