What to do with savings?
Discussion
Ahoy Hoy,
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
RumpleFugly said:
Ahoy Hoy,
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Some of the term deposits or bonds pay better rates but rememeber you will have to pay tax on the interest on savings, so 6% on 30K will mean a £400 tax bill.My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Aren't some national savings products tax free?
Leftie said:
RumpleFugly said:
Ahoy Hoy,
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Some of the term deposits or bonds pay better rates but rememeber you will have to pay tax on the interest on savings, so 6% on 30K will mean a £400 tax bill.My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Aren't some national savings products tax free?
Leftie said:
Leftie said:
RumpleFugly said:
Ahoy Hoy,
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Some of the term deposits or bonds pay better rates but rememeber you will have to pay tax on the interest on savings, so 6% on 30K will mean a £400 tax bill.My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Aren't some national savings products tax free?
That way you are guaranteed a better rate of interest (total saving) than any savings account.
You need to think 'out of the box' and look at it on an opportunity cost basis on *not* offsetting against a mortgage.
This is if for example the savings and mortgage rate are both 5% if the OP is currently getting £1500 this ends up being £1200 gained on savings after tax.
If the interest on the mortgage was reduced the saving is the full £1500 *plus* the fact that if the OP is a higher rate taxpayer, he would have had to pay 40% tax on his income before all of the mortgage interest payments. Thus the 'real' saving after all taxes are involved is that by offsetting is closer to £2100.
If you're feeling interesting and know what you're doing, you could go for a proper self-select investment Maxi ISA, e.g.:
https://www.nsure.co.uk/fundsupermarket/buyFunds.a...
Investing online via an IFA site such as above will save you a lot in the initial charge, as they discount the initial commission.
https://www.nsure.co.uk/fundsupermarket/buyFunds.a...
Investing online via an IFA site such as above will save you a lot in the initial charge, as they discount the initial commission.
RumpleFugly said:
Ahoy Hoy,
My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
Technically, this is still your parents money and should they fall on hard times then I'm sure you would return it or spend it on their behalf.My parents are transferring money across to me so as to avoid inheritance tax and give that pile of scum as little as possible when the time comes. As such I have about 30k sitting in an e-savings account at the minute (making about £1500 a year) and I'm wondering if there's not something better I could be doing with it in terms of investment. I won’t need access to it for at least 2 Years.
I am already putting my allocated 3k a year into a mini cash ISA and wonder what the possibilities are. I have been following the IGIndex thread and whilst it looks interesting it is perhaps a little risky for my liking. The more I read about Premium Bonds the less appealing they look and I think my money is better off in a savings account. So what really are my options then? Invest in a company, buy some land, give it to some company or other to play the market? Or play safe and put it in the highest earning account I can find?
Any advice much appreciated
As such you shouldn't go anywhere near anything remotely risky. forget trading. Forget that Binary stuff, let them bin their money.
Cash accounts are the only option open to you.
Now, what you can do is have a look at the long term cash bonds that most BS and Banks offer. They tend to have a return above base.
Again, I would put all the money in, but with 30K, it's easy to find 3 10K options.
The last thing you want is for your father to call you up, tell you your mother is unwell and needs the money back to pay for medical bills and then for you to reply that you've binned half of it on underperforming ISAs or you can't get to it as it's backed against your mortgage and the property market has taken a turn.
Edited by Horse_Apple on Wednesday 6th June 10:02
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