\n\t\t\t\t\tDarryl Shear is 52, but expects to work for another 23 years, until his mortgage is paid off\t\t\t\t\t <\/p>\n
In our How I Manage My Money series, we aim to find out how people in the UK are spending, saving and investing money to meet their costs and achieve their goals.<\/p>\n
This week, we speak to Darryl Shear, a 52-year-old architect and business owner living in Hove. Darryl, who has a 19-year-old son, recently secured a mortgage which runs until he is 75. Following a divorce, he does not expect to retire by the age of 75<\/a>. Darryl thinks VAT on residential projects should be scrapped.<\/p>\n My monthly income: I pay myself a wage and dividend from my business<\/a>, Shear Architectural Design, giving me an income of about \u00a34,000 a month.<\/p>\n My monthly outgoings: My outgoings are lower than normal at the moment. Following a divorce, I am living at my parents house and am paying them money each month as rent and to cover bills. My other expenses include: Car fuel, \u00a3240; mobile, \u00a317; life insurance, \u00a335; gym seven days a week, \u00a336; Amazon Prime, \u00a38.99; pub quiz nights, \u00a340; eating out, \u00a3250 to \u00a3300. I usually add about \u00a310,000 to my work pension towards the end of the financial year. My car insurance is \u00a3450 a year.\u00a0<\/p>\n My parents were both hairdressers and we all emigrated to South Africa from the UK when I was two. However, by the time I was about eight, my family had relocated back to the UK. After leaving school, I studied architecture at the University of Greenwich in London. <\/p>\n I was a teacher for 18 years before setting up my architectural design business. I taught 11 to 19-year-olds design and technology, and absolutely loved it. By the end of my time in teaching, I was vice principal of a school, earning around \u00a353,000 a year.<\/p>\n I decided it was time to pursue my passion and do something other than teaching. Teaching is a young person\u2019s game and runs on goodwill. So, eight years ago, I quit teaching and set up my architectural business, Shear Architectural Design. We do a lot of residential projects like loft conversions and extensions, but we have also done small commercial projects.<\/p>\n I still don\u2019t enjoy running my own business as it is just so stressful. Working in a sector like teaching, I feel you are somewhat protected from the world and what\u2019s happening in the economy. However, running my own business, it\u2019s all on me and that is a lot of pressure to live with. That said, I love what I do and enjoy helping clients.<\/p>\n I think Chancellor Rachel Reeves should abolish VAT on residential projects. Once VAT is added, many homeowners simply cannot afford to get a project done and rethink their priorities. Because of VAT, getting home improvements or extensions done is out of reach financially for too many people.<\/p>\n While in the past I enjoyed shopping and impulse buys a little too much, I am watching the pennies now following a divorce. I am trying to rebuild my finances.<\/p>\n I\u2019ve always worked hard and tried to set aside money in pensions as a priority throughout my career. I always added extra money to my teacher pension. I have a pension from teaching and about \u00a350,000 in a private pension<\/a>. I also have a few other old work pensions from years ago.<\/p>\n I never wanted to struggle in old age, but now I expect to be working until I am 75. This is not what I had planned or hoped for, having previously wanted to retire in a couple of years. I recently took out a mortgage, which runs until I am 75, making it more unlikely I will be able to retire. I always wanted an income of about \u00a34,000 a month in retirement, but this is unlikely now.<\/p>\n I don\u2019t think the state pension is enough to survive on by itself. It is scarcely enough to cover food, rent and bills, and I have no idea how people live off it. I worry that some people living on the state pension are surviving as opposed to living. Encouraging people to look at private pensions is, in my view, a good thing.<\/p>\n