How do these projections look?
House Deposit
€50,000 in 4 years
That's about €1,000 a month.
Short term so put it in a savings account.
Childrens Education
€220,000* in 22 years
Don't start saving until house purchasedin 4 years. Thefore have 18 years to save this amount.
That's also about €1,000 a month.
This is longer term so could put into the stock market.
Pension
Align with tax relief.
*Assuming 2 kids both doing 4 year B.A. degrees plus 1 year Masters degrees. No clue how much education will cost in the future but it’s hardly going to be any cheaper. So assuming fees are introduced and it’s €10,000 a year for a B.A and €20,000 a year for Masters, that’s €120,000 for fees. Also assuming living expenses are €10,000 a year means €100,000 for living expenses. That’s a total of €220,000. Ouch!
Not taking account of inflation here but I’m also not assuming any return on the savings. Therefore the return on the savings and inflation should hopefully cancel each other out.