If you could go back in time, what would you do differently?

Thrugelmir

Oliver1191 wrote: »

It seems to me as though the general advice is: for the most part, focus on building a large pension between 35 - 45. Avoid mortgage overpayments while interest rates are low until 45 / 50.

From 45, focus on building ISA more and use this to help retire early / make lump sums to clear mortgage in your 50s.

If you've a secure job / career path. Then it's possible to plan long term. Many people are unable to. As lack of job security / employment can blow the plans out of the water. I lost my job for life at the end of October 1999. Life is full of uncertainties.

Terron

I lost £25k on my first home which I bought in 1989, but I needed to move for my best ever job so I don't regret it, except that it put mu off investing in propertyfor too long.

I put some money in the AVCs for the DB pension for that job, but that was a mistake - they were until recently held as cash.

I mostly paid down my mortgage. That allowed me to ignore all those warninging about the endowments. and stopped me worrying about going into negative equity again. So I don't regret that.

RuleTheWorld

I am only 33 and would say it is a regret I never thought of AVC's before age 31.

Was as simple as new employer asking what are you going to put in as opposed to previous employer who'd never put it like that

Fermion

What were your successes? What were your mistakes?

How did you make yourself financially secure? What concerns do you now have?

Biggest mistakes, investing in both Friendly Society/Insurance with profits savings plans for the whole family, the returns were very poor. Also failing to cash-in very sizable Employee and Executive Share Options around the millennium for fear of a sizable Capital Gains Tax bill. This was just before the Tech Crash. My options were worthless 2 years later. The phrase "a bird in the hand...." springs to mind.

Best decisions, investing very heavily in my SIPP and S&S ISA with HL for the last 10 years before retirement. Also NOT buying a property abroad.

chiefie

Mistakes - was gazumped on first house bought and by the time I bought I paid 60% more just 18 months later. I wish I had bopped the seller on the nose (metaphorically of course) we were one week away from exchanging and she wanted 20% more and we couldn!!!8217;t get an increase in the mortgage offer. I wish I had found some way to borrow it back then.

Successes - not taking the Britannia building society mortgage as they would only do endowments. I ended up going to Barclays as they would do me a repayment - even back in the 80s I didn!!!8217;t see the point of taking the risk just so someone else could ge5 a commission.

Paying off the mortgage - I know I know but for someone who had never known low interest rates it was a psychological no brained.

Working for employers that had dB pensions. When I moved jobs I took the whole package into consideration not just the top line. But I couldn!!!8217;t have predicted how absolutely vital a move this was back then.

Having an amicable divorce settlement with my first wife. We celebrated the decree with a Chinese and a division of assets without solicitors. Praise the lord for that and thank you to her.

Having lots of kids - costing a fortune but you get back far far more than monetary returns.

Nullboris

Regrets : being about 40 , and NOT taking a job that was offering 10% pension contributions, (60 now)
Not taking said job as standard 9-5 employment, rather than staying as freelance.
Endowment mortgage (even with compensation, I'm sure I would have been in a much better position with a repayment mortgage)
Not paying as much or as early into pensions (no1 , no brainer)
Good decision buying a flat
having some nice holidays
opening many building society accounts when they were giving away hundreds of pounds (good ole days)

scottiescott

Successes - paying off mortgage at 53, paying AVC's for 28 years and thus retiring at 56 on a final salary pension.


Mistake - not retiring at 55

lildoonbuggy

Just wanted to jump on and say thank you to all who have shared and also the Q. Super helpful and insightful reflections, and makes for a really nice, positive thread for a change!

bluenose1

Je ne regrette rein. Well I do actually but on the whole pretty happy with what we have done, admittedly more by luck than planning.
Wish I had realised years ago the tax and NI savings to be had by increasing pension conts.
52 in a couple of months and in the last year have massively increased pension contributions. Hoping that this will give me the option to consider retiring at 55+. I have a couple of other DB pensions that will start when 60.
Rather than 'mindless' spending I am trying 'mindful' spending. Really considering should I save rather than buy materialistic things I don't really need eg how often does my phone really need upgrading. Have cut my expenditure by at least half.
If I have any regrets was that we should have moved to a nicer area years ago and I should have spent less on holidays/stuff and started paying a lot more into pension years ago.

Oliver1191

Successes - paying off mortgage at 53, paying AVC's for 28 years and thus retiring at 56 on a final salary pension.

This appears to be a common theme. Although the suggestions have generally been to focus on pensions up to the age of about 45, there is a general view that housing should be paid off by 50...55 at the latest.

This is partly due to job insecurity from 55. The view seems to be get the best house you can as soon as possible. But pay off just enough so that the mortgage clears at a descent age. Then you have ypur pension lump sum as a back-up should you be financially off track.