People in their 30's - future financial plans?

Farel01 · 5 October 2017 at 12:43PM

I'm 32, OH 37. We've only really been saving since I took over our finances 4 years ago, before that we were on lower paid jobs, always overspending on holidays etc. and my OH just doesn't have a head for it. So the current position now is:

Salary: 40K + 10% bonus
OH Salary: 80K + 30% bonus this year

- about 75k in combined pensions. I pay 20% in (10% by employer), OH pays 10% in (5% by employer)
- 48k in S&S ISA
- 85k in 1 year savings account (to pay off CGT and house)
- 5k in P2P
-150K in equity (90k mortgage on a 240k house (will pay off with above savings next year)

So all in all not unhappy

Could be better if we'd been smarter, but have also had a massively good time so **** it :cool:

We don't have children and not sure whether that's in the cards for us, but I think we'd be ok. I'm planning to retire 6 years early at the same time as my OH, that's what the S&S ISA is for. I could put that in my pension or a lisa as well, but if anything happens and we need to take it out before 55 we still have that flexibility.

PensionPost · 5 October 2017 at 12:44PM

ex-pat_scot wrote: »

There are many many flavours of accountants and of accounting roles.
I have found that your choice of industry, whether you work in practice, your flexibility and willingness to move around all pay a big element in your marketability.
Location is the biggest differentiator. I have worked for many years in the regions and there's quite a ceiling for both salary and seniority of roles, whereas in London there's a huge uplift and potential for advancement.

There's no right answer, but I have found that staff willing to travel, work away from home, and willing to move regularly, are those who progress and have the best packages.

I moved from a regional FS business to a London consultancy, and more than doubled my package, but have to travel a lot and stay away from home 4 days a week.

I agree with this, I've found the sweet spot to be the home counties, pressure isn't as intense as in the city, but packages are in line given the lower costs (relative to London, still crazy!).

We both (wife and I) did the usual Practice for Chartered, then jumped to FC commercial roles in industry, and moved up pretty quickly without moving companies too much.

adonis10 · 5 October 2017 at 12:50PM

PensionPost wrote: »

I agree with this, I've found the sweet spot to be the home counties, pressure isn't as intense as in the city, but packages are in line given the lower costs (relative to London, still crazy!).

We both (wife and I) did the usual Practice for Chartered, then jumped to FC commercial roles in industry, and moved up pretty quickly without moving companies too much.

Sounds good, worked out well.

I am limiting myself currently by not being willing to move but this is my history:
- 6 years in various practice roles
- Finance Business Partner for past 2 years in large charity.

I need to continue to learn and update my skills but need to strike the right balance between staying somewhere and stagnating and jumping ship every 18 months for a payrise.

AlanP_2 · 5 October 2017 at 1:14PM

adonis10 wrote: »

Sounds good, worked out well.

I am limiting myself currently by not being willing to move but this is my history:
- 6 years in various practice roles
- Finance Business Partner for past 2 years in large charity.

I need to continue to learn and update my skills but need to strike the right balance between staying somewhere and stagnating and jumping ship every 18 months for a payrise.

My daughter has started working in the charity sector this year after leaving Uni with a solid 2.1 from a good university.

Salary is not what attracted her to the sector, she could get paid a lot more if she went into finance/industry/public sector but that isn't what she wants to do with her life.

Charity sector will typically be a lower paying sector for all roles.

Have you looked at what the local authorities near you are recruiting for? Finance Business Partners are always in demand where my wife and I work.

louloubelle79 · 5 October 2017 at 1:34PM

I have put off posting here as felt in s different league to everyone else but sure others feel the same. I am 38 and have only got financially savvy last few years. Deciding to OP mortgage on our small terraced house, just started pension last year as been in and out of work as a nurse raising kids and doing degrees in nursing. Husband not started pension yet (also 38) got appt to arrange next month. Yes we are very behind everyone else and can only dream of your positions. Husband earns £31k and I earn £13k pa part time nurse. I have always believed that wealth and health need to be balanced. Seeing family die before retirement and people work in jobs they hate all their lives makes me reevaluate what life is about. I intend to save as much as I can in order to stay healthy physically and mentally but also enjoy life along the way x I'm looking forward to hearing your journeys and tips on how to save for our futures :T

andrewf75 · 5 October 2017 at 2:00PM

louloubelle79 wrote: »

Yes we are very behind everyone else and can only dream of your positions.

you're ahead of many as well, don't forget that there will be a huge bias here towards people who earn good money and plan meticulously for the future.

chucknorris · 5 October 2017 at 4:44PM

Drp8713 wrote: »

I am turning 30 later this month unfortunately.

Salary £38k, I have the following so far:

LGPS £4k per annum and AVC of £2k, contribute £250 per month.
S&S ISA/S&S LISA/IFISA/SIPP £21k, contribute £750 per month.
Premium Bonds £5k emergency fund.

My wife (also 30) and earns a bit less pays into the RPS and BRASS, she also has a S&S ISA/S&S LISA/SIPP worth £6k and pays £110 per month.

Our rent is £9k a year but to buy a similar house would cost £450k. At those valuations I am not interested in buying. A house price crash could change our minds (expensive part of London).

I dont know if I am doing well based on this thread! If you value the DB pension at 20 times then I am worth over £100k and doing alright, if you take it at face value it all looks a bit meager.

That being said now im up to £750 per month the investments should start to grow a bit faster.

I think that it is worth much more than X20, I know that this is used for the LTA calculation (and X16 for the annual allowance), but I think that is quite generous. I realise that when using it to calculate net worth it becomes quite subjective, but I use X28.5 (which I still think is on the conservative side for me).

chucknorris · 5 October 2017 at 4:56PM

PensionPost wrote: »

Exactly, I post extensively on other boards (and this one), unfortunately I find that if people get wind of a high earner they view advice and comments in an entirely different light, hence the new account, and I've unfortunately been proved right to do it.

happy to not post again though, thought my post was quite nice cant see how it could be taken as a troll post.

Sorry that was my fault, I missed at first what you said about being regular poster etc. When I noticed it, I immediately deleted my post, but the OP had also almost immediately replied to my post.

I know what you mean, I am quite wealthy and it does bring hassle, but I decided to just ignore the jealousy, once again sorry, my bad.

Alexland · 5 October 2017 at 10:08PM

I also admit to being a part qualified management accountant. I only do the exams occasionally (buying the books on Amazon and taking the public exams) as a hobby as I am already an expert in my main career path which provides me sufficient income. Still I find it interesting and over the years it has generally helped my career by delivering results for my employer.

adonis10 · 6 October 2017 at 7:14AM

chucknorris wrote: »

Given what has been said above, it might be an idea to delete your post, and for me to delete this one when you have done so, then any offence to others would have been removed.

Done. Apologies to PP and happy for you and him to delete relate posts to avoid this thread going off topic.

People in their 30's - future financial plans?

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