Money thoughts …

Tysonator said:
I have really thought about buying PB's !
How much does one have to invest to say £20 per month ( average over a year ) ?
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If you mean what holding you would need to return you £20 per month in winnings, going off my average over the last few years, a holding of £8,000 would do it. Although you could win a million in your first draw or nothing ever.
 
£25 this month, £300 last month (on a 25k holding)

Over the nine months I've had that level of PBs the return works out at 4.9%. It was much lower when I had £24 in individual paper bonds that were bought for me as a baby, £0 won over more than 50 years (I still have those bonds, gave them the numbers and got them transferred to the online account when I set it up and none of the prizes I've won since have come from them.)
 
Well......

I recalled having a £1 PB as a child, so I went through the Lost Account procedure with NS & I and they found it :)
I created an account to be able to see the Prize History and lo & behold = zilch, nada, zero prizes.

Now the bond was bought in 1957.......you would have thought there might have at least one win during the last 67 years, if only just a £5 :facepalm:

I am thinking of putting in some more money to see if that results a few modest wins :thinking:
 
I wonder if the draw is entirely by chance, or if it is biased to give an even spread of numbers as winners. Chance is almost always "lumpy"
 
Me Zilch
Wife £175
 
Nothing for me in last 6 months. But I only have 10k in for easy access money.. i took 40k out and put in two ISA at 5.5% earning me an extra £183 a month. every month tax free .. the rest of my saving where in fixed saving bonds. i needed something thta i could get out in case of major emergency like replacemnt car haha....

so 10k 6 mths nothing.. 50k was winning every month.. cant work out the odds there myself :)
 
KIPAX said:
Nothing for me in last 6 months. But I only have 10k in for easy access money.. i took 40k out and put in two ISA at 5.5% earning me an extra £183 a month. every month tax free .. the rest of my saving where in fixed saving bonds. i needed something thta i could get out in case of major emergency like replacemnt car haha....

so 10k 6 mths nothing.. 50k was winning every month.. cant work out the odds there myself :)
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Mse have fine done good articles on the odds including this


Tl;Dr it's a bit more complex than it looks
 
£75 today, just topped hers back up to the max, hopefully help with bigger returns.
 
KIPAX said:
Nothing for me in last 6 months. But I only have 10k in for easy access money.. i took 40k out and put in two ISA at 5.5% earning me an extra £183 a month. every month tax free .. the rest of my saving where in fixed saving bonds. i needed something thta i could get out in case of major emergency like replacemnt car haha....

so 10k 6 mths nothing.. 50k was winning every month.. cant work out the odds there myself :)
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5.5% on an ISA is very good rate !
 
KIPAX said:
Nothing for me in last 6 months. But I only have 10k in for easy access money.. i took 40k out and put in two ISA at 5.5% earning me an extra £183 a month. every month tax free .. the rest of my saving where in fixed saving bonds. i needed something thta i could get out in case of major emergency like replacemnt car haha....

so 10k 6 mths nothing.. 50k was winning every month.. cant work out the odds there myself :)
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Tysonator said:
5.5% on an ISA is very good rate !
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Always good to get good rates.

But what puzzled me a tad, was that I thought you could only have one cash ISA and one shares ISA or have things more on and/or have I misunderstood @KIPAX what you describe?
 
Box Brownie said:
Always good to get good rates.

But what puzzled me a tad, was that I thought you could only have one cash ISA and one shares ISA or have things more on and/or have I misunderstood @KIPAX what you describe?
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I'm guessing Mrs Kipax will have one?
 
Box Brownie said:
Always good to get good rates.

But what puzzled me a tad, was that I thought you could only have one cash ISA and one shares ISA or have things more on and/or have I misunderstood @KIPAX what you describe?
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There is no limit to how many isa''s. You can have. The only limit is how much you can deposit in them per year.
 
Box Brownie said:
Always good to get good rates.

