Get a grip woman!

Suffolk_lass

Here we go, with stock market investments still falling, it might be time to buy low and wait... If only we had the money aside to do this. Nevertheless, we won't be selling any shares and we will hold on for dividends

DEBTS
Mortgage [STRIKE]£110,621[/STRIKE] £61,190.17 (£49,430.93 paid so far)
[STRIKE]Barclays 0% Finance for double glazing £8,755.54[/STRIKE] £0 (all paid off) :T
[STRIKE]DH's car - paid off on 21st Aug 17 £3,476 £0 (£3,476)[/STRIKE] all finished!

Total [STRIKE]£122,852.54[/STRIKE] £61,190.17 - that is £61,662.37 or 50.19% paid off so far.


SAVINGS
£10,102.56 Emergency pot
£12,281.13 S&S ISA with Fidelity International (original £10,000 some years ago, no further capital added)
£8,603.70 DH's S&S ISA (with Charles Stanley Direct]
[STRIKE]£3,155.32 2 year Bond with Skipton BS @ 4% Finished 31 Jan 2018 - This was used to reduce the mortgage![/STRIKE] all finished
£11,727.25 - 7 year bond with Skipton BS - matures Oct 20
[STRIKE]£38,630.43[/STRIKE] £42,714.64 Total actual cashable savings and just 10.57% better than when I started (but the debts are reducing and this is our priority)

Shortfall -£18,475.53 (against debts)

As you will know by now, I hate paying interest and so we will continue to pay down as fast as we can, while living our lives. Our daily interest rate is back to just over £2 a day now - all on the mortgage

Only 2 more pay cheques for me as the impending retirement date looms ever closer. I received my pension quote and after much deliberation I have elected to boost my tax free lump sum by a certain amount.

We think in these uncertain times, we would like to accelerate the clearance of the mortgage so I am going to knock off a lump in February, when I receive my tax free pension lump sum. This will allow us to use the remaining months that DH is working to continue our monthly DD overpayment at the current level of £500 and then when he retires, his lump sum will pay off most of the balance.

The rationale is two-fold. Our investments are falling - I just logged in and quite literally saw something go red and another £40 disappear as the markets opened. This use of my cash lump sum to pay down the mortgage means we can hold on for markets to recover, and pay the rest off next Autumn when DH finishes work, using his lump sum to finish it.

I said two-fold - The other thing is that bit of me that falls into the cheating death camp - if I maximise my income, fate will shorten my life. By taking an increase to my lump sum and reducing my income, I have the extra cash but if I live 12 years more I start to lose out. Hopefully it will be the latter as I have lots of plans and would willingly pay a bit to live longer. I know it is mad. What can I say? :o

Karmacat

Suffolk Lass! I can kind of understand what you mean (I think, anyway - if I've got the wrong end of the stick, ignore this whole post!) and the willingness to take a potential hit - you know its superstition, but it feels too unsettling not to follow it. I sympathise! The thing is, it's calculated too, which makes it okay. You know it's not the logical way of doing things: logic assumes you'll live to average lifespan. But plenty of people don't, I'm afraid. And the times really are uncertain - if this gives you the peace of mind to enjoy your new retirement, and the mental and physical energy to pursue new opportunities, both financial and not, then go for it.

Busy_Mee1

We have been working through the same decision making process. Mr Mee retires in less than 12 months and we have also decided to take more of his CSP as a tax free lump sum. This is because we recognise that we need more accessible funds in the early part of our retirement whilst we are well enough to travel and do everything we want to. We will still have SRP to come in 7 and 14 years respectively, a house to downsize and inheritance. I worked out that we would have to live 15 years before we would have "lost"on that decision financially but hopefully we will "win" by having to funds to live life as we want in our early retirement.

Karmacat

My post of this morning sounds incredibly down and bleurgh. Didn't mean it that way! Sorry! I meant, go for what gives you peace of mind. When peace of mind is involved, the maths stop mattering to a large extent, even though you *have* a rationale. Go for it

Suffolk_lass

I didn't read it like that. I just thought yes, it is superstition but there you go.

And good to see you back Busy Mee1 - I have missed your posts

enthusiasticsaver

I understand your rationale and would agree. You need more funds in the early stages of your retirement while you are fit and active. One of my friends husband is in hospital after suffering a mini stroke and he is only a few years older than me and my DH so it is a reminder life is short. Make the best of it.

Our investments are also falling but we won't sell. Can't afford to buy either sadly but not being forced to sell is a plus. That shortfall is getting lower.

Suffolk_lass

We went out with DH's works department last night, including the former head of department who retired a year earlier than he originally planned - I chatted through my thinking with him - all pretty simple.

Market volatility will definitely continue for next few weeks. I hope people are not invested in too much retail - it sounds terrible. Where we have shares we have been looking at much manufacturing and infrastructure but it is all connected. The climate conference influences mining and oils, online shopping impacts on retailers, Brexit is influencing service industries, building and transport, and so it goes on!

enthusiasticsaver

We don't have individual shares, just funds which are spread geographically and sector wise and heavy in bonds to keep volatility down. Anyone who is heavily invested in UK may want to reduce exposure on service side, financials and housebuilding although the Brexit effect may already be priced in. Selling at a loss is the worst thing to do though.

Suffolk_lass

Today is all about lists of stuff to do.

1. Got to write the post-box Christmas Cards
2. Prepare one-pot for next Friday (at least buy the ingredients)
3. Look for the small amount of Christmas chocolates and maybe buy
4. Put up tree and decorate
5. Re-do outside lights (at least the faulty ones were identified before Xmas!)
6. Run the bar at lunch time
7. Cook roast pork and all the bits
8. Make a pannetone trifle (I know, not on our diet...)
9. Empty the recently rat-inhabited roof space and decontaminate the contents (might slip to next week)
10. Spend some time with DS
11. Wrap SS parcel
12. Start next week's shopping list - and check MySM
13. Attend Carol Service (take lesson reading)
14. Change our bedding and washing
15. And breathe

Karmacat

I'm glad you've got breathing space in there, but thats a *lot* to do! Good luck!