Nice one Pete. Actually amazing that now, with the power of the internet, that such excellent advice is freely available from people like yourself. Top man.
I´m a uni student in the uk (not from the uk) and I started watching this channel somewhat recently but I must say that Pete is giving me a lot of confidence and motivation to overcome the fear of investing. Great video!
Investing in alternative income streams that are independent of the government should be the top priority for everyone right now. especially given the global economic crisis we are currently experiencing. Stocks, gold, silver, and virtual currencies are still attractive investments at the moment.
It's amazing how even relatively small amounts can snow ball up over time! Finances should be as simple as possible, when there are are multiple accounts, wrappers, cards etc. it makes maintenance harder and there is more chance of stuff going wrong!
Another great Video Pete! Been following your videos now for a few years and even bought and read your book! Just wanted to really thank you for all your effort and guidance you have provided over the years! I have followed your sound advice and having just turned 30 this year with the first child on the way am so glad I did! I know times are tough currently but thanks to you I really feel financially secure being debt free, having my safety pot and savings in the credit union along with the stocks and shares moneybox isa + lifetime isa and my pension. You come across really well in your videos and make everything so simple and easy to understand! So yeah just wanted to thank you again and let you know your doing a smashing job helping alot of people make good financial choices ensuring they can look after their families now and in the future.
Hi Pete, another great video. My two children (19 and 23) are now well on their way to financial security and a worry free retirement. How I wish I could be 20 years younger.........however, I am lucky to have a decent job, final salary pension and property that is ticking along. Keep up the great work.
Easy advice, I don't have an ISA yet but will be looking to get one (and a lifetime ISA for retirement as well). But it's good to know that it doesn't have to be complicated! Thanks so much Pete!
Great videos thanks. I work within the Railway an pay additional contributions into BRASS before it’s taxed so 41% free living in Scotland with a final salary pension. Do I need anymore? Thanks again for the great videos
Hi Pete, Yet another great video! Like many others you’ve changed the entire way I now relate to money and wealth. Thanks also for the steer on JL Colins in previous video - fantastic book! Quick question on this video though. Can you expand on the suggestion to focus back onto paying into pension once you hit around £50k in Stocks and Shares ISA? I watched your previous video on Pension - v - ISA which was really good. But it did leave questions on how to best optimise the balance of both which your comment in this one seemed to be pointing towards. Another subject for another video perhaps? Keep up the great work 👍
"Can you expand on the suggestion to focus back onto paying into pension once you hit around £50k in Stocks and Shares ISA?" - I'm interested in understanding this more too.
Hi Pete. This is all really great content, thank you! I have a question about buying a house. I have a bit of an emergency fund, no debt, and just set up a SIPP. I'm 35 and gone back to university to do a masters degree (medical). I'm planning on doing a PhD which will last another 3 years. I also have a LISA with about £1000 that I was saving for a house deposit. As a student with a limited income and not in stable work for a few years, is it better to put spare cash in my SIPP and build that pot and hold off on the house deposit, or focus on getting a mortgage ASAP? I'm also a lone parent to a 6 year old so trying to create some stability looking to the future. My surplus doesn't stretch far enough to save for a house and contribute 5% to the pension. Any advice would be appreciated. Daniel.
Hi Pete I have been binge watching your videos interesting indeed thanks! Do you have a video about Envision your money software? They said in their ad as seen in your videos... can't find that one
Doesn't hurt to have £1000 or more in Premium Bonds either. You may never win, but it serves as additional emergency funds and can be topped up for as little as £25 per month.
What do you mean? You could have exactly the same fund within your ISA and within your Pension. Fund choices within some pensions can be quite limited, so you might have a 100% equity fund in your pension, if the timescale for accessing is long, but have say a 80% equity fund within your ISA because you plan to access that a bit before the pension. When you get near to pension age you may start building a cash flow ladder. See ua-cam.com/video/wL87j34VCEk/v-deo.html
Great video, earned a sub from me. I’m 26 and started investing this year. I’m investing £1,000 a month and will continue to do so for aslong as I can afford it i.e. living at home with the parents! My only concern is my index fund… I currently invest in the Vanguard FTSE Global All Cap - Accumulation, that should do the trick shouldn’t it? Not financial advice!
