Ask a planner answers: I would ideally like to retire before I am too old to enjoy it!

Friday, May 5, 2017

The question from Debbie, 55.

My husband and I are about to separate. I earn a lowly £17,000 pa. We have an outstanding £50,000 mortgages. I still have 2 grown up children living at home. One contributes financially, the other is on an apprentice wage. How can I manage to make ends meet? I would ideally like to retire before I am too old to enjoy it!

Answer from Julie Lord CFPTM Chartered FCSI, Chief Executive, Magenta Financial Planning

More information is needed to answer this question properly e.g. Is your husband going to make a contribution? What is the equity in the house? Will you sell the house? Can you get a different or another job? Health? Age? etc. etc.
In the short term, you should write down all your expenditure and split this into essential and optional and create a proper budget. Hopefully, your husband will pay half of the mortgage until you can reach a proper financial settlement. I then suggest that you try to reach an amicable financial settlement. There are collaborative solicitors who can help avoid things getting nasty and going to court. I further suggest that you each consult a CERTIFIED FINANCIAL PLANNERTM professional who can provide a lifetime cashflow forecast for you so you can see what you need to earn when you can stop work and how much capital you need.

At Magenta Financial Planning we help our clients build plans for future security and happiness. Based in South Wales, we are a small friendly team who have the knowledge, experience and skills to ensure that your financial and other affairs are organised to best effect to achieve your goals.

Julie Lord CFPTM Chartered FCSI, Chief Executive, Magenta Financial Planning
www.magentafp.com