We’ve just got back from a camping trip which was brilliant even though we picked the first rainy weekend for weeks! I’ll do a separate post on the ins and outs of camping but it was definitely more cost effective than our normal holidays. Other than that trip, expenses have been reasonable. I had a small splurge on a new outfit for our work summer ball but I’m justifying this on the basis of wearing it to multiple weddings I’m attending this year and next year! That also means I can relegate a couple of dresses down to work wear and now I don’t need anything new for work.
My net worth figures have significantly increased this month because I found an old defined pension scheme worth more than £3,000 per year if I take it at state pension age. I’m including this in my net worth by multiplying the annual figure by 25 using the 4% rule in reverse. Bearing in mind that I’d like to retire many years before state pension age I’ll be separating out my different pots of savings in this and future net worth updates.
My overall assets have increased significantly mainly because of the pension to £414k and liabilities have remained largely the same at £172k giving me a net worth of £242k – a huge increase of 58.2%!!
My assets break down as follows:
Property/Car – £240k (58%)
Pensions – £164k (40%)
Cash/ISA – £10k (2%)
Obviously, my ISA is where I need to do the most work but given that this time last year I had no savings and quite a lot of credit card debt that has now been cleared I’m pretty happy with this position. I’d like to get the ISA to £100k and that should be do-able in the next 5 years.
It’s interesting to see my assets categorised like this and to be honest the cash/ISA balance is higher than I thought. How do your assets break down? Are you happy with the split?
The Saving Journey 
You have divided it pretty well.
loved your idea.
I guess I need to check out your style as well. Though small income I owe.
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Well done on recognising the need to have non pension savings.
As a higher rate tax payer 85k salary plus bonuses) I’ve always put a reasonable amount in my pension at 12% from me and as of this year 6% from my employer but I now recognise I need the flexibility that isas bring. Just be patient its amazing how it adds up when you start getting a decent amount in any of the pots. The power of compound interest at work
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Thank you! We’re now considering buying some land and building our own home so I’ll need a significant amount in those non pension pots!
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