Any reason your spouse isn't contributing to a pension?spouse has old DC scheme from previous employer 75k (no contributions being made).
OK, so this is the big issue.- Will want to buy a bigger property in the area, prices currently about 750-900k for a good family home
Your life is insured well into seven figures here. This seems like a lot as presumably your wife will have greater earning potential when the kids are older.Life insurance: 4 times salary via my employment, separate 700k life insurance on me, mortgage protection policies on both properties
- Best practice says I should sell my share options in my employment, but I am willing to take a risk on it and sell some or all in 3-5 years.
She only started earning as self employed in the last 2 years, and she would only get 20% tax relief. So I thought I read making contributions to a pension with a 20% tax relief wasn't a great idea but maybe I am mistaken?Any reason your spouse isn't contributing to a pension?
The premium for the 700k life cover isn't too bad at 500 per annum and covers me until the kids finish college so hopefully beginning to get on their own feet then. I hear you about the income protection, I have just kept putting it off.Your life is insured well into seven figures here. This seems like a lot as presumably your wife will have greater earning potential when the kids are older.
This is expensive and I think you could lower death cover and take out income protection. At your age it is much more likely that you will suffer a life-limiting disability than actually dropping dead.
Am not very knowledgeable and you have to check terms very carefully but to me it seems worth checking out. Disability benefit is not very much compared to your current income and would be a big adjustment.
Yeah it would be a big disappointment but I don't think it would mean by financial plans would be in ruin? I would hopefully get another job so what I loose would be the value of the share options. That would be a fairly big loss for sure but worthy of the risk versus hopefully the Share Options being worth 50% or more in 3-5 years time. But it is a bit of a gamble.You can handle the risk.
But if the company gets into trouble and your shares collapse and you lose your job at the same time, your financial plans would be ruined.
There is a reason that it's best practice. Sell these shares.
Brendan
Income protection premiums are tax deductible (any payout is subject to tax). After tax it shouldn't cost much more than you're spending on life cover. You might even have more life cover than you think - you'll need to check the full conditions of your employment benefits; does the death in service also provide an annual income for spouse / children until children are adults? There'll also be a payout based on your contributions to the pension fund on top of that.The premium for the 700k life cover isn't too bad at 500 per annum and covers me until the kids finish college so hopefully beginning to get on their own feet then. I hear you about the income protection, I have just kept putting it off.
You might well have read it, but that's just someone's opinion!So I thought I read making contributions to a pension with a 20% tax relief wasn't a great idea but maybe I am mistaken?
You could transfer the house into joint names, but will require agreement from bank as you've a mortgage.What does it mean to put the rental into joint names? The mortgage is in just my name anyways.
Indeed this seems.good value but what are you insuring against here? In the unlikely event of your death your spouse will have comfortably north of a million euros in cash, a job, no PPR mortgage, and a profitable rental.premium for the 700k life cover isn't too bad at 500 per annum
Indeed this seems.good value but what are you insuring against here? In the unlikely event of your death your spouse will have comfortably north of a million euros in cash, a job, no PPR mortgage, and a profitable rental.
It's a vast amount of cover, and there are other things to spend your money on while you're still alive
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