Aibu to ask what you’d spend it on

[Yourcatisnotsorry]

This is not a stealth brag and I appreciate we are very lucky and many others aren’t, we not from money actually we both are from council estates, we do give substantial amounts to charity, do volunteer work and provide free childcare for our friends.

I have a very well paid job which I enjoy. We have paid off our mortgage and have no debts and substantial savings. 2 preschoolers. Mid 30s. No expensive hobbies or tastes (we like to travel but that’s not happening at the moment). We have a few thousand a month spare. Our families are all financially comfortable. Wwyd?

A send kids to private school
B go part time/reduce hours
C buy a grand house (ours is 5 bed detached suburban)
D buy fancy cars, clothes, hols when allowed, generally upgrade everything in life
E have another baby
F save for a rainy day and/or retirement early
G other?

Have another baby

What's your job? Does the role fit with your ethics? I would love a highly paid role but the work of highly paid people often seems to be at the expense of other people or the environment. Seeing as you have such a charitable nature this could become an issue for you the older you get. So I would consider that really carefully.

Early retirement

B - spend as much quality time with your children you don't know what's around the corner.

I would save enough for a rainy day. As preschoolers are relatively cheap to entertain/clothe in comparison to older children/teenagers. You never know what the future holds, so having that security for their/your families future can only be a good thing.

But if another baby is on your mind I would go for it, as you don't want to regret not expanding your family and find its too late. Holidays/material goods will always be there/available in the future.

Although its tricky as cutting hours would be good so you can enjoy the early years with your DC as memories last forever and you can't get those back. I work term time and love my freedom to do loads of activities/enjoy days out with my dds. (Much lower income i don't have thousands coming in let alone spare 😂)

If you’re working long hours, I’d reduce them if you can and still have a good income. The rest would be spent on amazing holidays, extra curricular things for the children and the rest would be saved for them. If you have pre schoolers now, it’s likely that they will need a significant deposit each to get on the housing ladder.

Follow the FI/RE mantra. Fixed income, retire early.

In your case with thousands to spare (wow!) I'd reduce hours, live on a lower fixed income and still save as much as I could for an early retirement.

Don't fall into the trap of capitalist consumption. Having another baby would be lovely (I'd like another) but terrible for the environment.

You are in a pretty perfect situation right now. Enjoy it.

Save it. We retired at 50 So glad we saved when we were younger.

I'd have one parent, or both, dropping to 4 days a week. Then split between saving and spending.

Saving for the future is important, but it’s also important to make the most of life when you can.

@MoiraNotRuby

What's your job? Does the role fit with your ethics? I would love a highly paid role but the work of highly paid people often seems to be at the expense of other people or the environment. Seeing as you have such a charitable nature this could become an issue for you the older you get. So I would consider that really carefully.

Yes it’s associated with the vegan/zero waste ethos that I live to try by so fits very well with my ethics :-)

@nocutsnobuttsnococonuts

I would save enough for a rainy day. As preschoolers are relatively cheap to entertain/clothe in comparison to older children/teenagers. You never know what the future holds, so having that security for their/your families future can only be a good thing.

But if another baby is on your mind I would go for it, as you don't want to regret not expanding your family and find its too late. Holidays/material goods will always be there/available in the future.

Although its tricky as cutting hours would be good so you can enjoy the early years with your DC as memories last forever and you can't get those back. I work term time and love my freedom to do loads of activities/enjoy days out with my dds. (Much lower income i don't have thousands coming in let alone spare 😂)

Term time hours sounds brilliant! Thank you I will Investigate that when they start school

Personally, I’d save some and reduce work
hours.

@CaptainMerica

I'd have one parent, or both, dropping to 4 days a week. Then split between saving and spending.

Saving for the future is important, but it’s also important to make the most of life when you can.

Thank you, OH does 3 days already but I am veering towards going down to 4. He is veering towards big house/car. He wants a tesla. I’m happy on the trains haha.

I would create a sustainable family income based on returns from investments that is not dependent on you or your partner having to continue to work.

This would be the best legacy you could create for your children too, far more value able than any grand asset or savings.

Have you a property portfolio? I would look at that as an option. Possibly focus on commercial for higher returns.

@Botanica

I would create a sustainable family income based on returns from investments that is not dependent on you or your partner having to continue to work.

This would be the best legacy you could create for your children too, far more value able than any grand asset or savings.

Have you a property portfolio? I would look at that as an option. Possibly focus on commercial for higher returns.

Thank you. I guess we don’t know where to start. I probably need to speak to a financial advisor. We have some stocks and share Isas and some shares but I’m not sure about property especially since I suspect covid will revolutionise how we use office space. Have you done this? Can you advise the best way to start looking into it? Thanks so much.

If the independent schools in your area are the best for your DC then I would go with that option. I’m very grateful to my parents for sending me to a good school (not that public schools are always the best choice - but in my area it was) similarly it’s a priority for me for my own DC.