But what puzzled me a tad, was that I thought you could only have one cash ISA and one shares ISA or have things more on and/or have I misunderstood @KIPAX what you describe?
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Sorry yes as @admirable says my missus.. From day 1 nearly 35 yrs ago its always been our money.. neither of us have had our own money .. I beleive its one of the reasons for a long and happy relationship wiht no arguments.. its 100% shared so 2 seperate ISAs in name only:) max 40k rest at same 5.5% in fixed savings... Its down to 4.50% and hoping it doesnt go any lower before thse all run out in august :)
 
Terrywoodenpic said:
There is no limit to how many isa''s. You can have. The only limit is how much you can deposit in them per year.
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last aug we went into nationwide to move our money around so to speak.. he gave us an ISA each and the rest in a fixed saving... the isa are tax free but the savings arnt however you can earn up to £1000 interest before paying tax... he never mentioned multiple isa which are straight tax free.. hes a naughty boy then ..
 
Terrywoodenpic said:
There is no limit to how many isa''s. You can have. The only limit is how much you can deposit in them per year.
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My understanding was, as you say, a max amount per year of £20k though could be spread now across multiple ISAs
KIPAX said:
Sorry yes as @admirable says my missus.. From day 1 nearly 35 yrs ago its always been our money.. neither of us have had our own money .. I beleive its one of the reasons for a long and happy relationship wiht no arguments.. its 100% shared so 2 seperate ISAs in name only:) max 40k rest at same 5.5% in fixed savings... Its down to 4.50% and hoping it doesnt go any lower before thse all run out in august :)
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I 'see' and akin to sharing tax limits ~ or something like that for married couples.

I need to make my money work harder as I have old ISA that is now giving me 'squat'!
 
Box Brownie said:
I need to make my money work harder as I have old ISA that is now giving me 'squat'!
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This.

Once a year, go through all DDs and cancel everything you don't need. Once a quarter, review any savings (and especially loans) and see if they need moving. Inertia costs you a lot of money. A friend has made £600 this year just from moving her bank account a number of times.

3 hours or so a year that will "pay" better than any other hours.
 
I tried moving banks once. Caused so many issues that I learnt that if you are content where you are it may not be worth a few quid. Ended up back where we started.
 
Just a very basic pension question, based on a random thought.

If you have a pension, lets say for easy maths its worth 200k at retirement age (65) - The plan says something like you can take out 50k and then get 10k a year, or take nothing and get 15k a year. What happens about when you die? So suppose you die at 66 having only taken out 15k for that year - what happens to it? Likewise, what if you live for another 30 years - that's 450k due at 15k a year but your pot is only 200k?
 
The more you leave in the pot the more monthly return you’ll get. Take out the maximum and you’ll get less each month. It is a gamble and you’ll need to look at the terms, conditions and forecast when approaching your retirement. They will let you know a forecast of either taking min or max lump sum and what your return’ll be. Some plans if you snuff it too quick you loose your stake, others will give a spouse maybe half the monthly pension.
 
Box Brownie said:
I need to make my money work harder as I have old ISA that is now giving me 'squat'!
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I’m not a financial advisor!

If you have an old ISA from previous tax years, lets say giving you less than the 4.5% that’s available now then you can open a new ISA for this tax year 24-25 and transfer your old ISA into the new one and receive the higher interest rate. You can also deposit up to £20k in the new ISA in this tax year.

DO NOT CASH IN THE OLD ISA AND PLACE THE FUNDS INTO THE NEW ISA, THE FUNDS MUST BE TRANSFERRED IN TO KEP THE TAXFREE STATUS!
 
admirable said:
I’m not a financial advisor!

If you have an old ISA from previous tax years, lets say giving you less than the 4.5% that’s available now then you can open a new ISA for this tax year 24-25 and transfer your old ISA into the new one and receive the higher interest rate. You can also deposit up to £20k in the new ISA in this tax year.

