I'm overpaying a large lumpsum - how to then fairly split the remaining mortgage between me & hubby?

MaterialGirl*

Why don’t you open a S&S Isa instead of overpaying? You may make more money than overpaying the mortgage and won’t have to work out a complicated share on the mortgage.

mustiuc

I am absolutely speechless.
Justva curiosity, if something happens to your "hubby" and he needs urgent care/funds, are you let him to suffer/die or offer him a loan to be paid back once he's better?
PS. Actually he might sell all his bikes and guitars if he's in trouble.
Just wow. 

MalMonroe

It just seems as if you are not expecting this relationship to last. If I loved and trusted somebody, what was mine would be theirs. No question. However, my trust was knocked sideways some years ago when my husband left home and I suddenly became a single parent. First thing he did? Applied to freeze our joint bank account. So I do find it difficult now personally. But I just feel that if there is mutual love and trust, there should be sharing. When my friend was left a large sum of money she used it to pay off the mortgage she shared with her partner. They just share and always have without even thinking about it. I do envy them, they have such a strong relationship. Not many do though. Sad.

Korkyb

Have to confess my jaw did drop a wee bit when I saw the initial post.

Both my wife & I work but we have never considered divvying up the mortgage in that way even at the beginning of the marriage / mortgage.

When I inherited enough to pay off around 30% of the mortgage it never even occurred to me that I should benefit from this situation more than she should.

When our anklebiters appeared "her indoors" reduced her working hours (& therefore her income)  so the bulk of the mortgage payments fell to me (in fact around that time they started coming out of my current account & not the joint account).

Whenever we calculate our financial situation all our accounts are added up & that is how much dosh "we" have.

Thinking about it I've clearly paid far more into the mortgage than she has so maybe I've been getting it wrong all these years.........


As for the ops question... if dividing the mortgage the way described is what works for you both then the previously suggested 81.25% : 18.75% with reduced payments to keep his monthly outgoings the same would seem to be one simple way forward.

As it is a substantial amount of money it may be worth getting an agreement drawn up (? legally) to acknowledge that if you split before the mortgage is paid off that any equity is split according to amount contributed (? would have to be a sliding scale as over the years his share of contribution will increase).

As for the potential saving on interest payments.....  really.....

As also suggested the other option is to keep the money "yours" & invest it keeping his grubby mitts well away from the cash - likely to be nowhere near as financially rewarding but keeps the situation clean.



Might be worth timing how long he spends in the shower too - if you are using less electricity than him you could be paying more than your fair share of the leccy / water bills   

kimwp

Healthy relationships depend on being able to define and respect boundaries - in all areas of the relationship. Those boundaries are agreed by those in the relationship, whether on a daily basis (who is doing the dishes after dinner) or a more formal long term basis.

I can see where you are coming from if you've agreed how much you each get personally and he has spent it on things for him, whereas you have saved it and then effectively spend it on something for both of you, but in this case the understanding is that you were saving for your financial gain elsewhere, so presumably you are somewhat blindsiding him with your increased ownership. In that case, why not increase your percentage ownership by relating the lump sum to the mortgage in terms of your percentage ownership (eg paying 20% of the mortgage increases your share by 20% if it comes to a split) and then continue paying equally to share the savings on interest and be free of the mortgage earlier as a couple?

getmore4less

The issue here is the OP is saving their OH is spending.

There is already a lack of balance.

The OP does not want that to deteriorate further in favour of their OH by reducing their mortgage payment.

Emmia

nalumansi said:

Thrugelmir said:

Hopefully you aren't heading for a divorce. As what's yours and mine isn't so straightforward. 

We're very happy! ...as long as my savings aren't intertwined with his expenditure on guitars and bikes! We have a joint account for food, bills, mortgage, etc. And then he has his spending money and I have mine, so we've taken the stress out of our opposing attitudes to money.

I'd suggest that far from taking the stress out, what you plan to do will create stress by changing the financial footing of your relationship in terms of the marital home.

If you pay part of the mortgage off, yes, you'll save interest and be mortgage free quicker. Depending on how you do it, you could also have a lower monthly payment (vs your hubby) - but spending less on the mortgage means you'll be piling the money back into your savings account anyway, unless you're also planning to reduce your income by working less...

How does your hubby feel about the plan, and altering the monthly payments?


Edit: paying off the mortgage quicker simply brings forward the day the hubby can spend even more money on his hobbies - how do you feel about that?