Hi, Long time looker and was wondering if any of ye could help with my query.
Age: 50
Spouse’s/Partner's age: 47
Annual gross income from employment 36k (with overtime 40k)
Annual gross income of spouse: 12-15k very sporadic (works in private sector part time)
Monthly take-home pay: €4520 for both of us and this includes child benefit
Type of employment: Public Sector – Just started recently
In general are you:
(a) spending more than you earn, or
(b) saving? Saving not fully sure of the exact amount but saving approx. 1500 – 2k per month.
Rough estimate of value of home: 350K
Amount outstanding on your mortgage: 68k
What interest rate are you paying?: 2.99%
Other borrowings – car loans/personal loans etc: 0
Do you pay off your full credit card balance each month?: Yes
If not, what is the balance on your credit card?:
Savings 110k
Do you have a pension scheme? Yes we have 3 pensions, we are not very clued in on any of them and this is where I need help.
OH had a defined benefit pension, which on the last statement showed the pensionable pay was €13k, Lump sum gratuity was €21k, and transfer value is €36k
Basically pension will be worth €220 in todays money if this makes sense. Also OH can transfer from age 55.
I have a Zurich private pension worth 36k, Started this pension in 2000, was only contributing very small amounts towards it of 1k per annum but done an AVC of 9k in 2016 and 5k in 2017.
Am not paying into this Zurich pension anymore as now have a new Occupational pension with new job. Zurich pension has not grown very much as we had it in low risk, we since moved the pension to the following spread across Balanced Pension and Invest, SuperCAPP and 5 star 5.
Do you own any investment or other property? Yes 6 BTL’s (all are on trackers)
No 1 – Paid off – Value 100k
No 2 – 167k outstanding – Value 250k – Paying Interest only - Maturity 2028
No 3 – 118k outstanding – Value 220k – Paying capital and Int – Maturity 2029
No 4 – 132k outstanding – Value 270k – Paying capital and Int – Maturity 2032
No 5 – 145k outstanding – Value 220k – Paying capital and Int – Maturity 2032
No 6 – 97k outstanding – Value 95k – Paying capital and Int – Maturity 2032
Ages of children: Twins aged 14 and 11 yr old
Life insurance: Yes we have serious illness and death on PPR and 2 of the BTL’s.
We are about to pay 2019 tax bill which is 27k or if I contribute the max of 7k into my new occupational pension the tax bill is €28,400.
My question is should I pay into my occupational pension or not, I need to bear in mind that in 2028 I need to pay back 167k for the property that is on interest only.
Ideally we would like to own all of these properties but if we have to sell No 1 or No 6 then that is fine, but I really would like to keep the interest only one and the other 3.
All are on trackers thankfully as without that I don’t know how we would have managed !!
Also another question is if I die what happens to my Occupational Pension, does my OH inherit half of it?
Is it worth contributing to the pension or not, my new contract says that I can work until 70 but can retire at 68.
There will also be many other expenses along the way like all 3 children are going to need braces and none qualify on the HSE scheme.
Also car will need to be changed in about 2-3 yrs time and I also need to think about college around the corner in the not too distant future especially for the twins.
Any advice is welcome, we are not clued in on pensions at all and are wondering if we should be saving towards paying off property No 2 or making AVC’s towards my occupational pension.
Age: 50
Spouse’s/Partner's age: 47
Annual gross income from employment 36k (with overtime 40k)
Annual gross income of spouse: 12-15k very sporadic (works in private sector part time)
Monthly take-home pay: €4520 for both of us and this includes child benefit
Type of employment: Public Sector – Just started recently
In general are you:
(a) spending more than you earn, or
(b) saving? Saving not fully sure of the exact amount but saving approx. 1500 – 2k per month.
Rough estimate of value of home: 350K
Amount outstanding on your mortgage: 68k
What interest rate are you paying?: 2.99%
Other borrowings – car loans/personal loans etc: 0
Do you pay off your full credit card balance each month?: Yes
If not, what is the balance on your credit card?:
Savings 110k
Do you have a pension scheme? Yes we have 3 pensions, we are not very clued in on any of them and this is where I need help.
OH had a defined benefit pension, which on the last statement showed the pensionable pay was €13k, Lump sum gratuity was €21k, and transfer value is €36k
Basically pension will be worth €220 in todays money if this makes sense. Also OH can transfer from age 55.
I have a Zurich private pension worth 36k, Started this pension in 2000, was only contributing very small amounts towards it of 1k per annum but done an AVC of 9k in 2016 and 5k in 2017.
Am not paying into this Zurich pension anymore as now have a new Occupational pension with new job. Zurich pension has not grown very much as we had it in low risk, we since moved the pension to the following spread across Balanced Pension and Invest, SuperCAPP and 5 star 5.
Do you own any investment or other property? Yes 6 BTL’s (all are on trackers)
No 1 – Paid off – Value 100k
No 2 – 167k outstanding – Value 250k – Paying Interest only - Maturity 2028
No 3 – 118k outstanding – Value 220k – Paying capital and Int – Maturity 2029
No 4 – 132k outstanding – Value 270k – Paying capital and Int – Maturity 2032
No 5 – 145k outstanding – Value 220k – Paying capital and Int – Maturity 2032
No 6 – 97k outstanding – Value 95k – Paying capital and Int – Maturity 2032
Ages of children: Twins aged 14 and 11 yr old
Life insurance: Yes we have serious illness and death on PPR and 2 of the BTL’s.
We are about to pay 2019 tax bill which is 27k or if I contribute the max of 7k into my new occupational pension the tax bill is €28,400.
My question is should I pay into my occupational pension or not, I need to bear in mind that in 2028 I need to pay back 167k for the property that is on interest only.
Ideally we would like to own all of these properties but if we have to sell No 1 or No 6 then that is fine, but I really would like to keep the interest only one and the other 3.
All are on trackers thankfully as without that I don’t know how we would have managed !!
Also another question is if I die what happens to my Occupational Pension, does my OH inherit half of it?
Is it worth contributing to the pension or not, my new contract says that I can work until 70 but can retire at 68.
There will also be many other expenses along the way like all 3 children are going to need braces and none qualify on the HSE scheme.
Also car will need to be changed in about 2-3 yrs time and I also need to think about college around the corner in the not too distant future especially for the twins.
Any advice is welcome, we are not clued in on pensions at all and are wondering if we should be saving towards paying off property No 2 or making AVC’s towards my occupational pension.