Case study What financial changes could we make - youngest starting college?

thedaddyman said:
Something funny about your numbers, your monthly salary is 18.75k a month between you yet you are only taking home 7k a month. Is there a typo in the original post somewhere?
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Explained already:
ClubMan said:
€140k + €85k married couple would be should be about €11.5k net p.m. but maybe they're making (maximum?) pension contributions which could bring this down to around €7k.
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Justaverage said:
Yes max pension contribution on both sides plus health insurance … that’s why the net is only 7k ish
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Thanks for the feedback all … I agree with the daddy man my emergency fund is still very small ..,in this regard there are emergencies and foreseeable expenditure and ad listed above car change , house repairs etc while not immediately on the cards are foreseeable possibilities , you always need to have cash to avail of opportunities , changes in government policy grants could influence your decision here. If you took the view that you can always borrow at the time to deal with these issues you be ignoring the fact that borrowing cost on personal loans , bank overdrafts , credit cards would be far more expensive than your mortgage rate. It’s for this reason that I support holding a decent emergency fund ( which btw I recognise I don’t currently have )
 
Justaverage said:
I agree with the daddy man my emergency fund is still very small ..,in this regard there are emergencies and foreseeable expenditure and ad listed above car change , house repairs etc while not immediately on the cards are foreseeable possibilities , you always need to have cash to avail of opportunities
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you're not talking about an "emergency fund" at all. Just a general slush fund to dip into when you haven't planned expenditure properly.
Do you sit down together ever, and work out a household budget? Its a worthwhile exercise.
 
Justaverage said:
I agree with the daddy man my emergency fund is still very small
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You really need to think this through as you are wasting money.

Have a read of this key post and then make your decision.

Key Post - How much of an emergency fund do I need?

This comes up from time to time, and there is a custom and practice answer that everyone should have 6 months' expenditure in cash in case of some unforeseen expenditure. This is too simple an answer and it results in most people having way too much cash wasting away in a low interest deposit...
www.askaboutmoney.com

By the way, when ECB rates were 0%, your strategy was correct.

Brendan
 
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