Brilliant straight forward advice Pete, as always 🙌🏻 I’ve shared with my son who’s been thinking about his long term finances! He’s early 30’s but I wish I’d had this advice when I was his age…I’ve started investing but much later! Thanks Pete and we look forward to the follow up videos 😊
Definitely not an insult, Steve. DR has done a great deal to further the cause of financial literacy in the US. Though I’d baulk at some of what he says and does, if we stick to the financial stuff (as opposed to the religious stuff) then he’s a genius.
Pete this is an excellent video and so helpful for where I am currently at with my personal finances. I totally agree with people only needing three or four accounts. At the moment I have an emergency fund of just over two months of household expenses, lifetime cash ISA and a private pension with Pension Bee, as well as an NHS pension. It's interesting that you mention to have 2 - 3 months of expenses in an EF when everyone else seems to recommend at least 3 - 6 months worth. I am completely debt free apart from my student loan and have been since the first UK lockdown. Given my current circumstances, would you say I am ready to invest? I still need to do some more research into it but I am definitely looking to invest as a beginner with Vanguard.
Aged 57....i want to work till retirement (67...yup some of us do). Basic rate taxpayer...have a S&S ISA in which i put in £800 a month (£43K at time of this post). Also have £75k in a pension (that i'm not adding to) with the same company. (got these through a FA..£800 a year fees). Am i doing the right right thing by putting the £800 into my S&S ISA?? Would this be better going into my pension for the tax relief?? Thx
Thanks. I guess the fundamental thing here is to believe that country like UK will exist in 20-30 years from now. On the other side, if you don't believe so, you would likely consider investments in agriculture.
I see no reason that it won’t be. And if it isn’t, then any investment would be dead. Even if you bought land, if there’s no land registry to prove it’s yours you’d be screwed. There’s no investment that would survive Armageddon…
@@MeaningfulMoney Indeed. In case of war of all against all (described by Hobbes) land at least can feed you as long as you can protect it which I really hope won't be the case. However, I don't see grow potential as well. 1. The population grow is slowing and I believe it will be more difficult to attract migrants in the future. 2. Energy crisis shows economic instability, and I believe this is just the beginning as UK doesn't have resources anymore. 3. In post-modern world I don't see any idea or even attempts to create one that could unite the nation again.
Hi Pete I have a pension question if you could help me at all? I have a QROPS pension that I would like to return back to a UK provider. Do you know any provider that facilitate this , I'm struggling to find anyone myself?
Sorry Ryan, I don’t. Once a pension is outside the UK pension regime, I think you’ll struggle to get this back into it. Suggest you call the good people at AJ Bell - that company was built on pensions, so if anyone can answer this question unequivocally, it’ll be them
@@MeaningfulMoney Thank you very much for your reply and I'll give them a try. Forgot to say I really enjoy your content it's changing it life for the better. Keep it up!
Have to say Pete I wish I’d discovered you ten years ago. I am 50 and have now moved my work pension from SW to Vanguard (US all-equities) set up a junior SIPP and junior isa for my 9 year old and even given the 4% drop yesterday in the Dow I know the power of the long game. Had I watched you ten years ago I conservatively estimate I’d have another £150-200k in investments. You’re making a real difference!
How does having 1 pension if you're paye worker, long term work though? On average you will have 12 jobs in a lifetime. Are we talking about combining previous employers pension scheme into your next employer?
Or have a personal pension that you transfer ex-employer schemes into when you leave, yeah… Important to compare the benefits of consolidation with the benefits of leaving schemes in place, but these days it’s mostly about cost
Pete, love the channel and the information you give. Could you answer a question for me? I earn £32k a year with a £4k shift allowance, can I put £36k(including tax relief of course) into my pension in a single year, or am I only able to put £32k in to benefit from tax relief. Thanks.
