Saving for wifes 50th
Discussion
Morning,
Wife will be 50 in 10 years... Yes planning ahead but was thinking of squireling away £100 a month into a savings account so I'll hardly notice it and there'll be a little pot to splash out with. Should have done it for her 40th which is why I'm doing this now!
Was just going to dump into a savings account/ISA but found this...
http://www.fairinvestment.co.uk/legal_and_general_...
Seems too good to be true - so what am I missing?
Wife will be 50 in 10 years... Yes planning ahead but was thinking of squireling away £100 a month into a savings account so I'll hardly notice it and there'll be a little pot to splash out with. Should have done it for her 40th which is why I'm doing this now!
Was just going to dump into a savings account/ISA but found this...
http://www.fairinvestment.co.uk/legal_and_general_...
Seems too good to be true - so what am I missing?
There’s nothing ‘wrong’ with it, where we define ‘wrong’ as ‘some chap from Nigeria is sitting on the beach with a suitcase full of your cash'.
If we define ‘wrong’ as acceptable investment returns, then yes it’s a bit of a shocker. Sure, your initial capital is safe, but your maximum return is about 6% pa pre tax and pre inflation. Your minimum return is zero, and you have a six year lockup. There are better and cheaper ways to achieve this risk profile.
It’s also specifically wrong for your situation because you are looking to put away a monthly amount and this is a single lump sum investment.
Do you have an ISA ? If not use that as the tax wrapper for a simple monthly amount of cash savings.
If you have an ISA already then look for a 90 or 120 day notice savings account and stick the cash in there, and review the interest rate a couple of times a year, switching without mercy to best on offer at the time.
If you want a higher risk profile then look at a low cost monthly savings tracker fund in FTSE or S+P. You can lose money in that of course.
If we define ‘wrong’ as acceptable investment returns, then yes it’s a bit of a shocker. Sure, your initial capital is safe, but your maximum return is about 6% pa pre tax and pre inflation. Your minimum return is zero, and you have a six year lockup. There are better and cheaper ways to achieve this risk profile.
It’s also specifically wrong for your situation because you are looking to put away a monthly amount and this is a single lump sum investment.
Do you have an ISA ? If not use that as the tax wrapper for a simple monthly amount of cash savings.
If you have an ISA already then look for a 90 or 120 day notice savings account and stick the cash in there, and review the interest rate a couple of times a year, switching without mercy to best on offer at the time.
If you want a higher risk profile then look at a low cost monthly savings tracker fund in FTSE or S+P. You can lose money in that of course.
Edited by Newc on Monday 19th November 10:27
Eric Mc said:
Why?
Eh?Newc said:
It’s also specifically wrong for your situation because you are looking to put away a monthly amount and this is a single lump sum investment.
Ah.... I can't believe I didn't spot that. Looked like a monthly investment fund rather than a single lump sum! Cheers Agent Orange said:
Eric Mc said:
Why?
Eh?Newc said:
It’s also specifically wrong for your situation because you are looking to put away a monthly amount and this is a single lump sum investment.
Ah.... I can't believe I didn't spot that. Looked like a monthly investment fund rather than a single lump sum! Cheers What do you plan to do about your own 50th?
I would be more inclined to invest to cover for more significant issues than mere birthdays - especially one that is still a decade away. Anything can happen in ten years.
Eric Mc said:
It's just that neither I nor my wife made any sort of fuss over this particular event. I was wondering why you thought it was of sufficient import to embark on a quite serious investment path.
What do you plan to do about your own 50th?
I would be more inclined to invest to cover for more significant issues than mere birthdays - especially one that is still a decade away. Anything can happen in ten years.
Not sure why that is important to you though is endemic of PH to make judgements based on a single post so since you ask....What do you plan to do about your own 50th?
I would be more inclined to invest to cover for more significant issues than mere birthdays - especially one that is still a decade away. Anything can happen in ten years.
£100 a month isn't serious. Only a tenner more than a tank of fuel.
Already covered up to the eyeballs for issues and money aside for unexpected events, plus planned events etc.
You're right - anything can happen in ten years and given the surgery I went through this summer if I make it to 50 that'll be worth celebrating on it's own. Good enough answer?
Agent Orange said:
supersport said:
If you're putting away monthly and only about £100, get yourself a firstdirect current account and then open a regular saver at 8%. Just keep rolling over into a new one every year.
8%?! Blimey that's good. Thanks I'll take a look.Newc said:
supersport said:
If you're putting away monthly and only about £100, get yourself a firstdirect current account and then open a regular saver at 8%. Just keep rolling over into a new one every year.
Oh yes, I'd forgotten about this offer. Definitely this.supertouring said:
£12k for a party - you are going to have one hell of a hangover 
madmover said:
Have you decided what your going to buy her?
Haha! Not spending £12k on a party - easily done but not the plan. We'll sort a party, no doubt a nice meal out with friends and family too.Most likely we'll do a GP in either Monaco, Abu Dhabi, Singapore etc. I've been to Monaco a few times and my wife is most jealous - not least because once I went with two of her best mates...
Son will be 15 then too so would want him to come. All of a sudden £12K doesn't look so much money!!
Agent Orange said:
Haha! Not spending £12k on a party - easily done but not the plan. We'll sort a party, no doubt a nice meal out with friends and family too.
Most likely we'll do a GP in either Monaco, Abu Dhabi, Singapore etc. I've been to Monaco a few times and my wife is most jealous - not least because once I went with two of her best mates...
Son will be 15 then too so would want him to come. All of a sudden £12K doesn't look so much money!!
Good for you, I loved Monaco and if I had to take 2 others then I agree 12k wouldn't be alot!Most likely we'll do a GP in either Monaco, Abu Dhabi, Singapore etc. I've been to Monaco a few times and my wife is most jealous - not least because once I went with two of her best mates...
Son will be 15 then too so would want him to come. All of a sudden £12K doesn't look so much money!!
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