Can’t be bothered with work any more

MiserlyMartin

And I thought that if I hit 500 - 900K in my SIPP pot I would be doing well! Only about 175K, but I do have the mortgage paid off on a house I don't like very much and couldn't face retiring in. I'd need to spend another 100 - 150 K to move to a better area. I am older than the OP. I thought I could take a low paying job instead of doing my higher pressure average salary skilled job and I hated doing it. I definitely agree that if you can earn 100k a year, then do that, but for less years, than retiring earlier then working stacking shelves! Your feet will thank you for it! You would be mad not to.

Mistermeaner

Hi all thanks again for comments on my thread really helped with my thinking. I’m kind of mentally prepared for at least another 5 years in the current job with a view to seeing the 2 oldest through uni and building an outside of pension war chest 

with this in mind was thinking about my mortgage - I currently owe 180k and am paying 3.6% interest fixed until 2029

with me having now 930k in my SIPP I’ve been thinking about whether it would make sense to reduce my mortgage payment to as close to interest only as I can and to segregate 180k in my pension pot into some sort of fixed interest thing , hopefully at better interest than my mortgage so essentially producing an offset 

with the mortgage safely covered I can then concentrate todays earnings into out of pension investments , including having more cash in hand from paying less mortgage each month


added bonus might be that if there is a significant crash in markets I can reinvest that ‘mortgage’ cash into equities and enjoy the bounce back 

thoughts ?

also is there any products typically available in a pension that offer fixed interest in the same way a cash Isa does ? 

Thanks 

barnstar2077

Mistermeaner said:

Hi all thanks again for comments on my thread really helped with my thinking. I’m kind of mentally prepared for at least another 5 years in the current job with a view to seeing the 2 oldest through uni and building an outside of pension war chest 

with this in mind was thinking about my mortgage - I currently owe 180k and am paying 3.6% interest fixed until 2029

with me having now 930k in my SIPP I’ve been thinking about whether it would make sense to reduce my mortgage payment to as close to interest only as I can and to segregate 180k in my pension pot into some sort of fixed interest thing , hopefully at better interest than my mortgage so essentially producing an offset 

with the mortgage safely covered I can then concentrate todays earnings into out of pension investments , including having more cash in hand from paying less mortgage each month


added bonus might be that if there is a significant crash in markets I can reinvest that ‘mortgage’ cash into equities and enjoy the bounce back 

thoughts ?

also is there any products typically available in a pension that offer fixed interest in the same way a cash Isa does ? 

Thanks 

I would just leave it invested in a globally diversified fund personally.   With such a large pension fund, and salary to keep adding to it, it doesn't make any sense to try and play it safe with a portion of your money.  If you had only £200k and wanted to use £180k of it in a couple of years time then I could understand.

Pipthecat

I probably need to put up and shut up for another 5 years

Sort of.  You likely have more than enough for your retirement covered so that's one headache gone.  So work out what's got you in this funk and start planning some changes.  Without reading all the replies I would suggest you start by giving yourself a slap in the face as all jobs have tedious and stressful aspects, but that does not mean you can't change things.

• Don't make bad financial decisions to fix a non financial problem
• Focus on becoming debt free, it's very liberating
• Spend more time and money on family and holidays - work to live
• Change role by retraining for free in your current company or look at consulting / contracting in your profession.  Your next career move probably only needs to last 5-10 years and a change is as good as a rest
• Take up an inexpensive hobby. You will be amazed what having a new focus does for you.

michaels

Mistermeaner said:

Hi all thanks again for comments on my thread really helped with my thinking. I’m kind of mentally prepared for at least another 5 years in the current job with a view to seeing the 2 oldest through uni and building an outside of pension war chest 

with this in mind was thinking about my mortgage - I currently owe 180k and am paying 3.6% interest fixed until 2029

with me having now 930k in my SIPP I’ve been thinking about whether it would make sense to reduce my mortgage payment to as close to interest only as I can and to segregate 180k in my pension pot into some sort of fixed interest thing , hopefully at better interest than my mortgage so essentially producing an offset 

with the mortgage safely covered I can then concentrate todays earnings into out of pension investments , including having more cash in hand from paying less mortgage each month


added bonus might be that if there is a significant crash in markets I can reinvest that ‘mortgage’ cash into equities and enjoy the bounce back 

thoughts ?

also is there any products typically available in a pension that offer fixed interest in the same way a cash Isa does ? 