Yeah - LifeStrategy is a passive multi-asset fund like what I suggest here. Others are available though and I can’t make recommendations here. A 20year old should be 100% in equities and expect a very volatile ride, but they have the time to ride it out and make serious money over the nearly 40-year time horizon.
@@MeaningfulMoney That's my plan i only have the one fund in it that being the Vanguard LifeStrategy100 fund. I have a plan to drop down to the 82/20 fund when i hit the current retirement age (whatever that will be when i'm at that age) but i'll obviously think about that more nearer the time if i still need to
Pete - have you ever thought about setting up a Patreon account? I’d happily contribute to support the channel. And it would give your subs a chance to offer suggestions. For example - I use a credit card to pay for corporate travel expenses but the temptation is always there to dip in. Is there an alternate strategy that’s less easy to ‘accidentally’ use?
@@MeaningfulMoney Ha! No - I used to sponsor some people creating science videos on patreon but made the mistake of using my real name which meant some other sponsors started reaching out to me on Facebook. So I changed to a ‘vaguely viking’ sounding made-up name (my family is originally Scots/irish). I work for a very large German software firm. And I moved my pension to Vanguard from SW after I looked at the SW charges which were staggering - and even though actively managed were worse than the Vanguard, and HL all-equities index trackers (US for Vanguard, Global for HL). It genuinely makes me angry how much I lost in charges and sub-optimal management to over the 8 years I’ve had a pension…I won’t make that mistake for my son…he is 9 years old and already has a pension thanks to you.
We are in a recession. It is very vulnerable to a depression.. Most of us have had our savings dwindle with the cost of living into the stratosphere, we are finding it impossible to replace it. My condolences to anyone like myself retiring in this crisis, it gets tougher by the day.
I love your videos, you really make things clear and remove the 'panic' element form learning finance - thanks a lot! I currently pay into my employer's pension scheme the max 6% allowed, and match a great 9.5% on top. But as a EU citizen living in the UK I was recently advised that it might make more sense for me to pay less into my pension scheme and more into my ISA, as using that pension pot might be tricky if I decide to retire in my home country. I'd love if you could suggest resources to read on this, or perhaps record a Meaningful Money episode or two on the complexities surrounding EU citizens/UK residents finances ;-)
Can't be any better advice than this, when you are starting to plan your finances . To the point, simple and perfect.
Thank you Kamran - that’s what I was going for! 👊🏻
Nice one Pete. Actually amazing that now, with the power of the internet, that such excellent advice is freely available from people like yourself. Top man.
Thank you - appreciate you watching!
I´m a uni student in the uk (not from the uk) and I started watching this channel somewhat recently but I must say that Pete is giving me a lot of confidence and motivation to overcome the fear of investing. Great video!
Investing in alternative income streams that are independent of the government should be the top priority for everyone right now. especially given the global economic crisis we are currently experiencing. Stocks, gold, silver, and virtual currencies are still attractive investments at the moment.
Really great, fantastic video Pete. Outstanding content 👍
Thank you, Jack! 👊🏻🙏🏻👍🏻
Top video Pete, thank you 👍🏼
Cheers Urwa! 🙏🏻👍🏻
It's amazing how even relatively small amounts can snow ball up over time! Finances should be as simple as possible, when there are are multiple accounts, wrappers, cards etc. it makes maintenance harder and there is more chance of stuff going wrong!
Thanks for everything Pete.
Thanks for being here, Reece! 👊🏻👍🏻
Another great Video Pete! Been following your videos now for a few years and even bought and read your book! Just wanted to really thank you for all your effort and guidance you have provided over the years! I have followed your sound advice and having just turned 30 this year with the first child on the way am so glad I did! I know times are tough currently but thanks to you I really feel financially secure being debt free, having my safety pot and savings in the credit union along with the stocks and shares moneybox isa + lifetime isa and my pension. You come across really well in your videos and make everything so simple and easy to understand! So yeah just wanted to thank you again and let you know your doing a smashing job helping alot of people make good financial choices ensuring they can look after their families now and in the future.
