Time or Money or Happiness - What is your choice

theoretica

For me, I think happiness is the guiding point. I found a job that is enjoyable much of the time - would leaving it lead to more happiness? Leave without enough finances in place would not lead to happiness, so I want to build finances. Time seems to come with an unstated assumption that not working is happier/better than working. But actually some of what I would fill my time with voluntarily is what I am now paid to do!   So I save to give myself the options to leave when I feel I would be happier not working, or not working full time.

Cornish_mum

Just to add to the mortgage v pension debate; as well as redundancy risk during midlife accumulation, ill-heath or disability can also occur & in this circumstance a paid off mortgage or mortgage offset can be extremely useful; as there are only very specific circumstances when SIPPs can be accessed early and lower outgoings/accessible non-pension savings are very very useful to give choices at times of personal difficulties (speaking from experience). 

Albermarle

Cornish_mum said:

Just to add to the mortgage v pension debate; as well as redundancy risk during midlife accumulation, ill-heath or disability can also occur & in this circumstance a paid off mortgage or mortgage offset can be extremely useful; as there are only very specific circumstances when SIPPs can be accessed early and lower outgoings/accessible non-pension savings are very very useful to give choices at times of personal difficulties (speaking from experience). 

Very good point.
A lot of people think that nothing will ever happen to them, but it can. 

MallyGirl

SouthCoastBoy said:

Also, interest rates have not always been this low, or this low in the future, coupled with the fact there is no guarantee you will have a job in 10 or 20 years time. I paid my mortgage in full as soon as I could, as being the only wage earner in the family, security for my family was my priority. In hindsight, I should have bought a lot larger house and had the mortgage for 20 more years, but I didn't want that debt hanging over me. If there were two high wage earners in the family maybe my decision would have been different

For a long time I was a mortgage free wannabe because I remembered paying 15% interest on my first property. Thankfully I had my lightbulb moment on pensions with enough time to change course, fund much higher contributions by increasing the flexible mortgage then switching to a 5 year fix at a very low rate. 

theoretica

Worth also taking into account that pension savings can only be taken at certain ages, usually ten years before state pension age.  Other arrangements, such as ISAs are what might give the ability to leave work before 58 - or whatever your relevant age is.

Albermarle

theoretica said:

Worth also taking into account that pension savings can only be taken at certain ages, usually ten years before state pension age.  Other arrangements, such as ISAs are what might give the ability to leave work before 58 - or whatever your relevant age is.

Correct, but the downside is missing out on pension tax relief, especially if you are a 40% taxpayer.

Peterrr

Time for me. I set my 60th as a target (still 3 years away) and am absolutely prepared to adjust spending in retirement to ensure such can happen. Not quite so sure the good wife feels the same though, and who knows what life might throw at us (or the financial markets) in the meantime.
I'm unhealthily focussed on it though and fear I would be bereft if it doesn't/can't happen.