Changing digs and coming out of my cave... for a wee while atleast :)

Karmacat

elantan wrote: »

dont get me wrong I am very happy here and i have a long way to go till we are mortgage free ... but for example i am finding that my concentration is naturally moving on from the mortgage as thats now kinda under control ... so do wonder if this is the right place for my ramblings

As GG said, yes it is

Hello El :kisses3::kisses3::kisses3:

Like Goldiegirl, GG, Tilly, Ed and Kc ( and I have no doubt many more) plans are evolving, moving forward into a new direction.

I love that FIRE acronym I'm sure there are others who're moving in this direction too - I bet a lot of the Not Buying It In 2015 folks are too, but just haven't come across the concept yet, is all.

I have till July 2019 till my 100 month challenge is complete and i am really stunned about how things have moved forward, life has changed beyond belief, I have a feeling when the 100 months are completed I may find myself printing off parts of my journey and keeping them as reminders of how far I have travelled and I still have a long long way to go

Printing some stuff off is a great idea - I've copied out a few fave posts, I must say, but I don't think I'd print anything - I'm desperate to avoid more paper in the house

Can you summarise the 100 month challenge, El? I'm not sure I remember it properly.

Good to see you on here too :j:j:j

edinburgher

Anyone else find themselves asking these questions?

All the time

gallygirl

Anyone else find themselves asking these questions?

edinburgher wrote: »

All the time

And again . Bit worrying as I'm about to take the leap :rotfl:.

elantan

Karmacat wrote: »

As GG said, yes it is

Hello El :kisses3::kisses3::kisses3:


I love that FIRE acronym I'm sure there are others who're moving in this direction too - I bet a lot of the Not Buying It In 2015 folks are too, but just haven't come across the concept yet, is all.


Printing some stuff off is a great idea - I've copied out a few fave posts, I must say, but I don't think I'd print anything - I'm desperate to avoid more paper in the house

Can you summarise the 100 month challenge, El? I'm not sure I remember it properly.

Good to see you on here too :j:j:j

The F.I.R.E acronym is an old one KC I just nicked it lol.... The original idea for my 100 month challenge came from a MFW thread i think someone had decided on 100 months to clear their mortgage, I was at that time still an active member of DFW and whilst paying off our debt i was noticing we just got straight back into debt as we didnt have any savings, so I decided not only was i going to clear the debt but also have some savings by the time my 100 month challenge had finished.

We are on top of the debt and the mortgage now, yes we still have a long way to go but we are getting there and i believe it will be cleared by the time our challenge is complete ( something I dreamed of at first, Hopeful it would happen but more hopeful than realistically expectant)

I have found as like most challenges once started it begins to evolve, as i said previously I always wanted a pension and to retire early, but i have been reading Early retirement extreme, Mr moneys moustache and F.I.R.E etc and I have been wondering where do I want to be in future.

I am enjoying the dark tax challenge and have found I am actively trying to think of other ways to go dark tax or rebate tax etc .... Next year should hit that challenge up a step of two ( due to work situation)

Hope that helps ?

elantan

edinburgher wrote: »

All the time

I imagine there are a few of us tbh

gallygirl wrote: »

And again . Bit worrying as I'm about to take the leap :rotfl:.

I know ... so happy for you ... Looking forward to taking the leap myself in 18 years or so lol

Karmacat

It does help, thanks El :j

I'm trying to quote, but the website isn't playing ball at the moment, tsk. I love that you've kept the 100 month challenge as relevant to your own life, it sounds a really good idea. Its just over 8 years _pale_ so I think I'll stick with my countdown in weeks to my retirement :rotfl: I don't think I'll be able to fully retire, some online work will still be needed, but I definitely want to stop the counselling and therapy work by then. This is week 88, I think - 87 to go

elantan

Thats great Kc it will soon fly in

I was just sitting down working out where we were financially at the start of this challenge compared to where we are now

At the start we owed £60k with £0 savings ( that i can remember anyway) and a small pensions ( approx £15k)

Just now we still owe a fair bit £40k ... but we have in that time went on holiday to Florida, West coast of American, Turkey, Tenerife, London and i am sure there are a few more holidays ... we have also bought a car £12.5k and the fires etc £14k ( roughly but not exact... £2.5k for each fire, £5k fitting, chainsaws etc etc etc) so yes we could be better ( and i think we have bought all we plan on buying) savings we are up to £6k wooo hoooo ... pensions £40k I came to understand that if the worst was to happen then our savings could be used against us but pensions couldn't, and with pensions we get the 25% back from the Government as well, as well as we make more putting money into there than saving paying into our mortgage.

Sounds kinda confusing but like everyone else's story its complicated trying to understand it

edinburgher

£40k pensions is a very good chunk of change

If you don't mind me asking (trying to generate some cheerful growth figures here), how many years do you have before you would like to retire?

Ps. It's 20% tax relief for basic tax payers these days.

elantan

Well i'm 42 just now and would like to retire by the time i am 60 so 18 years ... I have 3 years of uni to go through so 15 years of a decentish wage ... the plan would be by then that the mortgage will be paid so I will be saving my wage between pensions and ISA's ... Mr El get his best pension deal ( but not most amount of money) at age 60 but he will be working to 65 as it will give him higher amounts and also we can retire together ( that is ofcourse if he is still working for the same company) thankfully he has a good pension so all we really need to worry about it my retirement plans

I'm hoping by the time I come to retire I will have approx £200k in a pension ( 25% tax free taking me down to £150k) with a draw down rate of 3.5 % giving me just less than £5k a year pension ... then I also intend on having approx £200k in an ISA as well will a draw down of 3.5 % or £7k a year tax free ... giving me £12k a year in retirement till I get the state pension then taking me to £19k all of which should be tax free ...

If that makes any sense ?

edinburgher

I think your 3.5% is a little pessimistic, but it is often better to be safe than sorry and you can adjust if lots of upside benefit materialises during the period before retirement

Based on the rule of 72, your current £40k will more than double before retirement based on a reasonable estimated growth of 4%.

That said, you do need to save quite a lot to achieve your £400k target. Even subtracting the current pot/s, it's just over £1k/mth assuming a real growth rate of 4%.

Then again, that doesn't need to be £1k from you, subtract any employer contributions, which you will need to maximise.

How much/month will getting rid of the mortgage free up? I sometimes consider paying off student loans (sorry Martin), because it would free up over £100/mth in wages. Then I remember that they're less than half the price of the mortgage and I go back in my box :rotfl: