Any one good at maths?

Skinnylatte

Hi, I've tried all sorts of over payment calculators, but can't find one that goes far enough into the future to work this out for me. I was hoping someone here could point me in the right direction, or is really good at maths and can do it for me!


My mortgage currently stands at £98776 interest rate is 2.49% and my repayments are £607.

I can afford to pay £193 additional per month.

Question 1: If I over payed for 9 years, what would my outstanding mortgage be?

Question 2: If for 9 years I paid £193 into my pension, then took this as a tax free lump sum and paid into my mortgage what would my outstanding mortgage be?

Other info
I am a 40% tax payer and will be 60 in 9 years.
I already have a reasonable pension pot so would not exceed the 25% tax free lump sum rule.
I will assume the lowest rate of growth on my pension at 2% (although over the last 10 years I've had an average growth of 10% pa)

Thank you kindly in advance

Zero_Sum

Whats the options on getting a better mortgage rate? As 2.49% seems a bit high

Tom99

Skinnylatte wrote: »

Hi, I've tried all sorts of over payment calculators, but can't find one that goes far enough into the future to work this out for me. I was hoping someone here could point me in the right direction, or is really good at maths and can do it for me!

My mortgage currently stands at £98776 interest rate is 2.49% and my repayments are £607.

I can afford to pay £193 additional per month.

Question 1: If I over payed for 9 years, what would my outstanding mortgage be?

Question 2: If for 9 years I paid £193 into my pension, then took this as a tax free lump sum and paid into my mortgage what would my outstanding mortgage be?

Other info
I am a 40% tax payer and will be 60 in 9 years.
I already have a reasonable pension pot so would not exceed the 25% tax free lump sum rule.
I will assume the lowest rate of growth on my pension at 2% (although over the last 10 years I've had an average growth of 10% pa)
Thank you kindly in advance

Assuming your payments start in 1 mths time and the mortgage stays at 2.49%, you get 40% tax relief on the net £193pm pension payment:
Approx:
Mortgage balance paying £607 = £49,950
Mortgage balance paying +£193 = £26,650
Diff = £23,300


Pension using the £193pm end balance at 2% = £37,800 (before and tax on withdrawal)
Pension using the £193pm end balance at 4% = £41,600

getmore4less

http://www.whatsthecost.com/mortgage.aspx

Can do the mortgage calc for you.
Payment using intrest only set term to 9 years.

There is also a saving calculator that can do the pension

Tom99

getmore4less wrote: »

http://www.whatsthecost.com/mortgage.aspx
Can do the mortgage calc for you.
Payment using in test only set term to 9 years.
There is also a saving calculator that can do the pension

I don't think that calculator will help because the term is not 9yrs.

getmore4less

Tom99 wrote: »

I don't think that calculator will help because the term is not 9yrs.

Term does not matter only the payment does.

op want to know what's left in 9 years

Enter amount, rate, payment, set term to 9 years

Tom99

getmore4less wrote: »

Term does not matter only the payment does.
op want to know what's left in 9 yearsEnter amount, rate, payment, set term to 9 years

Payment seems to be the answer not a variable?
Try this one:
https://calculator.me/real-estate/mortgage-balance.php

dimbo61

It's not a 25% tax free sum you need to worry about it's going over the £ 1 million pound pension pot when you get hit with 55% tax.
You can only take 25% as a tax free lump sum.
Why not save into your pension and overpay the mortgage as well.

getmore4less

Tom99 wrote: »

Payment seems to be the answer not a variable?
Try this one:
https://calculator.me/real-estate/mortgage-balance.php

Set to interest only you can set any payment you like

I meant to say that in the first post it came out wrong on the phone fixed now.