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is this a good plan
jamels2
Posts: 437 Forumite
my plan is in two parts
1. i plan to pay off my mortgage (property worth 220k, 120k mortgage left)
2. i want to put the same amount into vanguard lifestrategy
at the end of the day (when I retire) I will have my house paid for and a decent income from the vanguard funds
does this sound sensible?
1. i plan to pay off my mortgage (property worth 220k, 120k mortgage left)
2. i want to put the same amount into vanguard lifestrategy
at the end of the day (when I retire) I will have my house paid for and a decent income from the vanguard funds
does this sound sensible?
0
Comments
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It's a very short plan. Pension wrapper?0
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If you have the cash, and can suffer a little risk, it's better than a building society savings account.0
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What is the interest % on the mortgage?
What VLS product do you have in mind?
How old are you, are you married, what does your wife do. When do you want to retire,what is your attitude to risk etc etc etc etc0 -
Mortgage is at 2.69%. I owe 120k.
I was considering VLS80 or maybe VWRL or VTSAX and keeping some cash reserve.
As I can only pay 10% a year for the next 3 years on the mortgage (im out of the deal in 2024), should I start saving the 10%'s in fixed/notice savings accounts ready to pay off the 10% as soon as I can.
Or should I instead start paying into vanguard funds, or maybe a bit of both?
I am currently opted out of a pension scheme, I have 10k from an old one.0 -
Why are you opted out of the pension scheme? Usually free money from the employer and a more tax efficient investment wrapper than an ISA.
Are you under 40? If so also consider a S&S Lifetime ISA for a 25% bonus on contributions for withdrawal from age 60 onwards.
Alex0 -
at the end of the day (when I retire) I will have my house paid for and a decent income from the vanguard fundsI am currently opted out of a pension scheme, I have 10k from an old one
Those two statements are odd. You want a decent income when you retire yet have opted out of your current pension scheme. Which almost certainly means you have given up free money from your employer and may well be paying more tax than you need to.0
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