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  • Ali_03
    Ali_03 Posts: 7 Forumite
    edited 15 September 2019 at 6:32AM
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    I didn’t think of that, yes my employer offers salary sacrifice which I am part of but I didn’t realise the extra benefits I could get from national insurance savings. Also I read that I might pay less student loan if I salary sacrifice a higher sum of my salary! I will give it some thought, but it’s a great way of topping up my pension!

    Thanks Alex
  • Albermarle
    Albermarle Posts: 22,177 Forumite
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    Albermarle, I don't like the idea of locking away a large chunk of money away for such a long time. Maybe I could invest £250 in pension and £250 in S&S ISA?
    You can do what you want, we only make suggestions ;)
    However now it is clear you have salary sacrifice arrangement for your pension , then it makes the pension route more attractive still. Plus if your income rises , paying more in your pension reduces any liability to pay 40% tax on your income .
  • Ali_03
    Ali_03 Posts: 7 Forumite
    edited 15 September 2019 at 8:32PM
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    Anymore suggestions?

    I know I’m heavily invested in BTL but I don’t plan to invest any further in BTL or pay down my mortgages.
  • enthusiasticsaver
    enthusiasticsaver Posts: 15,594 Ambassador
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    I personally would not want to be so heavily invested in property/BTL and would seek to rebalance your portfolio by redirecting money into your pensions or stocks and shares isa or LISA. The high amount of cash (unless it is imminently needed) also will not be keeping up with inflation.

    That amount of debts would also worry me especially if interest rates rise.
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  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    Ali_03 wrote: »

    Long term plan is to keep the mortgage debt and refinance every five years.

    Into your retirement years as well?
  • Alexland
    Alexland Posts: 9,653 Forumite
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    Ali_03 wrote: »
    Also I read that I might pay less student loan if I salary sacrifice a higher sum of my salary!

    If your income is high enough that you are likely to repay in full eventually then deferring loan repayment might not be a good thing depending on the interest rate.
  • Clive_Woody
    Clive_Woody Posts: 5,855 Forumite
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    I would echo the other comments about boosting your pension fund as this seems a little light for someone of your age, particularly considering the scheme options you have (salary sacrifice).

    The "other debts" is something I would also be looking at reducing as you never know when they will start pulling 0% deals and suddenly having to repay that much debt could wipe out your cash savings and if you lost your job around the same time it could be problematic.

    Premium Bonds are something you might also want to consider, more as a bit of fun, but also a safe harbour for cash.
    "We act as though comfort and luxury are the chief requirements of life, when all that we need to make us happy is something to be enthusiastic about” – Albert Einstein
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