Sat in bed feeling poorly, strangely this has calmed me 😂👍🏻
Get well soon, Tess!
Just to correct the statement on the lifetime isa, you can also take out the money without penalty if you have a terminal illness as well.
Hi Pete, another great video. My two children (19 and 23) are now well on their way to financial security and a worry free retirement. How I wish I could be 20 years younger.........however, I am lucky to have a decent job, final salary pension and property that is ticking along. Keep up the great work.
Easy advice, I don't have an ISA yet but will be looking to get one (and a lifetime ISA for retirement as well). But it's good to know that it doesn't have to be complicated! Thanks so much Pete!
Nice video. Sometimes the simplest plans are the best.
They really are! (And thank you!)
Always helpful and reassuring. Thank you
Thank you John - I’m glad to hear that!
Great video. Thank you.
Cheers Simon - thanks for watching!
Pete Matthew reaches the parts that other financial advisers don't even know is there, let alone reach!
I love your encouragement, Tony! 👍🏻🙏🏻👍🏻
Great videos thanks. I work within the Railway an pay additional contributions into BRASS before it’s taxed so 41% free living in Scotland with a final salary pension. Do I need anymore? Thanks again for the great videos
I hit like because Pete told me
To
Hi Pete, Yet another great video! Like many others you’ve changed the entire way I now relate to money and wealth. Thanks also for the steer on JL Colins in previous video - fantastic book! Quick question on this video though. Can you expand on the suggestion to focus back onto paying into pension once you hit around £50k in Stocks and Shares ISA? I watched your previous video on Pension - v - ISA which was really good. But it did leave questions on how to best optimise the balance of both which your comment in this one seemed to be pointing towards. Another subject for another video perhaps? Keep up the great work 👍
"Can you expand on the suggestion to focus back onto paying into pension once you hit around £50k in Stocks and Shares ISA?" - I'm interested in understanding this more too.
Hi Pete. This is all really great content, thank you! I have a question about buying a house. I have a bit of an emergency fund, no debt, and just set up a SIPP. I'm 35 and gone back to university to do a masters degree (medical). I'm planning on doing a PhD which will last another 3 years. I also have a LISA with about £1000 that I was saving for a house deposit. As a student with a limited income and not in stable work for a few years, is it better to put spare cash in my SIPP and build that pot and hold off on the house deposit, or focus on getting a mortgage ASAP? I'm also a lone parent to a 6 year old so trying to create some stability looking to the future. My surplus doesn't stretch far enough to save for a house and contribute 5% to the pension. Any advice would be appreciated. Daniel.
Hi Pete I have been binge watching your videos interesting indeed thanks! Do you have a video about Envision your money software? They said in their ad as seen in your videos... can't find that one
It’s was a podcast rather than a video, and a LONG time ago!
Doesn't hurt to have £1000 or more in Premium Bonds either. You may never win, but it serves as additional emergency funds and can be topped up for as little as £25 per month.
How can you differentiate the investments between the ISA and your Pension?
What do you mean? You could have exactly the same fund within your ISA and within your Pension. Fund choices within some pensions can be quite limited, so you might have a 100% equity fund in your pension, if the timescale for accessing is long, but have say a 80% equity fund within your ISA because you plan to access that a bit before the pension.
When you get near to pension age you may start building a cash flow ladder. See ua-cam.com/video/wL87j34VCEk/v-deo.html
@@NickMM34 I guess I meant some of what you said. There must be a variation in strategy between the two.
They could both be the same if you did not mind the volatility. If you have a cash buffer, you don’t then need to sell in a down market.
