Hi all,
Would appreciate some guidance on what to do as circumstances have changed recently. Details below:
Age: 36
Spouse’s/Partner's age:N/A
Annual gross income from employment or profession: Just started a new job, day rate which ends up at approx 143,000 per annum
Annual gross income of spouse: N/A
Monthly take-home pay: With no deductions approx 7200
Type of employment: Private sector via directory umbrella company (IT sector)
In general are you:
(a) spending more than you earn, or
(b) saving? Saving
Rough estimate of value of home: N/A, renting (1700 per month)
Other borrowings – car loans/personal loans etc - none
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Savings and investments: approx 120k spread across a few savings accounts, 4k in shares/ETFs
Do you have a pension scheme? 2 previous pensions schemes - approx value 60K
Do you own any investment or other property? No
Ages of children: N/A
Life insurance: None
What specific question do you have or what issues are of concern to you?
I've just moved from a permanent job into contracting via a director umbrella company with a large increase in salary but obviously losing on benefits. I only started a pension at 30 so feel that is underfunded and now is a good time to try to boost that given the tax breaks now that I can access executive pension fund. I also have a large cash reserve (partly from house sale after split with partner) but I think I would be likely to look to buy myself in next couple of years so probably best to keep in cash?
So couple of questions:
Does it make sense to keep that money in cash?
I am going from net earnings per month of approx 3800 (post deductions for pension/BIK) to 7200 (before pension contributions) so while I do plan to give myself a little more disposable cash/future savings, should I lump most of the additional income into an exec pension? Also thoughts on moving older pensions to new exec pension or leave where they are.
Anything else I should think about?
Thanks!
Would appreciate some guidance on what to do as circumstances have changed recently. Details below:
Age: 36
Spouse’s/Partner's age:N/A
Annual gross income from employment or profession: Just started a new job, day rate which ends up at approx 143,000 per annum
Annual gross income of spouse: N/A
Monthly take-home pay: With no deductions approx 7200
Type of employment: Private sector via directory umbrella company (IT sector)
In general are you:
(a) spending more than you earn, or
(b) saving? Saving
Rough estimate of value of home: N/A, renting (1700 per month)
Other borrowings – car loans/personal loans etc - none
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card?
Savings and investments: approx 120k spread across a few savings accounts, 4k in shares/ETFs
Do you have a pension scheme? 2 previous pensions schemes - approx value 60K
Do you own any investment or other property? No
Ages of children: N/A
Life insurance: None
What specific question do you have or what issues are of concern to you?
I've just moved from a permanent job into contracting via a director umbrella company with a large increase in salary but obviously losing on benefits. I only started a pension at 30 so feel that is underfunded and now is a good time to try to boost that given the tax breaks now that I can access executive pension fund. I also have a large cash reserve (partly from house sale after split with partner) but I think I would be likely to look to buy myself in next couple of years so probably best to keep in cash?
So couple of questions:
Does it make sense to keep that money in cash?
I am going from net earnings per month of approx 3800 (post deductions for pension/BIK) to 7200 (before pension contributions) so while I do plan to give myself a little more disposable cash/future savings, should I lump most of the additional income into an exec pension? Also thoughts on moving older pensions to new exec pension or leave where they are.
Anything else I should think about?
Thanks!