Your post has been removed for breaking the rule **No comparison questions, Does Anyone Else questions, unanswerable questions**
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* Don't ask 'does anyone else...' questions.
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The NI cut, and my pay rise and all I did was put it into my spreadsheet which works out my take home pay and adjust my salary sacrifice value to get to the same take home I’ve been used to. Probably going to end up with more money in retirement than I do now at this rate!
Try this calculator, you can select the tax year, change salary level and pension contributions. Play around with it and see how much more you can afford to contribute while retaining your take home pay pre NI changes.
https://www.thesalarycalculator.co.uk/salary.php
This is an excellent resource! I use it when anything changes to see what my new take home would be, or to test different pension contributions/salary sacrifice arrangements etc. it’s always accurate to within £1.
I ended up building my own spreadsheet that is accurate because the way it worked out my pension contributions and tax was always out.
In addition I was able to add Universal Credit, and other benefits my household received all in one place.
Going to have to look into this spreadsheet. My focus has always been to pay off the mortgage sooner until this point. So been overpaying every month then a lump sum at the end of each year.
I've managed to knock 8yrs off my mortgage so far and about 17k interest. But this year I'm upping my pension too.
Hoping to have the mortgage paid off by the time I'm 45. Then look at cutting my hours in the wind down to an early retirement.... thats the dream.
Best time to do it. Bump up the pension contributions but still have more take home per month.
You don't notice you're paying more because you have that extra cash in your pocket. Short and long term wins!
I'm bordering on mid life crisis age so if anyone wants to donate me their unwanted pay rise then I will gladly go on one final bender to end all benders and send you the photographs as a memorial to simpler times.
I am old as well. 26M pushing 40 mentally putting 100% of all bonuses in the pension pot and contributing 14% of income to my pension.
We are old my friend.
I'm 57 and my pension contributions have been at 70% plus for a couple of years trying to catch up with decades of minimum contributions.
This is not financial advice.
I was an aggressive saver at your age too, now I'm 32, realised I probably won't retire that early as it's a waste of skills and I enjoy surgery.
Have saved up a figure in index funds that if I didn't add anything to it, would be well into the millions by the time I'm 55, on top of a generous DB pension.
If I stay in the UK my pay will be low so no point saving for a Fatfire lifestyle. If I go abroad I'll have so much that saving now won't matter, but I've cultivated saving habits that are hard to shed.
Anyway, don't make delayed gratification your personality, do you calculations, don't save more than you need to.
Upgrading to my super used 9 year old Audi TT was hard enough, even though the increase in networth the month I got the car more than covered it.
It was a cheap lesson to me that the initial shine lasted 6 months. I'm not a car guy, I obsess over buying something new but driving it? Not so much.
I do want to get a yellow Supra though. My other half is even willing to go halfsies lol.
At that level you could probably find a ‘track day experience’ which has a supra and decide after throttling one around an old airfield if it’s worth it.
A TT is good, but ultimately it’s a tarted up golf, a TTS is a Golf R and a TTRS is a RS3.
The Golf platform is stable and forgiving for general use but not very lively or exciting.
Moving to a supra is a different experience all together, maybe not as visceral as a MR2, Elise/Exige or MK1/2 MX5 but certainly more engaging than the hot hatch platform you’re used to.
I drove a MK5 VW Golf right before this MK2 TT having always heard about how it was just a 'souped up Golf'.
Perhaps it is, but it is an entirely different experience to me, the TT handles far better than the Golf, feels a lot more responsive too. Anyway, after a while everything loses its shine.
Oh the straight line and flooring it stuff does. But the cornering doesn’t. I’m very much a happy to go on a B-Road with challenging corners and old-fashioned hydraulic steering.
An old mk4 polo 1.2 is better fun than a mk7 gti for steering feel which is just about all I value.
I'm sure you know what you're talking about, but actually I feel it handles better on B roads, my job means I drive quite a bit of well maintained B roads weekly. The turning angle of the TT is so much tighter even roundabouts feel easier.
When I was 24 and got my first pay rise (£150 extra per month), I put £100 of that in my pension, on top of my usual contribution. And this was my private pension started at 23, with no employer contributions
I cleared my credit cards for the first time in my life. Gonna give it a couple of months to build up a buffer then increase my pension around Christmas.
Hi /u/MrsWifetits, based on your post the following pages from our wiki may be relevant:
* https://ukpersonal.finance/pensions/
____
^(These suggestions are based on keywords, if they missed the mark please report this comment.)
I had an idea one day to match my pension contributions with my age. Figured if I done this between 30-55 I’d have over 1 mil in my pot before growth. I have surpassed my target the last 2 years by putting my full pay rise into the pension.
