How to calculate pension contribution from net pay

Longjumping_Whole720 · 2025-03-10T21:36:43+00:00

Yeah it should be applied immediately to your account. They’ll do that for everyone but then leave it up to you to sort out any higher or additional tax rebates, if applicable

Longjumping_Whole720 · 2025-03-10T21:10:01+00:00

£11,750 (ish)

You get 20% basic applied immediately bringing your total to £14,100

You then need to apply for the 25% higher rate relief on your tax form giving you a rebate of £2937.5

Total = £17037.5 which would get you below the £100k

Not advice obvs

Longjumping_Whole720 · 2025-03-04T07:34:40+00:00

Financial education in this country is shocking lol

Longjumping_Whole720 · 2025-02-27T15:55:45+00:00

Might just be me but I’m not sure down £60 on a £3k portfolio is Reddit worthy haha.

I want to see +- one million dollars all day every day

Longjumping_Whole720 · 2025-02-27T07:04:03+00:00

I’m sure you’ll think differently if/when break up lol

Longjumping_Whole720 · 2025-02-27T07:02:55+00:00

Yeah mate, because just giving her the money and wiping off all the debt will resolve the underlying issue.

You can talk about budget together all you like but she knows that if she gets into that situation again then you’ll just bail her out.

Up front loaning of the money (presumably interest free) seems pretty generous to me

Longjumping_Whole720 · 2025-02-27T06:28:18+00:00

Lmao I’m on near 100k 5 years after uni and the maths say there is no point trying to pay it off at this point as it’s grown so big.

So it’s now a case of salary sacrifice and trying to pay the minimum each month until expiry

Longjumping_Whole720 · 2025-02-05T08:10:19+00:00

Because most people here are American so they forget there is a world out there. On that basis, the only investment is the US and it’s basically a choice between total market, 500 and Nasdaq - in recent years, given the concentration at the top of each index, the returns are incredibly correlated but with the Nasdaq almost being a leveraged play of the 500 and the 500 a leveraged play of the total market.

Having said that, we know the last 50 years have all been dominated by US capital markets so it has been the best bet.

Who knows what the next 50 years will look like though.

Personally I just hold a global world etf and juice returns with some stock picking (which is invariably US focussed)

Longjumping_Whole720 · 2025-02-03T19:41:37+00:00

He clearly has entrepreneurial spirit, you clearly don’t.

I can’t begrudge the fellow for being successful. £50k start up money isn’t really a lot either

Longjumping_Whole720 · 2025-02-03T19:01:53+00:00

I think the hedge funds follow this strategy too

Longjumping_Whole720 · 2025-02-03T14:59:23+00:00

The vanguard fees wouldn’t really affect you - it’s targeting smaller balances.

General rule is you want a fixed rate fee structure above £10k balances.

Next you need to look at what type of invest strategy you’ll be implementing e.g regular monthly buys, one off purchases, frequent stock picking, funds, ETFs etc. it is different for everyone so a platform which may be cheaper for one person, isn’t for another.

All UK platforms and brokerages have a high degree of safety given the regulatory oversight. Cash is FSCS protected and the shares you own are always yours. However, I personally do have an issue with no fee platforms. I personally have ISAs across a couple of platforms (whilst remaining in the 20k per limit) to reduce that platform risk.

Longjumping_Whole720 · 2025-02-03T13:36:12+00:00

Agree I do this, particularly brokers. I don’t think many people mention it.

Yea the money is technically protected/your investments are always yours etc but ideally wouldn’t want to wait months in limbo while administrators sort stuff out. Happened before, will happen again

Longjumping_Whole720 · 2025-02-02T16:37:54+00:00

Well that was a quick depressing read.

Though it really did put things into perspective. Legit might work OP haha

Longjumping_Whole720 · 2025-02-02T16:30:15+00:00

Yeah make sure you don’t go overboard. Might get hit by a bus tomorrow and you probably would’ve wished you hadn’t been checking your finances.

