Age: 44
Spouse’s/Partner's age: 45
Annual gross income from employment or profession: 110 + 10k car allowance + ~40k bonus/RSU for the last few years
Annual gross income of spouse: 60k
Monthly take-home pay: Private 5200 -> 5800pm depending on month, Public 2800pm
Type of employment: Private multi national, public sector
In general are you:
(a) spending more than you earn, or
(b) saving?
saving ~20k per annum for about the last 8 years since we exhausted 50k of savings on extension
Rough estimate of value of home: Sold 18 months ago to trade up, currently renting @ 1500pm
Other borrowings: None, run one car paid for with 22k out of savings 2 years ago.
Do you pay off your full credit card balance each month? Y
Savings and investments: Total of 270 - made up of 110k equity from house sale, remainder savings/company share sales
Do you have a pension scheme? Private value 220k (me 3%, company 7%), partner public sector but with career breaks etc so not sure what the entitlements will be
Do you own any investment or other property? N
Ages of children: 13 and 16
Life insurance: Policy from house still in force ~ 250k, death in service from private sector
What specific question do you have or what issues are of concern to you?
As above we are planning to buy a slightly bigger, better located home for anywhere between 500 and 700k.
We're mortgage approved for 425k (split offer based on tracker retention and STV). If we draw down the max it would give a monthly repayment of 2k per month.
I'm comfortable with that on the basis I've never had a break in income in a good industry, and I've min 20k after tax in shares due for each of the next 3 years, combined with bonus we could use to pay down that mortgage by ~100k.
We passively manage our income/savings, and just in the last few years I've reaped the rewards of a few hard years workwise. We've a lifestyle where we spend less than we earn, but don't work hard to maximize that benefit e.g. still go on decent holidays, lots of nights out pre covid, and have helped out siblings with deposits. I just put away what's left, try not to touch any additional income (bonus, shares). Probably my own failure compared to those who share here and have more actively managed their income.
My issues of concern/questions:
- Is 400k+ of debt too much to take on at our age. I run the numbers and it seems okay, and we haven't take the approach of asking the bank for the max they'd allow us to borrow - we don't want to move after this one.
- Would we benefit from talking to a financial planner in terms of more active management in the future. Or is the strategy post purchase in terms of aggressively paying down the mortgage best?
Spouse’s/Partner's age: 45
Annual gross income from employment or profession: 110 + 10k car allowance + ~40k bonus/RSU for the last few years
Annual gross income of spouse: 60k
Monthly take-home pay: Private 5200 -> 5800pm depending on month, Public 2800pm
Type of employment: Private multi national, public sector
In general are you:
(a) spending more than you earn, or
(b) saving?
saving ~20k per annum for about the last 8 years since we exhausted 50k of savings on extension
Rough estimate of value of home: Sold 18 months ago to trade up, currently renting @ 1500pm
Other borrowings: None, run one car paid for with 22k out of savings 2 years ago.
Do you pay off your full credit card balance each month? Y
Savings and investments: Total of 270 - made up of 110k equity from house sale, remainder savings/company share sales
Do you have a pension scheme? Private value 220k (me 3%, company 7%), partner public sector but with career breaks etc so not sure what the entitlements will be
Do you own any investment or other property? N
Ages of children: 13 and 16
Life insurance: Policy from house still in force ~ 250k, death in service from private sector
What specific question do you have or what issues are of concern to you?
As above we are planning to buy a slightly bigger, better located home for anywhere between 500 and 700k.
We're mortgage approved for 425k (split offer based on tracker retention and STV). If we draw down the max it would give a monthly repayment of 2k per month.
I'm comfortable with that on the basis I've never had a break in income in a good industry, and I've min 20k after tax in shares due for each of the next 3 years, combined with bonus we could use to pay down that mortgage by ~100k.
We passively manage our income/savings, and just in the last few years I've reaped the rewards of a few hard years workwise. We've a lifestyle where we spend less than we earn, but don't work hard to maximize that benefit e.g. still go on decent holidays, lots of nights out pre covid, and have helped out siblings with deposits. I just put away what's left, try not to touch any additional income (bonus, shares). Probably my own failure compared to those who share here and have more actively managed their income.
My issues of concern/questions:
- Is 400k+ of debt too much to take on at our age. I run the numbers and it seems okay, and we haven't take the approach of asking the bank for the max they'd allow us to borrow - we don't want to move after this one.
- Would we benefit from talking to a financial planner in terms of more active management in the future. Or is the strategy post purchase in terms of aggressively paying down the mortgage best?
