Sister higher earner than Husband
Sister has good NHS pension
Husband has tiny pension as low earner
House has enough equity for him to be re-housed in a two-bed house
Sister wants to keep all pension in lieu of any proceeds from house
Sister has just moved into rented and wont be able to get back on property ladder for a long time
Adult children so dont factor in as dont live with them
Do you think their private agreement is fair?
Would my sister have to pay SM as he is a low earner?
Post exact figures of who earns what and who is having what assets and what the value is and their ages.
Sounds like they both have what they want though? If they are both happy then that is the first hurdle and there are no children to consider.
What are the long term prospects for the husband in retirement? Not really likely to be able to downsize any further so what will retirement income be?
Would your sister not rather share the pension and have some deposit for a house and get a mortgage now? You can''t live in a pension so what is going to happen to get her back on the property ladder if thats what she wants?
Husband - 18k
Wife - 50k
House value - 120k
Mortgage owed - 55k
Husband pension not worth much - not sure of figure and Wife''s pension is good not not certain of figure either.
Wife seems happy to rent just to get out of marriage - but think she isnt thinking in practical terms at the moment. Husband not happy as knows wont have much pension - but will at least have a house paid for.
Wife worked for NHS for nearly 40 years so pension must be fairly decent.
As it stands you''re looking at husband getting £65k equity from the house which will re-house him?
With the disparity in incomes she will have earned this much more in less than two years!
With £50k pa and over 40 years service in a final salary pension scheme the pension is worth way in excess of the equity in the house. In fact the lump sum payable on retirement, which can probably be taken now, would be worth more than £65k.
Think she should be thinking more along the lines of splitting pension 50/50 and paying spousal maintenance.