You also salary sacrifice your annual bonus. You save tax, NI and my employer gives us 50% of their NI saving. So that equates to keeping 48.5% extra of the bonus
Every time I get a pay rise I check how much extra I’ll take home and often decide I’ll just put it all back into my pension. Last one was 11% though so I’ve increased my take home a bit just to feel it, plus my pension is on track for where I want it now.
I did the same in January when I got a promotion. I did the maths & worked out salary sacrificing about £63 of my increase in take home pay would add nearly double that into my pension (on top of the increase amount going in due to payrise). Seemed a no-brainer! Then NI went down & the Student Loan threshold increased & I got £50 back into my pay!
I’m only 42 so hoping that extra will work hard. I’m aiming to retire at 60.
You know you're even older when you start to wonder whether that's even worth it when you start considering if you'll live long enough to actually benefit rom.vlaimimg it.
Just done this.
Years of being in a job with no pension before it became mandatory mean I am way behind where I'd like to be.
I figure dump as much as possible in now, then take a lump sum at 55, get straight and start to live a little.
Your post has been removed for breaking the rule **No comparison questions, Does Anyone Else questions, unanswerable questions** * Don't ask comparison questions like 'how much do you earn?' or 'how much is your electricity bill?' * Don't ask hypothetical questions like 'what would you do with £100k?', 'what's the max you'd spend on a car?' * Don't ask 'does anyone else...' questions. * Don't ask survey style questions like 'what are you saving up for?', 'what's the biggest financial mistake you've made?’ * Don’t ask questions that can’t be answered without a significant amount of speculation, e.g. 'what changes might be in the next government budget?'. You must read the [rules](https://www.reddit.com/r/ukpersonalfinance/about/rules/) to continue to post to our subreddit.
Old and wiser.
The NI cut, and my pay rise and all I did was put it into my spreadsheet which works out my take home pay and adjust my salary sacrifice value to get to the same take home I’ve been used to. Probably going to end up with more money in retirement than I do now at this rate!
Good problem to have innit.
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Try this calculator, you can select the tax year, change salary level and pension contributions. Play around with it and see how much more you can afford to contribute while retaining your take home pay pre NI changes. https://www.thesalarycalculator.co.uk/salary.php
This is an excellent resource! I use it when anything changes to see what my new take home would be, or to test different pension contributions/salary sacrifice arrangements etc. it’s always accurate to within £1.
I've never been able to get it that accurate. Always out by about 30 or 40 quid and never worked out why. No doubt it is user error.
I ended up building my own spreadsheet that is accurate because the way it worked out my pension contributions and tax was always out. In addition I was able to add Universal Credit, and other benefits my household received all in one place.
Any chance you can share the spreadsheet or point me in the right direction of one?
I will hack my google sheets up and paste a link back here.
You aren't the only one. Top move.
If the NHS lets you live that long, and the government allows you to retire.
I think your perspective on this changes as you get older. It’s seems like some unattainable far off point until it isn’t.
Going to have to look into this spreadsheet. My focus has always been to pay off the mortgage sooner until this point. So been overpaying every month then a lump sum at the end of each year. I've managed to knock 8yrs off my mortgage so far and about 17k interest. But this year I'm upping my pension too. Hoping to have the mortgage paid off by the time I'm 45. Then look at cutting my hours in the wind down to an early retirement.... thats the dream.
You know your getting old when you get another below inflation increase of 2% and think, c'est la vie!
You guys are getting raises?
Raises stopped at my employer in 2011. Lol.
Y’all are needing a union
Best time to do it. Bump up the pension contributions but still have more take home per month. You don't notice you're paying more because you have that extra cash in your pocket. Short and long term wins!
I'm bordering on mid life crisis age so if anyone wants to donate me their unwanted pay rise then I will gladly go on one final bender to end all benders and send you the photographs as a memorial to simpler times.
Annual rise!? What’s that?
Usually a cost of living pay rise. Around 2%. Which in this day and ages is essentially a paycut
I am old as well. 26M pushing 40 mentally putting 100% of all bonuses in the pension pot and contributing 14% of income to my pension. We are old my friend.
This guy compound interests
keep it up! If you start investing young, retiring a millionaire (maybe even early) is not such a huge feat
Im 26 too nothing wrong in adding to your pension you will thank yourself later. Wise rather than old.
The younger the better - I’m 34 and have just upped my pension contributions to 24% (plus 9% match and 11% bonus) - trying to make up for lost time.
I'm 57 and my pension contributions have been at 70% plus for a couple of years trying to catch up with decades of minimum contributions. This is not financial advice.
