What would people's thoughts be on my spouse semi-retiring early (10 hours a week) and joining me in my business consulting company, at the moment our spending is around €60k/year but they are nervous about the idea. T
Just two little things to point out.Thanks for the replies,
@boomshine I would see the benefits as being able to move away from a 9-5/6 and have some flexibility there. Thanks for asking, yes I have it split across several banks
@Zion2022
1. Yes you are correct, thank you. I did more looking and it's been closer to €20-25k/month, not sure where I got those figures from. I've edited my original post.
2. My view there is that I would prefer to have the freedom of using this income before I am 50, rather than being tied away in a pension. I know I am foregoing the 20% tax relief up to €115k and tax free gains there, but I think this offers me more freedom/options going forward, say if my business collapsed.
3. A large portion of that cash has come from a recent property sale and I thought this was a clever move while we thinking about the best route forward. I agree that if we decide not to use this money I should move more to equities at a minimum.
Thanks again for the replies.
Just two little things to point out.
Pension tax relief is 40%
You mention being self employed, but also mention your consulting company. Are you a sole trader, or a proprietary director of a limited company?
On 2. You’ll get 40% relief and given your income level you could fund your pension to an extremely healthy level with it having almost no impact on your ability to accumulate wealth outside your pension also (you also already have a €840k safety net plus a paid off home!).Thanks for the replies,
@boomshine I would see the benefits as being able to move away from a 9-5/6 and have some flexibility there. Thanks for asking, yes I have it split across several banks
@Zion2022
1. Yes you are correct, thank you. I did more looking and it's been closer to €20-25k/month, not sure where I got those figures from. I've edited my original post.
2. My view there is that I would prefer to have the freedom of using this income before I am 50, rather than being tied away in a pension. I know I am foregoing the 20% tax relief up to €115k and tax free gains there, but I think this offers me more freedom/options going forward, say if my business collapsed.
3. A large portion of that cash has come from a recent property sale and I thought this was a clever move while we thinking about the best route forward. I agree that if we decide not to use this money I should move more to equities at a minimum.
Thanks again for the replies.
Don’t think anyone said €28kpm gross. €28k pm net.How is 650 gross PA = 28k per month gross?
loud and clearDon’t think anyone said €28kpm gross. €28k pm net.
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