Balance in the force

FlacosFloozie

Right, slow start to the day for me but need to get my act together. Have some admin to do for work and then need to contact the mortgage broker, cleaning company and window cleaners

FlacosFloozie

Its been a busy couple of months so missing in action but catching up on the boards tonight.

I've switched focus from saving to mortgage overpayement for the last couple of months. Our 1.04% fix ends January and we're looking at moving to 5.6% then. There's a possibility it might come down a little depending on what happens with inflation over the next couple of months. 

I'm planning to pay a lump sum off at renewal and am going to shorten the term. This will mean higher repayments, but actually works our to what I've been overpaying regularly this year so still affordable. However, future overpayments will depend on me being more frugal and work bonuses.

In less scary number news, our vaccum cleaner is dying. I've ordered a replacement after checking the which report. Bought if from Curry's with a 20% discount code on the brand and 6% discount through work scheme. Saved around £72 in the end so I'm happy with that.

savingholmes

Welcome back. Make sure you keep checking the interest rates as they do vary.

FlacosFloozie

I really have been bad at updating this. My mum passed away suddenly a few weeks ago. It wasn't entirely unexpected given her dementia, but it was still a shock when it happened. It's left me feeling a bit adrift at times and I've lost a bit of enthusiasm for life at the moment. 

Christmas has been pared back on the grounds that I really can't be bothered so nephews and nieces are getting cheques instead of gifts, cards are not being sent and decorations are minimal.

My husband has been very good at supporting me, work have been very understanding and friends have been kind but I know it will take time  to get back on an even keel.

I'm trying to get back to more of a routine and restarting the diary is one step on the way.

FlacosFloozie

New post as it seemed wrong to talk about finances in the last one. I've always been good with numbers and find maths soothing. Therefore, weirdly, budgeting and sorting finances is actually a destress activity for me. Even when money was tight and I was paying off debt, I felt the same.

The upside of years on the boards and being on top of things meant that I could largely drop the reins for a few months without major consequences. There were a couple of unexpected expenses, like buying a smart coat for the funeral, but there was enough money in the emergency fund for me to just do that without thinking. Overpayments just got done automatically with what was spare at the end of the month.

The result is that I have hit my overpayment target for  the year. The total is £4638.36 with a target of £4500 and December still to go. The mortage is due to renew at the end of January and the predicted rate is 4.89%. Oddly the overpayment year resets on the first of January. I can still pay another 7k this year. We also managed to narrowly hit our bonus targets at work this year so I will get around 6K after tax paid next week. I'm going to use savings to make the 7k up and hit the full 10%. I will probably make another overpayment in January before the rate renewal. I'm not sure if i'll get a new overpayement allowance once it renews or if that will be it for the year but, with the increased interest rate, I think it makes sense to clear a chunk and build the emergency savings back up.

With switching the focus to the mortgage , I won't make my full savings target of £18500 this year. I'm currently a little under 15k and will probably add another 1.5k to that. This is mostly pension contributions. We get our pay rise in January so I'm going to increase pension contributions from February once the mortgage is sorted and make up the shortfall next year. I'm very aware that I do want to retire before state pension age. I also know that there is a good chance I will also develop dementia and need care. I really want to make sure that my husband has sufficient income to be comfortable on his own when that happens. He tends to shy away from those types of discussion but it needs to happen.

LadyWithAPlan

So sorry to hear about your mum and glad you have a strong support network around you.

Well done on the OP's - I am with you on the destress of money when one is in control of it, rather than it being in control of you

savingholmes

My condolences on the loss of your mum.

The Alz... society says it doesn't necessarily run in families so while I think we all fear it - there's no reason why you would definitely get it.

You have done extremely well on your financial goals in difficult circumstances. You mentioned your mortgage anniversary date - have you applied to shift on to their new rate or what's happening there?

Merlin's_Beard

Sorry for the loss of your mum. Even when these things are inevitable and expected the gaps it leaves in our lives can still take a lot of adjusting to.

It seems perfectly understandable to find controlling the controllables reassuring when the rest of life is so unpredictable.

Well done on the savings and the mortgage OPs - I would be fairly unbothered about not hitting the savings target if it's going to the mortgage instead because that's just another type of saving that goes into being financially free. 

Fortune_Smiles

So sorry to hear your news @FlacosFloozie.

Fortune x

FlacosFloozie

Thank you all for your kind words- they are much appreciated.

Unexpected break for me as I tested positive for covid this morning. I'm doing okay but a little worried as we had Dad over on Sunday. So far he's fine and fortunately, he and Mr F had vaccines recently so should have good immunity.

The plan for the mortgage is to make maximum overpayment this yearonce December's bonus comes through. Then at the start of January make another overpayment. I don't think I'll do the full 10% as that would leave the emergency fund a little lower than I feel comfortable with but financially it doesn't make sense to have too much sat in cash when the interest rate rises. Once that's done I'll get the new fix with current company as I can do that online so will be pretty instant and with no fees they pretty much match the best quoted rates. I could change provider but would save about £60/year so not really worth it for the stress.