Hi,
Age: 32
Spouse’s/Partner's age: 32
Annual gross income from employment or profession: 55,000
Annual gross income spouse: 0. Stay at home mum & intends staying in the home. Just a preference to raise baby(ies) herself rather than put in creche.
Type of employment: e.g. Private Sector
Expenditure pattern: In general are you spending more than you earn or are you saving? Currently spending 95% of earnings to service mortgage, car loan, day-to-day living expenses. Very little room for indulgences.
Rough estimate of value of home: 400,000 on PPR
Mortgage on home :150,000. Currently in Year 1 of 30
Mortgage provider: NIB
Type of mortgage: Tracker,
Interest rate :4.6 LTV
Other borrowings – 5K car loan, 1 yr remaining.
Do you pay off your full credit card balance each month. YES
If not, what is the balance on your credit card?
Savings and investments: €100K on deposit & €20K in shares
Do you have a pension scheme? Yes but employer only contributes 20% of employee contributions. Have a €35,000 balance from previous employer's DC scheme.
Do you own any investment or other property? No
Ages of children: 1 en-route. Due to arrive before year-end!!
Life insurance: Just to cover mortgage.
I'd love to hear how we can make our savings work as hard as possible both to ease current burden yet provide for junior(s) somewhere down the road. Should we consider using some/most/all of it to pay off the mortgage? This increases cash-flow in the short-to-medium term but leaves little/no reserve. Or should I funnel some of it into a medium/long term fund to provide for education costs down the road with the balance on deposit to ease current day to day pressures. I was thinking of putting 20K perhaps into a Quinn-type fund (lock away for 18yrs to help fund college), put another 20K in a similar fund to help with arrival #2's education (assuming we're lucky enough to be blessed with 2), keep 30K in a high interest deposit a/c (e.g. Rabo) and leave the remaining 30K available for living while trying to divert some of this into pension occasionally? Would love some feedback from other more seasoned posters. For the purpose of this exercise, I'm assuming that the shares don't exist (never had them, never missed them scenario - maybe some day, they'll be a wee nest egg for a once-in-a-lifetime family hol.)
Thanks in advance, apple1
Age: 32
Spouse’s/Partner's age: 32
Annual gross income from employment or profession: 55,000
Annual gross income spouse: 0. Stay at home mum & intends staying in the home. Just a preference to raise baby(ies) herself rather than put in creche.
Type of employment: e.g. Private Sector
Expenditure pattern: In general are you spending more than you earn or are you saving? Currently spending 95% of earnings to service mortgage, car loan, day-to-day living expenses. Very little room for indulgences.
Rough estimate of value of home: 400,000 on PPR
Mortgage on home :150,000. Currently in Year 1 of 30
Mortgage provider: NIB
Type of mortgage: Tracker,
Interest rate :4.6 LTV
Other borrowings – 5K car loan, 1 yr remaining.
Do you pay off your full credit card balance each month. YES
If not, what is the balance on your credit card?
Savings and investments: €100K on deposit & €20K in shares
Do you have a pension scheme? Yes but employer only contributes 20% of employee contributions. Have a €35,000 balance from previous employer's DC scheme.
Do you own any investment or other property? No
Ages of children: 1 en-route. Due to arrive before year-end!!
Life insurance: Just to cover mortgage.
I'd love to hear how we can make our savings work as hard as possible both to ease current burden yet provide for junior(s) somewhere down the road. Should we consider using some/most/all of it to pay off the mortgage? This increases cash-flow in the short-to-medium term but leaves little/no reserve. Or should I funnel some of it into a medium/long term fund to provide for education costs down the road with the balance on deposit to ease current day to day pressures. I was thinking of putting 20K perhaps into a Quinn-type fund (lock away for 18yrs to help fund college), put another 20K in a similar fund to help with arrival #2's education (assuming we're lucky enough to be blessed with 2), keep 30K in a high interest deposit a/c (e.g. Rabo) and leave the remaining 30K available for living while trying to divert some of this into pension occasionally? Would love some feedback from other more seasoned posters. For the purpose of this exercise, I'm assuming that the shares don't exist (never had them, never missed them scenario - maybe some day, they'll be a wee nest egg for a once-in-a-lifetime family hol.)
Thanks in advance, apple1