Business & Investment

ISA Season: Life starts at £ 4000!

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My next milestone birthday is just around the corner as my wife keeps reminding me.

Big 4-0. They say when life begins. Or is it an imminent ruin?

Maybe – if I wasn’t open Lifetime ISA By that time.

There aren’t many age restrictions, at least for high-value savings products. However, for LISA, the account must be opened between the ages of 18 and 39.

Like finance Logans Run, There is a cutoff point at certain ages. 40 in this case.

Or is it 50? Lifetime ISA allows account holders to donate up to £ 4,000 each year, either in cash or in stock or stock, for up to half a century.

Of course, the real benefit of LISA is that the government kindly adds a 25% bonus to your savings. So if you’re lucky and you can save £ 4,000 a year, £ 1,000 a year is free.

When you reach Big 5-0, you will not be able to pay for also Withdraw from savings for 10 years without incurring high fees – Two exceptions – Still, you get interest and return on investment.

One of these warnings is whether the account owner will buy the first home. I’m in a lucky position to do that in the last few years, so my lifetime ISA savings are directed towards our retirement.

I estimate that by the time I turn 50, I’ll save about £ 75,000, of which £ 15,000 comes from government donations. Whatever interest is added, it is a substantial beginning to retirement.

I will remind my wife!

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ISA Season: Life starts at £ 4000! ISA Season: Life starts at £ 4000!

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