Sean Bateman
Registered User
- Messages
- 39
Hello,
I need some advice and would be grateful for help.
My circumstances are:
- I'm 40 and my wife is 38
- We have three kids under 10
- She's on €70,000 a year in the public sector - She will get a DB pension
- My basic salary is €140,000 and I typically get a bonus of €50,000...I also get share options and have around €100,000 available for exercise in 2020...they pay our health insurance too
- My pension fund is worth €250,000 and is invested in a pretty cheap global equity option (0.2%). My employer contributes €14,000 a year and I contribute €28,750.
- We owe €700,000 on our home. The interest rate is 2.75% Variable with AIB.
- We own our previous home too. It is worth around €350,000 and we owe €180,000 at 0.55% to Pepper. It generates €1,750 of rent per month.
- We went overboard on the renovation of our home and have a hell of a lot of personal debt:
Credit Union - €30,000 (€570 a month)
Credit Union - €40,000 (€610 a month)
Bank - €26,000 (€352 a month)
Bank - €30,000 (€600 a month)
Other - €100,000 (Nil for the moment but can't stay that way forever)
Credit Cards - Nil
- I have €80,000 coming back to me from a private company investment that has unwound at breakeven. I plan to clear the €610 a month Credit Union loan plus the €600 a month bank loan plus €10,000 of the €100,000 loan (to show progress).
I admit that we have been reckless and have overstretched ourselves but between crèches etc and loans we are very tight at the end of each month. We have no savings. The plan is to use bonuses plus share option to repay the personal debts.
The $64,000 question is whether we should sell the investment property. Part of me thinks no, keep the head down for a few years and keep what's a solid investment plus it's on a tracker. Another part of me feels that I want to live life to the max and enjoy a large disposable income because I could be dead in 10 years.
Any advice and honest feedback welcome, no matter how candid!
Thank you.
I need some advice and would be grateful for help.
My circumstances are:
- I'm 40 and my wife is 38
- We have three kids under 10
- She's on €70,000 a year in the public sector - She will get a DB pension
- My basic salary is €140,000 and I typically get a bonus of €50,000...I also get share options and have around €100,000 available for exercise in 2020...they pay our health insurance too
- My pension fund is worth €250,000 and is invested in a pretty cheap global equity option (0.2%). My employer contributes €14,000 a year and I contribute €28,750.
- We owe €700,000 on our home. The interest rate is 2.75% Variable with AIB.
- We own our previous home too. It is worth around €350,000 and we owe €180,000 at 0.55% to Pepper. It generates €1,750 of rent per month.
- We went overboard on the renovation of our home and have a hell of a lot of personal debt:
Credit Union - €30,000 (€570 a month)
Credit Union - €40,000 (€610 a month)
Bank - €26,000 (€352 a month)
Bank - €30,000 (€600 a month)
Other - €100,000 (Nil for the moment but can't stay that way forever)
Credit Cards - Nil
- I have €80,000 coming back to me from a private company investment that has unwound at breakeven. I plan to clear the €610 a month Credit Union loan plus the €600 a month bank loan plus €10,000 of the €100,000 loan (to show progress).
I admit that we have been reckless and have overstretched ourselves but between crèches etc and loans we are very tight at the end of each month. We have no savings. The plan is to use bonuses plus share option to repay the personal debts.
The $64,000 question is whether we should sell the investment property. Part of me thinks no, keep the head down for a few years and keep what's a solid investment plus it's on a tracker. Another part of me feels that I want to live life to the max and enjoy a large disposable income because I could be dead in 10 years.
Any advice and honest feedback welcome, no matter how candid!
Thank you.