Thanks 

I did this.  Went full IO on the mortgage but put the 'offset' into same duration fixed rate savings to avoid market risk and made on the turn - only profitable because DW is a non taxpayer.  For example currently 200k mortgage is paying 4.5% on a 2 year fix and the 200k is earning 6.2% - 1.7% profit on 200k = 3.4k per annum - happy days.

Cus

Mistermeaner said:

Hi all thanks again for comments on my thread really helped with my thinking. I’m kind of mentally prepared for at least another 5 years in the current job with a view to seeing the 2 oldest through uni and building an outside of pension war chest 

with this in mind was thinking about my mortgage - I currently owe 180k and am paying 3.6% interest fixed until 2029

with me having now 930k in my SIPP I’ve been thinking about whether it would make sense to reduce my mortgage payment to as close to interest only as I can and to segregate 180k in my pension pot into some sort of fixed interest thing , hopefully at better interest than my mortgage so essentially producing an offset 

with the mortgage safely covered I can then concentrate todays earnings into out of pension investments , including having more cash in hand from paying less mortgage each month


added bonus might be that if there is a significant crash in markets I can reinvest that ‘mortgage’ cash into equities and enjoy the bounce back 

thoughts ?

also is there any products typically available in a pension that offer fixed interest in the same way a cash Isa does ? 

Thanks 

If you were able, today, to take out the £180k from the SIPP and pay off the mortgage, would you? If so then do the above ringfence idea.

Cornish_mum

Hi OP I have done something similar regarding an informal mortgage offset (mine is in ISAs not SIPP & all in cash/ old NSI inflation matching bonds). I am risk adverse I find it extremely comforting. It took us about 7 years to get here & often haven’t been able to max out our ISAs as we are also still building pensions. 

Currently my informal offset is giving me a 3% return plus a lovely feeling every time I have to an awful meeting at work- that I could quite easily say cheery-bye thanks I am off…. Frankly the later is absolutely priceless and makes it far easier to stick with my job knowing that I can walk any time I like (& to return to it after recent ill-health).

If I had invested everything in my passive tracker I would be richer of course but not happier or more content. Having cash on hand outside a pension is extremely helpful in my experience, esp when life is difficult. 

CM

Random47

I've just read the full thread given my insomnia. Pretty much every post on here is a first world problem / solution of some sort. I'm certainly too old for this wellbeing, wokeism, give everybody a cuddle crap. Most workers need to wade through some level or form of the brown stuff, the OP is being paid handsomely for wading through his shade of sht.

To the OP my advice is man up and suck it up for another 5 years, build your out of pension war chest. Clear your mortgage (no one knows what markets or interest rates will do - debt free gives you the freedom from these uncertainties)
You probably don't have time for hobbies, but try joining a library and read a book (or 2) for some mental escapism. Just don't waste the next five years of your life wishing to get through it just so you don't need to work.

kimwp

Random47 said:

I've just read the full thread given my insomnia. Pretty much every post on here is a first world problem / solution of some sort. I'm certainly too old for this wellbeing, wokeism, give everybody a cuddle crap. Most workers need to wade through some level or form of the brown stuff, the OP is being paid handsomely for wading through his shade of sht.

To the OP my advice is man up and suck it up for another 5 years, build your out of pension war chest. Clear your mortgage (no one knows what markets or interest rates will do - debt free gives you the freedom from these uncertainties)
You probably don't have time for hobbies, but try joining a library and read a book (or 2) for some mental escapism. Just don't waste the next five years of your life wishing to get through it just so you don't need to work.

Just because you can have a hard time, doesn't mean you should.

OP, I second reducing your days, it makes a world of difference to have a three day weekend or a mid week break - it significantly reduces the mental space that work takes up. Less gall re paying higher tax as well - lower wage, but swapping for more hours for doing your own, more interesting things.

Kynthia

Random47 said:

I've just read the full thread given my insomnia. Pretty much every post on here is a first world problem / solution of some sort. I'm certainly too old for this wellbeing, wokeism, give everybody a cuddle crap. Most workers need to wade through some level or form of the brown stuff, the OP is being paid handsomely for wading through his shade of sht.

To the OP my advice is man up and suck it up for another 5 years, build your out of pension war chest. Clear your mortgage (no one knows what markets or interest rates will do - debt free gives you the freedom from these uncertainties)
You probably don't have time for hobbies, but try joining a library and read a book (or 2) for some mental escapism. Just don't waste the next five years of your life wishing to get through it just so you don't need to work.

Is this satire as I can't see any other reason for posting this? It's like every boomer cliché. I'm surprised snowflake isn't in there.

We live in the first world so obviously we have first world problems. There's no suffering Olympics we need to compete in in order to be deemed severe enough to look for solutions.