Great video, earned a sub from me. I’m 26 and started investing this year. I’m investing £1,000 a month and will continue to do so for aslong as I can afford it i.e. living at home with the parents! My only concern is my index fund… I currently invest in the Vanguard FTSE Global All Cap - Accumulation, that should do the trick shouldn’t it? Not financial advice!
Yes great choice
Brilliant straight forward advice Pete, as always 🙌🏻 I’ve shared with my son who’s been thinking about his long term finances! He’s early 30’s but I wish I’d had this advice when I was his age…I’ve started investing but much later! Thanks Pete and we look forward to the follow up videos 😊
Thank you Phyllis - I appreciate you sharing the video and the encouragement too!
Can I buy Bitcoin in an ISA?
Nope.
You can invest indirectly by buying crypto-related stock ( like Coinbase) in a SS ISA, although personally I don’t like crypto.
Love your videos BTW. Very educational. Feel you're a British Dave Ramsey (I hope that's not an insult).
Definitely not an insult, Steve. DR has done a great deal to further the cause of financial literacy in the US. Though I’d baulk at some of what he says and does, if we stick to the financial stuff (as opposed to the religious stuff) then he’s a genius.
@@MeaningfulMoney I agree about the financial/religious stuff. I also don't like it when he shouts occasionally.
Pete this is an excellent video and so helpful for where I am currently at with my personal finances. I totally agree with people only needing three or four accounts. At the moment I have an emergency fund of just over two months of household expenses, lifetime cash ISA and a private pension with Pension Bee, as well as an NHS pension.
It's interesting that you mention to have 2 - 3 months of expenses in an EF when everyone else seems to recommend at least 3 - 6 months worth. I am completely debt free apart from my student loan and have been since the first UK lockdown. Given my current circumstances, would you say I am ready to invest? I still need to do some more research into it but I am definitely looking to invest as a beginner with Vanguard.
Aged 57....i want to work till retirement (67...yup some of us do).
Basic rate taxpayer...have a S&S ISA in which i put in £800 a month (£43K at time of this post).
Also have £75k in a pension (that i'm not adding to) with the same company. (got these through a FA..£800 a year fees).
Am i doing the right right thing by putting the £800 into my S&S ISA?? Would this be better going into my pension for the tax relief?? Thx
Thanks. I guess the fundamental thing here is to believe that country like UK will exist in 20-30 years from now. On the other side, if you don't believe so, you would likely consider investments in agriculture.
I see no reason that it won’t be. And if it isn’t, then any investment would be dead. Even if you bought land, if there’s no land registry to prove it’s yours you’d be screwed. There’s no investment that would survive Armageddon…
@@MeaningfulMoney Indeed. In case of war of all against all (described by Hobbes) land at least can feed you as long as you can protect it which I really hope won't be the case.
However, I don't see grow potential as well.
1. The population grow is slowing and I believe it will be more difficult to attract migrants in the future.
2. Energy crisis shows economic instability, and I believe this is just the beginning as UK doesn't have resources anymore.
3. In post-modern world I don't see any idea or even attempts to create one that could unite the nation again.
Hi Pete I have a pension question if you could help me at all? I have a QROPS pension that I would like to return back to a UK provider. Do you know any provider that facilitate this , I'm struggling to find anyone myself?
Sorry Ryan, I don’t. Once a pension is outside the UK pension regime, I think you’ll struggle to get this back into it. Suggest you call the good people at AJ Bell - that company was built on pensions, so if anyone can answer this question unequivocally, it’ll be them
@@MeaningfulMoney Thank you very much for your reply and I'll give them a try. Forgot to say I really enjoy your content it's changing it life for the better. Keep it up!
Great video, the advice I wish I’d had aged 20.
Cheers Rory!
I'm happy I have this information at 21, thanks to Karen Marie Emma. she 's a good broker.
Have to say Pete I wish I’d discovered you ten years ago. I am 50 and have now moved my work pension from SW to Vanguard (US all-equities) set up a junior SIPP and junior isa for my 9 year old and even given the 4% drop yesterday in the Dow I know the power of the long game. Had I watched you ten years ago I conservatively estimate I’d have another £150-200k in investments. You’re making a real difference!