DO NOT CASH IN THE OLD ISA AND PLACE THE FUNDS INTO THE NEW ISA, THE FUNDS MUST BE TRANSFERRED IN TO KEP THE TAXFREE STATUS!
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or just spend it on a new camera? :D
 
Premium Bonds May
Mrs C; £50
Me; £75

...disgruntled...
 
cambsno said:
Just a very basic pension question, based on a random thought.

If you have a pension, lets say for easy maths its worth 200k at retirement age (65) - The plan says something like you can take out 50k and then get 10k a year, or take nothing and get 15k a year. What happens about when you die? So suppose you die at 66 having only taken out 15k for that year - what happens to it? Likewise, what if you live for another 30 years - that's 450k due at 15k a year but your pot is only 200k?
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I surmise that you are talking about a "defined contributions pension".

If so, yes you can take up to 25% of the pot tax free.
The remainder when you draw from, whether turned into an Annuity or Drawdown is taxable.

Any decisions you make about how to take your pension then become key.

If you decide on converting the pot to an Annuity that will give you a fixed pension (some Annuities offer yearly increases but they start lower AFAIK) but as living costs rise that is not best for everyone.

If you go for a Drawdown Pension....the received wisdom was to draw half to 2/3 of the yearly growth but as the stock market has taken a battering the growth of any has been dismal. Therefore, should you draw from low to negative growth (losses) you are reducing your capital e.g. your pot of say £150,000 is shrinking and will likely run out to zero depending on how long you live!

Note ~ should you die before the pot runs out that remainder becomes part of your Estate but IIRC is not subject to Inheritance Tax.

PS the above is my recall of the highlights of things I have had to know of and think about.

PPS unless you are very stock market savvy and even if you are..... IMO you need to speak to an IFA (Independent Financial Advisor) to help you with your pension planning.
 
admirable said:
I’m not a financial advisor!

If you have an old ISA from previous tax years, lets say giving you less than the 4.5% that’s available now then you can open a new ISA for this tax year 24-25 and transfer your old ISA into the new one and receive the higher interest rate. You can also deposit up to £20k in the new ISA in this tax year.

DO NOT CASH IN THE OLD ISA AND PLACE THE FUNDS INTO THE NEW ISA, THE FUNDS MUST BE TRANSFERRED IN TO KEP THE TAXFREE STATUS!
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Almost missed your post....

Yes, I knew about transfer not withdrawal & deposit (y) :)

I missed the boat to transfer in 23- 24 but need to reappraise for 24-25 and going forward 25-26 when that window opens.

Need to double check the current interest on the old ISA, I think the interest did increase a little, and see what offers are about :thinking:
 
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Tulipone said:
I tried moving banks once. Caused so many issues that I learnt that if you are content where you are it may not be worth a few quid. Ended up back where we started.
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There have been some fairly recent changes to make the process easier. It should be a single instruction to the new bank - my friend who did this reported that for her, it really was that easy.

All regular transactions got moved over including incoming.

You can read about the process (CASS) here
 
KIPAX said:
last aug we went into nationwide to move our money around so to speak.. he gave us an ISA each and the rest in a fixed saving... the isa are tax free but the savings arnt however you can earn up to £1000 interest before paying tax... he never mentioned multiple isa which are straight tax free.. hes a naughty boy then ..
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Banks can only give advice about their own offerings. He would not have mentioned any others alternatives. Banks do not give independent advise.
You can transfer between isa's as much as you like.
but you can only invest a max of 20k new money in ISA's each year. It can be split between cash and investment isa's.
 
