In our fifties, do we need to re-balance?

P

publicservice1

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Age:51
Spouse’s/Partner's age:50

Annual gross income from employment or profession:65k
Annual gross income of spouse:60k

Monthly take-home pay:6800

Type of employment: Pre 95 Civil servants

In general are you:-saving-Maybe 2500 monthly.

Rough estimate of value of home 250000
Amount outstanding on your mortgage:0

Other borrowings – None

Do you pay off your full credit card balance each month?
Yes

Savings and investments:
Avcs: Me: 120k
Spouse: 160k
College fund is in aggressive Irish life Managed fund: 120k approx.
EBS 3yr product: 40k
AIB 7 day notice 100k (I know!- but dont know what else to do with it)


Do you have a pension scheme?
Yes, both Pre 95, with 31 and 30 years service

Do you own any investment or other property?
Share in family business (value of maybe 250k) which is illiquid,and will likely form part of my estate, Id imagine.

Ages of children:17,15,13

Life insurance:Yes


What specific question do you have or what issues are of concern to you :
I realise that we are very lucky, made a few good financial decisions down the years and have managed our situation reasonably well. However I have a specific concern:
Planned to retire within five years, we both have worked very hard in our fields, and hope to enjoy our retirement but will be dependent on state lump sum/pension, and of course a state backed bank guarantee.
My wife had a serious illness last year, and though now recovered, Id like to provide an early retirement option for her, if she would like to do so.

My question is:
Should we rebalance our finances in any way, to reduce our dependency on the state?
How would you go about this?
Many thanks.
 
The risk to State Savings is discussed at length in this thread and we do not need to reopen another front.

Key Post - What is the risk to State Savings?

I have copied this from another thread where two retired public servants had a substantial part of their savings in State Savings. Rather than take that thread off topic, I will start a new thread as it will affect other cases. I do not expect the Irish Exchequer to default. However, you...
askaboutmoney.com

If you believe that there is a risk, then you should diversify away from anything guaranteed by the state.

If you think that there is no risk, as seems to be the majority view, then your current plan is fine.

Overall, though you should probably move all your free investments into equities.

Brendan
 
Apologies Brendan, I missed that. Many thanks for reply.
Brendan Burgess said:
The risk to State Savings is discussed at length in this thread and we do not need to reopen another front.

Key Post - What is the risk to State Savings?

I have copied this from another thread where two retired public servants had a substantial part of their savings in State Savings. Rather than take that thread off topic, I will start a new thread as it will affect other cases. I do not expect the Irish Exchequer to default. However, you...
askaboutmoney.com

If you believe that there is a risk, then you should diversify away from anything guaranteed by the state.

If you think that there is no risk, as seems to be the majority view, then your current plan is fine.

Overall, though you should probably move all your free investments into equities.

Brendan
Click to expand...
 
Sarenco said:
Will you take cost neutral early retirement or will you live off your savings/after-tax investments until your normal retirement age?
Click to expand...
Had planned on Early retirement at 56ish ,and hopefully not need to use savings but would like a CNER option for my wife before then, depending on her health/preference..
 
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