Thank you 🙏🏻
So actually you need 5 accounts. A savings account, an emergency fund account, a current account, a pension and a stocks and shares lifetime isa.
Everyone loves a smart arse Jonathan........🙄
Stick to football
How does having 1 pension if you're paye worker, long term work though? On average you will have 12 jobs in a lifetime. Are we talking about combining previous employers pension scheme into your next employer?
Or have a personal pension that you transfer ex-employer schemes into when you leave, yeah… Important to compare the benefits of consolidation with the benefits of leaving schemes in place, but these days it’s mostly about cost
Pete, love the channel and the information you give. Could you answer a question for me? I earn £32k a year with a £4k shift allowance, can I put £36k(including tax relief of course) into my pension in a single year, or am I only able to put £32k in to benefit from tax relief. Thanks.
You can put in the full £36k, definitely.
(And thanks for the kind words 👍🏻🙏🏻)
Pete is a life strategy like fund a good idea for a 20 year old to have in his pension?
If i were 20 again i would have put money in to the 100% Life strat. Word to the wise, never ever be out of the market.
Yeah - LifeStrategy is a passive multi-asset fund like what I suggest here. Others are available though and I can’t make recommendations here. A 20year old should be 100% in equities and expect a very volatile ride, but they have the time to ride it out and make serious money over the nearly 40-year time horizon.
@@MeaningfulMoney Hi Pete, what sort of percentage equities would be sensible for a 40 year old?
@@MeaningfulMoney That's my plan i only have the one fund in it that being the Vanguard LifeStrategy100 fund. I have a plan to drop down to the 82/20 fund when i hit the current retirement age (whatever that will be when i'm at that age) but i'll obviously think about that more nearer the time if i still need to
@@helixvonsmelix That's a quote by Jackboy Bogle is it not?
Pete - have you ever thought about setting up a Patreon account? I’d happily contribute to support the channel. And it would give your subs a chance to offer suggestions. For example - I use a credit card to pay for corporate travel expenses but the temptation is always there to dip in. Is there an alternate strategy that’s less easy to ‘accidentally’ use?
Very kind, Henghist Bluetooth! I presume this is your company?
@@MeaningfulMoney Ha! No - I used to sponsor some people creating science videos on patreon but made the mistake of using my real name which meant some other sponsors started reaching out to me on Facebook. So I changed to a ‘vaguely viking’ sounding made-up name (my family is originally Scots/irish). I work for a very large German software firm. And I moved my pension to Vanguard from SW after I looked at the SW charges which were staggering - and even though actively managed were worse than the Vanguard, and HL all-equities index trackers (US for Vanguard, Global for HL). It genuinely makes me angry how much I lost in charges and sub-optimal management to over the 8 years I’ve had a pension…I won’t make that mistake for my son…he is 9 years old and already has a pension thanks to you.
We are in a recession. It is very vulnerable to a depression.. Most of us have had our savings dwindle with the cost of living into the stratosphere, we are finding it impossible to replace it. My condolences to anyone like myself retiring in this crisis, it gets tougher by the day.
I pay 8% into my pension, my employer "matches" with 12%.
Hmmmm
Niiiiice! 👍🏻
@@kevincowan2639 ?
I love your videos, you really make things clear and remove the 'panic' element form learning finance - thanks a lot! I currently pay into my employer's pension scheme the max 6% allowed, and match a great 9.5% on top. But as a EU citizen living in the UK I was recently advised that it might make more sense for me to pay less into my pension scheme and more into my ISA, as using that pension pot might be tricky if I decide to retire in my home country. I'd love if you could suggest resources to read on this, or perhaps record a Meaningful Money episode or two on the complexities surrounding EU citizens/UK residents finances ;-)
Good video
For Savings Account, I'd opt for Premium Bonds
Thanks. Yep, that could work - probably get a better return from a savings account now though…