Mortgage free in 4 years

South_coast

Sensiblesaver said:

Things are happening quite quickly and I found 2 jobs, one for 3 days and 1 day at another place which will be good I think as if I don't like one place I have the other as back up.

Nicely done 👍! Hope your last day goes well, and the plans for your month off sound great

beanielou

Enjoy your break. 

Sensiblesaver

Thank you both for the messages. Last day went well and I got so many flowers that it was a struggle to bring them home on the tube/train. I ended up crying as I was feeling emotional. Everyone came to say goodbye to me apart from the toxic one lol, she also didn't sign my card, I am actually glad. 

I feel an enormous sense of relief and very excited for the next steps. Just went for a 5k run and will take the dog for a walk now. We have some friends coming over tomorrow for a bbq so will need to tidy up the house as well.

LadyWithAPlan

Well done on making such a big move 

the ltd company is indeed a much better tax way though gives you more responsibilities and you have to file thru an acct annually 

you don’t need anyway though to help set on up just go into companies house and find an original name / far more mse - the companies house set up is easy 
I suggest you state 100 shares and £1 each in the setup and I assume you are the only director 

you can start tracking your expenses from the go and you can claim back up to 6 month for vat (if you are going vatable) or up to 3 years for company set up expenses 

using something like quickbooks or zero is easy (pay it direct for yourself  as the acctant can be given online access at the end of the year 
you can wait to set up your paye as as one off payment of £9096 at the end of tax year so month 12 in March 26  

Sensiblesaver

Thank you for your comments LWAP. I have already found a company name and I just have a few questions to the accountant, but thanks for the tips. I want to start off already with a ltd company as if I don't like the jobs I might consider setting up my own business, lots of ideas, my head keeps spinning lol

Sensiblesaver

Wow, my time off is going quickly. I have been enjoying very much having this break, especially with such a gorgeous weather. I joined the gym and have been to lots of classes, went to the sauna as well. I have tidied up the house and I feel a lot better with less clutter. My Ltd has been set up, I did use the accountant at the end as it was easier and he was very helpful.

I have taken the dog out for a lot of walks and spent a lot of time in the garden. I also started organising my birthday , we will have about 10 people around, hopefully the weather will remain nice.

I also started on HRT, but it's too early to notice any difference I think. 

Even though the OP were meant to be paused I ended up making £580 OP as I received my final salary on Monday and it was more than I expected. I also have 3.5k earmarked for the mortgage but it is sitting on my ISA at the moment, just in case I need the cash. Mortgage balance now -£183,900 and end date Aug 38. I will send some more OP once I get some interest paid.

Sensiblesaver

I haven't been back for a while as was feeling a bit demotivated with the drop in income. My time off was lovely and I started work just after my birthday which was nice.

My June pay wasn't very much so not much OPs and I just left the money in my business account and used my savings to pay the monthly bills. Work is starting to pick up and my July pay will be better so I will be making some OP in July, I also need to start adding to my pension again as I paused everything due to uncertain times. I am working in 2 places and it's nice for the variety, I am enjoying both places but it's still a bit slow which is normal until I build my clientele back. Although it was quiet I still managed to make enough to pay myself in July including a £500 OP and adding £500 to a pension (and leaving money for the tax), so can't complaint. 

I am enrolled on a course for a new skill and this has been taking a lot of my time. DS finished his GCSEs and is now off for a long time. I feel a bit guilty as we are not going anywhere, but I just changed jobs and had a month off so can't really go away now. He seems to be ok and doesn't really mind. 

Total OP in May was £682.79
Total OP in June was £180.23
Mortgage current balance -£182,790

To motivate myself as I was not overpaying much I started focusing on being mortgage neutral. At the moment I need to save/invest  £70,513 to become mortgage neutral, so getting there

Sensiblesaver

My end of mortgage year is Monday and my total OPs for the year was £12,095.82. I did not manage the full 10% but it was still a good amount. My goal is to pay the full 10% next year which will be approx 18k, but that will depend on work. 

Sensiblesaver

Got paid today from one job, the other one pays around the 15th but I won't touch it, I'll leave it there for tax savings. Just sat down and worked my budget for July and sent an OP of £614 which is more than the interest for the month. I'm still waiting for my debit card for my business account to arrive so I can add money to my SIIP as well.

The total OP allowance for the year is £18,275.80
OP to date £614
Current mortgage balance -£181,260

Amount outstanding to become mortgage neutral £68,293.

I have 3 years left for my original target of becoming mortgage free by July 28, I need to step up my gear. I think I'll go back to working 5 days in the winter and all the money I make on the extra day (Minus tax) to go to the mortgage, something to consider.

Sensiblesaver

Finally managed to add money to my SIIP after a couple of months break. £800 added to the SIIP

Also got my account details for N@tionw, I hadn't used this acc for years and didn't realize I still had it until I got a text saying they gave me £50 as thank you. Well, money unexpected, so had to go into branch to get a new card and acc details. Today I managed to access the acc and the £50 is there. I decided I will use this as my spending money. I also got some interest paid of £29.33, so I round it up and made an OP of £80. Mortgage balance is now -£181,180. 

Now off to the garden to have lunch as it's a nice day, will do some studying and exercise later. I went to a walk with DS and dog, and even though DS hates walks it was quite enjoyable as we had a change to chat during the walk.