Anyone opening a LISA for their retirement?
RedRuby_2
Posts: 122 Forumite
Is anyone considering opening a LISA for their retirement?
I've already got a HTB ISA, but was wondering if their is any benefit in opening up a LISA for this tax year with the aim of using it for retirement?
How does it work if you've already contributed to a HTB ISA this tax year? Can you just open it and put in £4000 if you haven't reached the overall ISA threshold?
I've already got a HTB ISA, but was wondering if their is any benefit in opening up a LISA for this tax year with the aim of using it for retirement?
How does it work if you've already contributed to a HTB ISA this tax year? Can you just open it and put in £4000 if you haven't reached the overall ISA threshold?
0
Comments
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Yep you can subscribe to both.
Just be aware you can't take anything out until you are 60, and don't use it as a replacement for pensions etc.0 -
Yes you are fine as they are different types of ISA and they won't collectively breach the £20k per tax year contribution limit.
The overwhelming view is that a S&S LISA would be more appropriate than a Cash ISA to avoid the spending power being erroded by inflation.
Also for higher rate taxpayers and those who could get additional employer matched contributions then a workplace pension is usually better.
Alex0
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