Long time viewer and take a lot from other posts in this Money Makeover - thanks to all who contribute.
My Details:
Age 43
PAYE Worker
Income €70,000
Bonus approx. €16,000 PA, of which I make €5,000 PA single contribution to my pension in addition to below
Pension: Executive Pension
Current Value €170,000
Current Employer Contribution @ €870pm
Current Employee Contribution @ €500pm
Spouse Details:
Age 44
Teacher In position since 1998, ( 23 years service)
Income €65,000
Pension - Teachers’ Pension
AVC’s Current annual contributions @ €5,800 (monthly circa €450)
The Current Value @ €90,000
The Projected value at retirement age of 55 @ €225,000
Other:
- 3 children, all under 10
- Main PDH – Currently € 90K Mortgage O/S (value circa 460K)
mortgage @ 860 pm however I overpay @ €1100
- Rental Property – Currently € 80K Mortgage O/S - the value is about €130K)
monthly rental income @ €950 while the Mortgage Payments are @ €810
- Rental property – Currently €Zero monthly income as I give same to my parents - €120K Value, no mortgage
- Holiday Home Spain– no income from same - €200K Value, no mortgage
- Other Investment – Site purchased outright with a value of €65K. No income off same.
- Shareholding – currently hold a shareholding with employer presently worth approx. €225K - this would fluctuate as I own a % shareholding.
Car loan - €20K @ €500pm
No credit card debt
Savings @ €15K
Serious illness insurance policy in place.
Death in Service (4 times) policy in place.
Wife has no serious illness policy in force.
Childcare costs @ €500PM
Currently all tax credits are sitting with my wife.
Future Expenditure - intend to do a job on the house @ approx €40K cost in the near future
Wifes diesel costs for work @ €350 PM
Query:
The old adage reasonably asset rich/cash poor comes to mind as at the end of the month both bank balances quickly approach Zero. This is by design rather than accident though as I'll spend what i have so over the years have directed income towards debts etc on the 1st of the month as what I don't have I cant spend.
Of late with the pressures of work & business expanding, kids having to be dropped here, there & everywhere etc life has become very busy....add in wanting to get the kids into after school activities etc and my thoughts have come around to the possibility of my wife going on a 50/50 job share which would take the pressure off somewhat.
Just at the stage where I thought things might be getting easier but instead they have ramped up!
What would those in the knows take be on this - what would the ramifications be with respect of take home / tax credits / my take home / effects on teachers pension , AVC's etc ? - while i credit myself with being reasonably intelligent such matters make me break out in a sweat due to my lack of knowledge.
Also on the above financial snapshot is there anything I'm missing or I should be addressing differently.
Thanks
My Details:
Age 43
PAYE Worker
Income €70,000
Bonus approx. €16,000 PA, of which I make €5,000 PA single contribution to my pension in addition to below
Pension: Executive Pension
Current Value €170,000
Current Employer Contribution @ €870pm
Current Employee Contribution @ €500pm
Spouse Details:
Age 44
Teacher In position since 1998, ( 23 years service)
Income €65,000
Pension - Teachers’ Pension
AVC’s Current annual contributions @ €5,800 (monthly circa €450)
The Current Value @ €90,000
The Projected value at retirement age of 55 @ €225,000
Other:
- 3 children, all under 10
- Main PDH – Currently € 90K Mortgage O/S (value circa 460K)
mortgage @ 860 pm however I overpay @ €1100
- Rental Property – Currently € 80K Mortgage O/S - the value is about €130K)
monthly rental income @ €950 while the Mortgage Payments are @ €810
- Rental property – Currently €Zero monthly income as I give same to my parents - €120K Value, no mortgage
- Holiday Home Spain– no income from same - €200K Value, no mortgage
- Other Investment – Site purchased outright with a value of €65K. No income off same.
- Shareholding – currently hold a shareholding with employer presently worth approx. €225K - this would fluctuate as I own a % shareholding.
Car loan - €20K @ €500pm
No credit card debt
Savings @ €15K
Serious illness insurance policy in place.
Death in Service (4 times) policy in place.
Wife has no serious illness policy in force.
Childcare costs @ €500PM
Currently all tax credits are sitting with my wife.
Future Expenditure - intend to do a job on the house @ approx €40K cost in the near future
Wifes diesel costs for work @ €350 PM
Query:
The old adage reasonably asset rich/cash poor comes to mind as at the end of the month both bank balances quickly approach Zero. This is by design rather than accident though as I'll spend what i have so over the years have directed income towards debts etc on the 1st of the month as what I don't have I cant spend.
Of late with the pressures of work & business expanding, kids having to be dropped here, there & everywhere etc life has become very busy....add in wanting to get the kids into after school activities etc and my thoughts have come around to the possibility of my wife going on a 50/50 job share which would take the pressure off somewhat.
Just at the stage where I thought things might be getting easier but instead they have ramped up!
What would those in the knows take be on this - what would the ramifications be with respect of take home / tax credits / my take home / effects on teachers pension , AVC's etc ? - while i credit myself with being reasonably intelligent such matters make me break out in a sweat due to my lack of knowledge.
Also on the above financial snapshot is there anything I'm missing or I should be addressing differently.
Thanks