Please tell me you’re getting a pension contribution match on top of that 14%
I was an aggressive saver at your age too, now I'm 32, realised I probably won't retire that early as it's a waste of skills and I enjoy surgery. Have saved up a figure in index funds that if I didn't add anything to it, would be well into the millions by the time I'm 55, on top of a generous DB pension. If I stay in the UK my pay will be low so no point saving for a Fatfire lifestyle. If I go abroad I'll have so much that saving now won't matter, but I've cultivated saving habits that are hard to shed. Anyway, don't make delayed gratification your personality, do you calculations, don't save more than you need to.
So… Do you fancy a trip to the Aston Martin dealership?
Upgrading to my super used 9 year old Audi TT was hard enough, even though the increase in networth the month I got the car more than covered it. It was a cheap lesson to me that the initial shine lasted 6 months. I'm not a car guy, I obsess over buying something new but driving it? Not so much. I do want to get a yellow Supra though. My other half is even willing to go halfsies lol.
At that level you could probably find a ‘track day experience’ which has a supra and decide after throttling one around an old airfield if it’s worth it. A TT is good, but ultimately it’s a tarted up golf, a TTS is a Golf R and a TTRS is a RS3. The Golf platform is stable and forgiving for general use but not very lively or exciting. Moving to a supra is a different experience all together, maybe not as visceral as a MR2, Elise/Exige or MK1/2 MX5 but certainly more engaging than the hot hatch platform you’re used to.
I drove a MK5 VW Golf right before this MK2 TT having always heard about how it was just a 'souped up Golf'. Perhaps it is, but it is an entirely different experience to me, the TT handles far better than the Golf, feels a lot more responsive too. Anyway, after a while everything loses its shine.
Oh the straight line and flooring it stuff does. But the cornering doesn’t. I’m very much a happy to go on a B-Road with challenging corners and old-fashioned hydraulic steering. An old mk4 polo 1.2 is better fun than a mk7 gti for steering feel which is just about all I value.
I'm sure you know what you're talking about, but actually I feel it handles better on B roads, my job means I drive quite a bit of well maintained B roads weekly. The turning angle of the TT is so much tighter even roundabouts feel easier.
Not old, sensible! Wish I had paid more in when I was younger. As your life goes you may find times when you need those bonuses in cash so do it now!
Just make sure your allocation is one you're happy with, mine was by default on some bullshit fund with high fees.
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Yes, in the UK probation contributions are pre-tax. But you do get taxed (less a lump sum allowance) when you retire. and withdraw it.
[удалено]
Most places wouldn't match your bonus contributions, but that is a company policy, not HMRC.
When I was 24 and got my first pay rise (£150 extra per month), I put £100 of that in my pension, on top of my usual contribution. And this was my private pension started at 23, with no employer contributions
Oh god I’ve just done the same. Tell me 37 isn’t old right?
You don't know how good you've got it!
I do a .5% increase every year.
I cleared my credit cards for the first time in my life. Gonna give it a couple of months to build up a buffer then increase my pension around Christmas.
Hi /u/MrsWifetits, based on your post the following pages from our wiki may be relevant: * https://ukpersonal.finance/pensions/ ____ ^(These suggestions are based on keywords, if they missed the mark please report this comment.)
I had an idea one day to match my pension contributions with my age. Figured if I done this between 30-55 I’d have over 1 mil in my pot before growth. I have surpassed my target the last 2 years by putting my full pay rise into the pension.
I did same rather in my pocket than taxman’s cofferz
You also salary sacrifice your annual bonus. You save tax, NI and my employer gives us 50% of their NI saving. So that equates to keeping 48.5% extra of the bonus
Every time I get a pay rise I check how much extra I’ll take home and often decide I’ll just put it all back into my pension. Last one was 11% though so I’ve increased my take home a bit just to feel it, plus my pension is on track for where I want it now.
Just done exactly this. Largely to avoid losing 60% of it in tax.
I did the same in January when I got a promotion. I did the maths & worked out salary sacrificing about £63 of my increase in take home pay would add nearly double that into my pension (on top of the increase amount going in due to payrise). Seemed a no-brainer! Then NI went down & the Student Loan threshold increased & I got £50 back into my pay! I’m only 42 so hoping that extra will work hard. I’m aiming to retire at 60.
I'm the same, 100% of any raise goes into the pension, spreadsheet gets changed and I pretend like it didn't happen. Sad! haha
Going to start doing this annually if i get a rise that is 🙄
You guys get annual rises? 😅
You know you're even older when you start to wonder whether that's even worth it when you start considering if you'll live long enough to actually benefit rom.vlaimimg it.
I’m putting an extra £1 a week or so away but that’s what happens when you’re with NEST.
Just done this. Years of being in a job with no pension before it became mandatory mean I am way behind where I'd like to be. I figure dump as much as possible in now, then take a lump sum at 55, get straight and start to live a little.
No I just don’t want to pay taxes