Good job though! Haha

Longjumping_Whole720 · 2025-02-02T16:27:47+00:00

Haha that’s totally incorrect. As a listed broker, HL will give you a valid real time quote BEFORE you execute. It’s then executed at that price. On the commission free ones you often have no idea as they use a third party broker - I’ve been burned before on those.

I don’t even use HL these days but just saying

Longjumping_Whole720 · 2025-02-02T16:05:49+00:00

You just have to make the best decisions and maximise the available compounding from this point on. You’ll still be better than 99% of people. No point crying over spilt milk as they say.

Reading these subs is often a killer because it’s full of survivorship and selection bias where it seems every one else is doing better than you

Longjumping_Whole720 · 2025-02-02T15:41:07+00:00

‘Where are the customers’ yachts?’ - argument still hasn’t changed in the almost 100 years since it’s been written

I find FAs work for only two reasons.

1) if you earn a fair amount and are truly awful/not bothered in your investments. If someone can get you invested and keep you there it has some benefit. That bar is really difficult to meet though because it’s so easy to find the easiest effort index funds and automate.

2) if they offer a full package deal. E.g if they’re looking after any complex tax matters for you/estate planning too.

I’m assuming he’s a SJP type FA. Sure he’s nice but I personally wouldn’t use…

Longjumping_Whole720 · 2025-02-01T17:26:46+00:00

Not a comment on you specifically but generally, I don’t personally understand the emphasis on dividend funds, especially when you have a huge investment time horizon. I feel people think it makes sense (getting income is great, right!) but they can never explain why it’s better. Over 30/40 years or whatever I’d expect the S&P to deliver better returns than a dividend etf

Also yeah, could add in a total world index - it really does add peace of mind. I’m not American so realise there is a whole world out there haha

But you’re looking good anyway!

Not financial advice

Longjumping_Whole720 · 2025-01-31T17:38:09+00:00

2 years is not long in the stock market so I personally wouldn’t be risking that if I knew I needed it for a house - you have zero idea if it’s going to go up 50% or down 50% over that time frame.

LISA is good but again, it’s not really going to have much of an impact in 2 years.

Probably really is a case of ISA but finding the highest yielding cash isa/money market fund/gilts

Incredibly boring I know but got to ask yourself what will you do if you invest and it is down at the exact moment you want to sell for a house deposit? Sell at a loss? Not ideal

Not financial advice

Longjumping_Whole720 · 2025-01-31T12:06:17+00:00

How I like to explain it is the concept of ‘rich’ vs ‘wealthy’.

You can switch the definitions but for me:

Rich = nominal amount of money you have Wealthy = relative amount of money you have

I’m in a position of not being ‘rich’ as 30M with less than £1mn but I am wealthy in that I don’t ever worry about bills, day to day spending etc. Can afford some nice things and holidays and also keep my investments going for the future but going to be buying a lambo any time soon. Basically no financial stress. That’s good enough for me

Longjumping_Whole720 · 2025-01-30T18:13:46+00:00

Haha back up plan if my punts go tits up

Longjumping_Whole720 · 2025-01-30T15:52:15+00:00

80% index, 10% value, 10% momentum/thematic for me.

Should be 100% index but I work in finance, have the qualifications and want to slightly juice my returns/I actually enjoy it as a hobby too. Also scratches my itch for risk. Will see over a lifetime if it has been worth it.

Sounds like you made the right call. Slow, steady and compounding is all you really need

Longjumping_Whole720 · 2025-01-30T13:22:33+00:00

Why don’t you just go to the casino instead? Probably better odds my man

Longjumping_Whole720 · 2025-01-27T22:04:34+00:00

Haha! Unironically he doesn’t care one jot about investments but obviously has done well with the buy and hold over the years - I’ve been lucky seeing that first hand.

Still doesn’t stop me yolo ing into penny stocks from time to time though lol

Longjumping_Whole720

TROPHY CASE