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Waiting on a tax return form from HMRC, just found that banks no longer take tax from interest at source! after the rise in interest rates last year been getting a good return so we are over the tax fee limit, already in discussion with HMRC re an income loading they added to my coding to send into a minus figure so not expecting a good result, for us anyway. 20k isa limit needs to rise.
 
mj4456 said:
Waiting on a tax return form from HMRC, just found that banks no longer take tax from interest at source! after the rise in interest rates last year been getting a good return so we are over the tax fee limit, already in discussion with HMRC re an income loading they added to my coding to send into a minus figure so not expecting a good result, for us anyway. 20k isa limit needs to rise.
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AFAIK banks& building societies have been paying gross interest for a few years......though when it changed IIRC I missed it.
 
mj4456 said:
Waiting on a tax return form from HMRC, just found that banks no longer take tax from interest at source! after the rise in interest rates last year been getting a good return so we are over the tax fee limit, already in discussion with HMRC re an income loading they added to my coding to send into a minus figure so not expecting a good result, for us anyway. 20k isa limit needs to rise.
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Box Brownie said:
AFAIK banks& building societies have been paying gross interest for a few years......though when it changed IIRC I missed it.
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Google tells me it was 6th April 2016
 
mj4456 said:
Waiting on a tax return form from HMRC, just found that banks no longer take tax from interest at source! after the rise in interest rates last year been getting a good return so we are over the tax fee limit, already in discussion with HMRC re an income loading they added to my coding to send into a minus figure so not expecting a good result, for us anyway. 20k isa limit needs to rise.
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Its a pain, i know. Probably be several months before they come up with the figure owed?
 
KIPAX said:
Sorry yes as @admirable says my missus.. From day 1 nearly 35 yrs ago its always been our money.. neither of us have had our own money .. I beleive its one of the reasons for a long and happy relationship wiht no arguments.. its 100% shared so 2 seperate ISAs in name only:) max 40k rest at same 5.5% in fixed savings... Its down to 4.50% and hoping it doesnt go any lower before thse all run out in august :)
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The same with us, thirty three and a half years, joint accounts and savings. We both know the passwords for each others emails and phones.
 
admirable said:
I’m not a financial advisor!

If you have an old ISA from previous tax years, lets say giving you less than the 4.5% that’s available now then you can open a new ISA for this tax year 24-25 and transfer your old ISA into the new one and receive the higher interest rate. You can also deposit up to £20k in the new ISA in this tax year.

DO NOT CASH IN THE OLD ISA AND PLACE THE FUNDS INTO THE NEW ISA, THE FUNDS MUST BE TRANSFERRED IN TO KEP THE TAXFREE STATUS!
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Also keep the old ISA open and leave a very small balance in when you transfer in to fixed rate ISA as they are only temp a/c's for a set period, i.e 12, 24 months. Once the fixed term ISA have matured you can move your funds back to your old ISA a/c.
 
Tysonator said:
Also keep the old ISA open and leave a very small balance in when you transfer in to fixed rate ISA as they are only temp a/c's for a set period, i.e 12, 24 months. Once the fixed term ISA have matured you can move your funds back to your old ISA a/c.
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I see what you mean. Though as they seem to introduce a new product every year.....I surmise it should be possible to transfer in to the next 'fixed' 12 month ISA ?

The one thing I am unclear about? When you transfer an ISA to the new 12 month higher interest one.....can you only transfer the max £20k appropriate to the tax year or can you transfer the whole amount if above £20k ?
 
Box Brownie said:
I see what you mean. Though as they seem to introduce a new product every year.....I surmise it should be possible to transfer in to the next 'fixed' 12 month ISA ?

The one thing I am unclear about? When you transfer an ISA to the new 12 month higher interest one.....can you only transfer the max £20k appropriate to the tax year or can you transfer the whole amount if above £20k ?
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1/ Yes you can transfer into the next fixed 1 year ISA if that suits.

2/ You can transfer the whole balance regardless.
 
Tysonator said:
Also keep the old ISA open and leave a very small balance in when you transfer in to fixed rate ISA as they are only temp a/c's for a set period, i.e 12, 24 months. Once the fixed term ISA have matured you can move your funds back to your old ISA a/c.
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I'm not sure about this, any ISA I have had has a limited time frame to add funds, 14 to 30 days? This would prevent what you suggest?
 
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