Personal details
Age: 36
Wife's age: 37
Number and age of children:
2 (age 1 and 3)
Income and expenditure
Annual gross income from employment or profession:
€68000 base salary, ~85000 when including overtime and on call allowance
Annual gross income of wife:
~€2000 (works Saturdays only)
Monthly take-home pay:
~€3,850 (approx. across full 2023 year)
Type of employment:
Private Sector (permanent full-time)
In general are you:
(b) saving
I use the following budgeting strategy on each monthly payday:
-I send €800 to separate current a/c that my wife uses for food shopping, medicine and fuel.
-I send €700 to 'sinking fund' savings a/c for annual expenses (Property Tax, Home Insurance,Car insurance x2, Car Tax x2, NCT x2, Car Maintenance x2, Birthdays/Xmas, Annual Holiday, TV Licence)
-I leave €750 in my main current a/c to cover monthly expenses by direct debit (mortgage, broadband, bins, electricity, mortgage protection, mobile phone) and a few quid for discretionary spending e.g. takeaway/date nights here and there.
-I send €1600 overpayment to mortgage account.
Summary of Assets and Liabilities
I have Emergency fund of €10000 kept in current a/c.
My wife has ~€15000 in cash savings.
I have ~€76000 in current Irish defined contribution occupational pension (100% in Irish Life's Indexed World Equity fund). I contribution up to my age related tax relief percentage (i.e. 20%) each month - base salary and any overtime. Fees are ~0.7AMC 100% allocation.
My wife has ~€2500 in Zurich PRSA (100% Dynamic fund) via LA brokers. She contributes the child benefits x2 (i.e. €280) each month. 1% AMC 100% allocation.
I have ~£26000 an old UK defined contribution occupational pension (100% in global equities).
I have 12 years towards UK state pension. If I pay voluntary contributions each year going forward I should have full pension assuming rules don't change.
Myself and wife should have most of the 40 years of stamps towards Irish State Pensions.
Family home mortgage information
~€60000 remaining on mortgage (property value is €425000). AIB 2.1% 5years fixed rate 'green' mortgage (current fixed rate started April 2022). ~€250 payment each month, 25.75 years remaining.
Other borrowings – car loans/personal loans etc
None
Buy to let properties
None
Other savings and investments:
None
What specific question do you have or what issues are of concern to you?
In summary, we are managing to live on ~€2250 per month. The rest is being thrown at the mortgage (as there is no overpayment penalty on our mortgage) and I want to be debt free as soon as possible.
My wife is full time mother (she works Saturdays but this is just for some 'headspace'). We are planning on 3rd child.
From my perspective the main risks are that we are likely to be a single income family for another 5 to 7 years (if having 3rd child). With this in mind are our levels of our cash savings sufficient?
I like my job but I would like the option to retire early. So once mortgage is paid off I would like to redirect towards funding pension above tax relief limits.
I also have my eye on switching from employee to self employed contractor (with LTD company that can fund pension).
Any suggestions/advice from anyone on our situation?
Age: 36
Wife's age: 37
Number and age of children:
2 (age 1 and 3)
Income and expenditure
Annual gross income from employment or profession:
€68000 base salary, ~85000 when including overtime and on call allowance
Annual gross income of wife:
~€2000 (works Saturdays only)
Monthly take-home pay:
~€3,850 (approx. across full 2023 year)
Type of employment:
Private Sector (permanent full-time)
In general are you:
(b) saving
I use the following budgeting strategy on each monthly payday:
-I send €800 to separate current a/c that my wife uses for food shopping, medicine and fuel.
-I send €700 to 'sinking fund' savings a/c for annual expenses (Property Tax, Home Insurance,Car insurance x2, Car Tax x2, NCT x2, Car Maintenance x2, Birthdays/Xmas, Annual Holiday, TV Licence)
-I leave €750 in my main current a/c to cover monthly expenses by direct debit (mortgage, broadband, bins, electricity, mortgage protection, mobile phone) and a few quid for discretionary spending e.g. takeaway/date nights here and there.
-I send €1600 overpayment to mortgage account.
Summary of Assets and Liabilities
I have Emergency fund of €10000 kept in current a/c.
My wife has ~€15000 in cash savings.
I have ~€76000 in current Irish defined contribution occupational pension (100% in Irish Life's Indexed World Equity fund). I contribution up to my age related tax relief percentage (i.e. 20%) each month - base salary and any overtime. Fees are ~0.7AMC 100% allocation.
My wife has ~€2500 in Zurich PRSA (100% Dynamic fund) via LA brokers. She contributes the child benefits x2 (i.e. €280) each month. 1% AMC 100% allocation.
I have ~£26000 an old UK defined contribution occupational pension (100% in global equities).
I have 12 years towards UK state pension. If I pay voluntary contributions each year going forward I should have full pension assuming rules don't change.
Myself and wife should have most of the 40 years of stamps towards Irish State Pensions.
Family home mortgage information
~€60000 remaining on mortgage (property value is €425000). AIB 2.1% 5years fixed rate 'green' mortgage (current fixed rate started April 2022). ~€250 payment each month, 25.75 years remaining.
Other borrowings – car loans/personal loans etc
None
Buy to let properties
None
Other savings and investments:
None
What specific question do you have or what issues are of concern to you?
In summary, we are managing to live on ~€2250 per month. The rest is being thrown at the mortgage (as there is no overpayment penalty on our mortgage) and I want to be debt free as soon as possible.
My wife is full time mother (she works Saturdays but this is just for some 'headspace'). We are planning on 3rd child.
From my perspective the main risks are that we are likely to be a single income family for another 5 to 7 years (if having 3rd child). With this in mind are our levels of our cash savings sufficient?
I like my job but I would like the option to retire early. So once mortgage is paid off I would like to redirect towards funding pension above tax relief limits.
I also have my eye on switching from employee to self employed contractor (with LTD company that can fund pension).
Any suggestions/advice from anyone on our situation?