Hi all,
Age:. 30
Spouse’s/Partner's age: 30
Annual gross income from employment or profession: 40,000
Annual gross income of spouse: 35,000
Monthly take-home pay: 2500 + 2300
Type of employment: e.g. Civil Servant, self-employed: private sector
In general are you:
(a) spending more than you earn, or
(b) saving?
B - savings
Rough estimate of value of home: 140,000
Amount outstanding on your mortgage: 95,000
What interest rate are you paying?
2.45% with aib, fixed for 5 years.
We started in February at 3.15% fixed for 7 years, then I read here we might not pay fee to break, so last month I asked aib, indeed, no fee, and they send a list of their new mortgages, so we went for the 2.45%.
Other borrowings – car loans/personal loans etc:
No
Do you pay off your full credit card balance each month?
No credit cards
Savings and investments:
5000€ in savings (we overpaid 5000 when we went from 3.15 to 2.45 last month)
Do you have a pension scheme?
Yes, I put 5%, company 2%
Do you own any investment or other property? No
Ages of children:
No children, can't have any.
Life insurance: with mortgage and with work.
Couple of questions, remarks:
I went through the 2014 thread explaining it's better to pay off mortgage up to 40yo, but the figure are quite different now.
My mortgage rate is 2.45, far from the 5% used as example.
I think we can manage to save enough to pay off the mortgage in full by the end of the 5 years, maybe even earlier if there is still 0 breakage fee.
Should we do that or should I start putting more in my pension and keep the mortgage longer seeing the rate is half what was used in the 2014 thread?
Another point I'm not sure about:
I can put up to 20% in my pension, but realistically only 14-15% are in the 40% tax bracket, so if I were to increase my pension, should I Max it at 20 or at whatever is in the 40% bracket?
Age:. 30
Spouse’s/Partner's age: 30
Annual gross income from employment or profession: 40,000
Annual gross income of spouse: 35,000
Monthly take-home pay: 2500 + 2300
Type of employment: e.g. Civil Servant, self-employed: private sector
In general are you:
(a) spending more than you earn, or
(b) saving?
B - savings
Rough estimate of value of home: 140,000
Amount outstanding on your mortgage: 95,000
What interest rate are you paying?
2.45% with aib, fixed for 5 years.
We started in February at 3.15% fixed for 7 years, then I read here we might not pay fee to break, so last month I asked aib, indeed, no fee, and they send a list of their new mortgages, so we went for the 2.45%.
Other borrowings – car loans/personal loans etc:
No
Do you pay off your full credit card balance each month?
No credit cards
Savings and investments:
5000€ in savings (we overpaid 5000 when we went from 3.15 to 2.45 last month)
Do you have a pension scheme?
Yes, I put 5%, company 2%
Do you own any investment or other property? No
Ages of children:
No children, can't have any.
Life insurance: with mortgage and with work.
Couple of questions, remarks:
I went through the 2014 thread explaining it's better to pay off mortgage up to 40yo, but the figure are quite different now.
My mortgage rate is 2.45, far from the 5% used as example.
I think we can manage to save enough to pay off the mortgage in full by the end of the 5 years, maybe even earlier if there is still 0 breakage fee.
Should we do that or should I start putting more in my pension and keep the mortgage longer seeing the rate is half what was used in the 2014 thread?
Another point I'm not sure about:
I can put up to 20% in my pension, but realistically only 14-15% are in the 40% tax bracket, so if I were to increase my pension, should I Max it at 20 or at whatever is in the 40% bracket?
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