Dave is 56 and earns around £72,000 a year net of tax, and expects his earnings to keep pace with inflation until he is 65. He owns 50 percent of a business that makes pension contributions of £24,000 a year and his wife has a small local authority average salary scheme pension. Their home, which is worth around £825,000 has a mortgage of £400,000 on it, and his wife owns another property worth around £200,000.
Sipp, cash and property
10 per cent total return a year to build up £900,000 pension fund in eight years and help children
"I am aiming for an average total return of 10 per cent a year for the next eight years from my self-invested personal pension (Sipp) portfolio," says Dave. "I plan to add £2,000 a month to it during this period, and hope to create a total pension fund of £900,000 by the time I am 65.