Tony Byrne’s Views 23 October 2017
How to retire early and live the dream life
I recently read an article about a young couple called Shanine, aged 22, and Darren, aged 24, who have just bought their first house, a 4 bedroom detached in Tiverton in Devon, for £265K. They do not have high paid jobs. He is a plumbing and maintenance engineer and she works in retail.
They have even taken out a 20 year mortgage rather than a 25 year one! They have even calculated they could pay it off in 13 years rather than 20!
So how have they managed to do this? Well these are their 7 tips.
- Don’t buy things on finance
- Learn to budget
- Live at home
- Get an app
- Look out for deals on savings accounts
- Do your research
- Be prepared
Admittedly they didn’t go to university so have not lost 3 years of earnings and haven’t left further education with the average student debt of just over £50K each. Nonetheless their common sense attitude to money and their frugality is set to pay handsome dividends to them in the years ahead.
I really love stories like this because it just goes to show that in spite of all of the negative news in the media about how difficult it is for younger people to get onto the housing ladder, it is in fact entirely possible to do so as evidenced by this young couple’s example.
In my 30 years’ experience as a financial planner I have come across many examples of clients who have been equally as good with money as Shanine and Darren. The most successful money managers amongst my clients tend to have similar traits. They do not have highly paid professional jobs, they live in modest houses and drive second hand average cars, they don’t waste money, they have little or no debts and they make their money sweat.
Clients who have practised these habits throughout their lives experience long and happy retirements, usually early ones, in my experience. They have mastered money rather than letting money master them.
If you are not already someone who is financially free and would like to be, why not contact us for a financial review? We’d love to help you to plan to live the life of your dreams.