New job and savings dilemma

flopsy1973 wrote: »

I have done this as I was working a lot of unsocial hrs and not happy in the job and stress that went with it. Now I am unsure if I have done the right thing and maybe should have stuck out a few more years and then taken the pay cut?

Based on the experience of friends and family I'd say it is very difficult to make important decisions about work when you are reliant on the income from a stressful job which consumes excessive amounts of your time and energy. It becomes very difficult to 'see the wood for the trees'. Many people struggle on until they reach breaking point and end up being off sick with stress.

Only you can know for sure, but based on what you say I personally think you've done the right thing to take a step back and create some time and space to think about your priorities.

In additon to Alexland's comments about making a financial plan, I think you should also look at the job. If you were in any way unhappy about the company that won't have changed by taking on a lower-level role. I'd also say it is likely that the skills and experience you have from the previous position will be something the company will still want to exploit... you may find yourself coming under pressure to 'help out' or 'advise' people in your previous role. Being asked to do the work of a more senior position whilst employed (and paid) at a lower level has the potential to breed bitterness and resentment.

I would suggest you think about other options including changing employer, or perhaps doing some consultancy work (if applicable) in the same field?

One of the things people worry about is how things will look on your CV. So another possible consideration is to take a bit of time out of work now to do some of the travelling you hope to do 'one day' - and then treat this 'change of gear' as a sabbatical. Most decent employers won't bat much of an eyelid at a prospective employee who has taken a bit of time away from work to do something different.... far better that than suffer a stress-related breakdown and have to explain that to a future potential employer.

Keep an open mind on your options. Hope it all works out well for you.

Yes you have gone the right thing. One's health, time and looks are finite and they all are spent when one works like what you described. You have 700 k how, how would it change to you if you had 800k or 900 k ? Probably you would feel not or less the same.

Depends on whether you pay tax now and what tax you anticipate to pay when you draw it. As you don't have earned income you would not be able to just move money into pension anyway beyond £2880 or thereabouts each year. I am not sure I j sweet and your question about performance- surely investments perform the same whether they are in pension or isa bar small tweaks for charges if they are different? What calculators do you use ?