Overpayment advice - where to target first.

edinburgher

miss_undastood wrote: »

My pension deal is awesome. I contribute 6% and my employers contribute 20%.

I’m only paying down my large mortgage to lessen the potential liability to a level where I feel comfortable - my small mortgage I’m in no rush to pay off.

It’s all about balancing the pots and being able to live and hopefully not stretch too far whilst looking after both now and the future

Is that a defined benefit pension (career average or similar), or an actual 20% contribution to a defined contribution pension?

miss_undastood

edinburgher wrote: »

Is that a defined benefit pension (career average or similar), or an actual 20% contribution to a defined contribution pension?

Actual 20% of my salary. The scheme that finished just before I started was a final salary one which would have been awesome!

I now only work p/t but I can’t afford to move jobs as my pension is so good! If I left and rejoined my current employer I wouldn’t be able to get back into this pension scheme.

The scheme is split so there’s a 3%/3% split into one pot which is guaranteed and 3%/17% pot into investments but I can state how much risk I’m prepared to take with that.

AnotherJoe

miss_undastood wrote: »

My pension deal is awesome. I contribute 6% and my employers contribute 20%.

I’m only paying down my large mortgage to lessen the potential liability to a level where I feel comfortable - my small mortgage I’m in no rush to pay off.

It’s all about balancing the pots and being able to live and hopefully not stretch too far whilst looking after both now and the future

That is indeed utterly awesome and probably puts you in the top 1% of posters here. Are you a high rate tax payer? If so, putting £60 In a pension (could be standalone) to get £100 which you coudl use to pay off the mortgage when 55, rather than pay off £60 now, might be worth considering.
If not I'd probably focus on the mortgage since the car loans are so low rate, and once you've cleared the mortage that's one less thing to have on your agenda and most likely you will have other car loans in future anyway whereas perhaps not another mortgage?