Shares - Share saving scheme

carlm1984

Hi All,

Sorry if i have posted this in the wrong place, please feel free to move it if i have.
Right i was wondering if anyone would be able to help me out there. Basically my company offered me a share saving scheme, which has now finished and so far i have done very well from it, only investing 7k and so far i have got 14k back but reckon still got another 7k to draw out.
Now ive never dealt with shares or anything in my life before. So what i was wondering is if anyone could tell me what the amount you are aloud to draw out before you start getting taxed in 1 year. Now my dad seems to think its 7k and if so, ive already drawn that out, but other people i speak 2 seem to think its more but no-one can actually put a correct figure on it, even when ive tried looking i cant seem to find anything on it. So if anyone out there could help me at all id be very greatful

McSaver

Its £9,600 before your paying capital gains tax. Any further will lead you to pay at a rate of 18%.

carlm1984

o thank you very much mcsaver thats exactly what i needed to know. so means i can draw on another 2.6k thats good enough for me

a7man

You can take out as much as you want but you will be charged CGT on any gains over £9600, anything above this will be taxed as your income. If the shares are doing so well and you think they will continue to why not keep the money invested?

jon3001

a7man wrote: »

If the shares are doing so well and you think they will continue to why not keep the money invested?

If you held cash instead, would you buy the same shares on the open market? A less risky plan would be to bank some profit and invest the procedes in a diversified portfolio.

Owning your employer's shares is additionally risky: in a downturn you might lose your job and the value of your assets would also be lower. Ask employees of Enron or Northern Rock.

By all means use the sharesave scheme but think about how much risk you're carrying after the scheme matures.