Pay off mortgage and start having fun!

newgirly

We had a good night out last night although way to much wine . So a lazy day of a bit of housework and watching tv.

I had an interesting chat with dh today, I don't tend to do the financial lectures anymore as he just switches off! However I was trying to gauge his views on saving fir retirement , bearing in mind I have no pension (hopefully rectified soon) and has has two very small ones.

I think it makes sense to clear the mortgage and then save for retirement, in one of a few ways not necessarily a pension, maybe an isa/buy to let/ tracker fund of whatever.

Dh thinks there is no point in saving for 10 yrs or so he could have the option to retire at 60 ish , as he will be too old to do anything by then :eek: it's such a crazy thing to say I got quite cross, he feels that we will never have money whatever we do so there is not much point in trying .

It made me feel a bit sad really as I do make all the financial decisions for the family , not forcibly of course I do try and get him involved from time to time

Anyway it's made me rethink things a bit, dh works very hard and doesn't spend much on himself ever really, I think I should make sure he gets more spending money from the monthly budget. Then perhaps he won't notice if I start saving money as much as possible when the time comes

Goldiegirl

Too old to do stuff at 60?:eek:

I'm planning to have the best time of my life by then!

It's a shame that you have to make the decisions by yourself, but I'm sure he'll thank you one day, when he doesn't have to work until he drops, and finds he can still have a good life at 60!

Arkers

Hi NG, I feel your pain:rotfl:. In our house I am the one in charge of everything financial. I suppose it is a happy medium as I am no good at anything practical and leave that to my DH. Like your DH mine spends little or nothing on himself and is just not bothered. In short he trusts me to get on with it.


On occasion I have read the retirement planning forum, and they would advise that pensions take precedent over the mortgage as a pension saving automatically qualifies for a tax rebate. I suppose it is how you feel about it, I for one want to own my home so I feel the mortgage takes precedence.


I get the impression that you are going to start a pension soon; really good idea.


I just wanted to say you are not alone in sorting everything financial in your home and life .

Peonie

I agree with Goldie, I'm sure he'll thank you for saving for both of your retirements so you can enjoy your time together. I don't want to work for the rest of my days.

julliff

Newgirly

Your DHs comments have reminded me of when I was 18. A man used to come around and collect as small sum of money every week, for a 10 year saving plan.

After a couple of months I thought "what am I paying this for, I won't get the money til I'm 28! I will be so old, what on earth will I need money for at that age!" --and I cancelled it. :eek:

60 is no age at all! One of my friends at the scuba club is 64, and she has only been diving since 55. She goes all over the world diving, it is certainly keeping her young!

newgirly

Oops,I am sorry for the delay in replying to everyone who popped in and commented, it's been a busy week I realise that 60 is no age at all , and to be honest by then I hope to have more money and less responsibility plus more free time , it should be the time to get out and have some fun

Pensions are defiantly next on the list after the debts , I think waiting until the mortgage is cleared may be a mistake and I need to start earlier than than that , it's probably too late already

I think I'm going to set more side in the monthly budget for dh to spend on himself, our income has gone up since I started working again last year but I've kept the budget more or less the same. We can afford to spend a bit more I just don't want to.

If we really go for it the debts could all be cleared this year and I would love a fresh start with the mortgage next year, but as the cc's are on 0% anyway (£8600 until July 2015 and £4700 until june2016) I could spread those out over their remaining interest free terms, and pay some extra off the mortgage , plus still allow a bit more spending money for us in the budget.

The main issue is the loan we have as its on 6.4 % , although hopefully that may be cleared soon with some money coming from a family foreign property sale on dh's side , at least it might be enough to clear he bulk of it (£11700) fingers crossed !

Not much to report except a few minor issues lately with dh about us having a lack of money, work is manic and he is having to work weekends again at the moment, unpaid of course - one of the privileges of being in charge!

Hopefully back later on to have a catch up with everyone

Peonie

Ooh, is it time for a new plan? I like reading peoples plans.

Are you going to start saving for retirement now or wait until you are mortgage free? I would definitely pay off the loan due to the interest rate but put money aside to clear the CC debts when the 0% ends.

newgirly

Hi peonie

I love a good plan, it's just the sticking to it that I struggle with

Today's plan is :

Instead of trying to clear the whole outstanding bal's on the cards and loan this year:

Try and clear the loan (hopefully with money coming to us soon)

Pay off the o/s cards over the same term as their interest free periods, 14 & 26 months.

(Mortgage still IO) op the mortgage by £500 pm , rising when the cards are cleared by the same amount (eventually£707 +£500)

This should end the mortgage 2 years after the term finishes in april 2024 (instead of april 2022) to finish the term on time we need to find an extra £250 pm on top, the outstanding bal would be £34,700 otherwise, so obviously we may need to extend the term , there is currently 8 years left and £146k os.

The new plan allows an extra £50 pm in the budget for dh to spend on himself and about another £300 surplus to be saved/put in to work pension for me/ saved for holidays /treats etc.

Peonie

I've not run MF date scenarios for a long time as our plans seem to change so often.

newgirly

I was a bit naughty yesterday and went shopping and bought myself a few summer clothes in primarni also ordered ds1 new trainers after seeing martins email about a 30% sale and further 20% discount he got some £95 Nike air for £53 and ds is also paying towards them from pocket money, my lot don't do designer stuff usually so I think its the most that has ever been spent on shoes in this house

Also went to £1 land and got some toot for the garden, we are having a big World Cup BBQ party in a few weeks , so I got some flags and some solar colour changing lights.

Dh is at work again this weekend, I might go in and clean up at tomorrow as we have some judges visiting next week , dh has been short listed as " business man of the year" for the London borough where we are based, which is quite nice as we have only been there since last November.