Trying to get the balance right…

So after many years of debt, then a few years of no debt but spending like there’s no tomorrow, my husband and I have decided to crack on with really planning for the future.  We know what we want but just need a plan to achieve it. 

However we don’t want to save everything at the expenses of living now.  We need to maintain a balance. 

I’ve been lurking and reading people’s diaries and they’re so inspirational.  
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  • elantan
    elantan Posts: 21,018
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    It's the balance that's vital and yet (for me) hard to get right, but I'm a work in progress and will get there eventually ... 

    Good luck on your journey 
  • beanielou
    beanielou Posts: 89,337
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    Balance is always good :smiley:
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  • savingholmes
    savingholmes Posts: 26,851
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    Good luck on your journey.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26% (lower post move compensated by EF)
    2) Mortgage neutral by June 2030 AVC £7,613/£127,466 AVC target 5.97%
    3) FI Age 60 annual income target £12,500/30,000 41.66%
    Achievements: CC free since April 22. 1 year EF from Jan 24 & dedicated pot for home improvements
  • Moralpanic
    Moralpanic Posts: 45
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    Thanks for the welcome everyone. 

    So a bit of background…
    husband and I are both 50 next year, we have 2DC.  One has left home and is financially independent, the other has just finished GCSEs and is planning on university in two years time.  DH works full time and I work part time and study part time.  

    *Mortgage*
    We have a mortgage of just over £103000, at 2.99% fixed until April 2024. We can overpay up to 10%. We have just over 9 years on that left to pay.  Based on recent sales, our house is probably worth £400-425k. 

    *Savings*
    We have £6k in ISA and some money put aside for a new bathroom.  

    *pensions*
    Foolishly we have neglected this somewhat over the years but are both paying into pensions now.  

    *debt*
    Only the mortgage now.  At one point we owed over £50k on credit cards and loans so I feel that everything we do is a big achievement! 

    We do have plan going forward so I will post that later.  


  • savingholmes
    savingholmes Posts: 26,851
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    Nice to think you own 75% of your home. 

    Well done on clearing £50K of debt.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26% (lower post move compensated by EF)
    2) Mortgage neutral by June 2030 AVC £7,613/£127,466 AVC target 5.97%
    3) FI Age 60 annual income target £12,500/30,000 41.66%
    Achievements: CC free since April 22. 1 year EF from Jan 24 & dedicated pot for home improvements
  • Moralpanic
    Moralpanic Posts: 45
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    Nice to think you own 75% of your home. 

    Well done on clearing £50K of debt.
    Thank you.  

    The 75% of equity gives me so much reassurance that if anything happens to our income we can downsize.  
  • Moralpanic
    Moralpanic Posts: 45
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    I’m really happy that I’m getting the best deal for all our outgoings. I’ve been making sure of that since we were in debt. 

    Once our bills and regular outgoings are accounted for we are lucky enough to have £1950 left. 

    Plan each month is:

    £500 to savings.  We have some shares and an ISA but nothing which is easily accessible.  I’d like £10K here.  

    £100 to mortgage overpayment.  Once I get the savings to £10K I will put the £500 to the mortgage. 

    £750 to my pension.   I didn’t pay anything for years and time is ticking.  

    £200 personal spends each to me and my husband, and £200 to miscellaneous family stuff such as days out.  Our personal spends will cover clothes and haircuts etc.  

    We’ve decided we’ll review it in a few months, as well as the budgets we’ve set for food/petrol etc.  

    It might not be the way others would do it  but we wanted to make sure that we didn’t leave ourselves short for the things we want like weekends away.  


  • This sounds like a good balance, it is important to feel you are still living now. Money stuff sounds well managed, incredible work to get rid of 50k debt and pay the mortgage down so well! Amazing!
  • I agree that you still have to be able to love and we certainly love our wee holidays and I still am plugging away paying down our mortgage and also continue to put money in our savings. Good luck
  • savingholmes
    savingholmes Posts: 26,851
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    Given you have no CCs and a healthy surplus each month - your spending / savings balance looks great. Lovely position to be in but I'm sure you both work for it.
    Achieve FIRE/Mortgage Neutrality by mid 2030
    1) MFW Nov 21 £201,999 with 237 payments to go - now £184,341 Equity 26.26% (lower post move compensated by EF)
    2) Mortgage neutral by June 2030 AVC £7,613/£127,466 AVC target 5.97%
    3) FI Age 60 annual income target £12,500/30,000 41.66%
    Achievements: CC free since April 22. 1 year EF from Jan 24 & dedicated pot for home improvements
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