How much return can u get from £100K?

zzzLazyDaisy

EdInvestor wrote: »

For capital secure savings, 2-3% is the best at present.

You can get better than that by keeping the money in cash and putting it into fixed term savings

OP, this is off the topic of this thread, so apologies. But you say your husband is moving out soon - you do just need to be aware that these funds will fall into the over-all pot for consideration in a future divorce. It doesn't necessarily mean that you will have to hand over some of this money (though you may) but it could mean that you get a smaller proportion of the house than you might otherwise have done, for example. So it might be a good move to see a divorce lawyer now, even if it is just to get advice on this issue, without taking things any further at this stage.

Again, sorry to go off topic.

Primrose

When you see your IFA, make sure that as a taxpayer, somewhere in their advice is using up your annual ISA allowance. Over a period of around ten years you should be able to gradually shield all of your inheritance from tax if you're prepared to put half of it into equities. If you are unhappy about the risk of equities, even using up your Cash ISA allowance every year will gradually exempt around £50,000 of it from tax. Having a long-term ISA nest egg will also be useful for you longer term in planning your retirement income if you are the sole earner in your household and expect only to have a small pension. Good luck. I hope this inheritance makes a big difference to your life.

mr_fishbulb

bendix wrote: »

I don't want to be rude

Hahahahaha you are usually well rude - no offence

Shoot from the straight-talking hip.

zzzLazyDaisy

Primrose wrote: »

using up your Cash ISA allowance every year will gradually exempt around £50,000 of it from tax. .

If you are on tax credits, or likely to be on tax credits at some point in the future, it is worth noting that income from money in tax free savings and investments, are not included in the calculation for tax credits. So money in ISAs, some NS&I savings, and premium bonds for example (not that I'm suggesting that PBs are a good investment) would not affect your entitlement to tax credits.

TH1878

EdInvestor wrote: »

And make sure you steer well clear of investment bonds.Advisers will claim they pay 5% tax free 'income' but in fact this money comes from the capital.If you want to pay yourself £5k tax free a year from your capital, you can do it yourself!
,
Any adviser should start out by earmarking £10,200 for a stocks and shares ISA.If this was invested in shares or funds paying a dividend, you could expect 4-5% tax free.

For capital secure savings, 2-3% is the best at present.

I agree with what you are saying but to say to steer clear of investment bonds without knowing the OPs individual circumstances could constitute bad advice.

From an investment and taxation perspective, Investment Bonds are trumped in most cases by ISAs and Collectives (Dunstonh highlighted the corporate bond issue above). However, if the OP was fairly old and in poor health, then Investment Bonds may be the best course of action as they aren't assessed by the Local Authority when assessing ability to pay care fees (although the return of capital would be treated as regular income).

Best advice probably is to 'Bed & ISA' but I don't know how you can dismiss something without knowing the personal circumstances?

Lokolo

TH1878 wrote: »

I agree with what you are saying but to say to steer clear of investment bonds without knowing the OPs individual circumstances could constitute bad advice.

From an investment and taxation perspective, Investment Bonds are trumped in most cases by ISAs and Collectives (Dunstonh highlighted the corporate bond issue above). However, if the OP was fairly old and in poor health, then Investment Bonds may be the best course of action as they aren't assessed by the Local Authority when assessing ability to pay care fees (although the return of capital would be treated as regular income).

Best advice probably is to 'Bed & ISA' but I don't know how you can dismiss something without knowing the personal circumstances?

It's a discussion, not giving advice. Giving advice is not allowed on these forums

whiteflag_3

Lokolo wrote: »

It's a discussion, not giving advice. Giving advice is not allowed on these forums

bet you thought long and hard before making that post ?:D

Lokolo

whiteflag wrote: »

bet you thought long and hard before making that post ?:D

Please explain? I'm very tired today and not totally with it....

bendix

mr_fishbulb wrote: »

Hahahahaha you are usually well rude - no offence

Shoot from the straight-talking hip.

OK .. you caught me out. I DO want to be rude, but I find prefacing a rude and direct statement like that gives me an easy out and lets me, in fact, be ruder than otherwise intended.

It's win win all round.

But seriously . . let's call a spade a spade. Flops original post screamed of not being a particularly sophisticated investor and what do we get in reply? The usual band of suspects suggesting options without knowing any details of the OPs full circumstances, and doing so largely to impress everyone else with their investment knowledge and no regard for actually being helpful to the OP.

Dividend yields? Oil stocks.

For chrissakes, get real people.

Lokolo

bendix wrote: »

OK .. you caught me out. I DO want to be rude, but I find prefacing a rude and direct statement like that gives me an easy out and lets me, in fact, be ruder than otherwise intended.

It's win win all round.

But seriously . . let's call a spade a spade. Flops original post screamed of not being a particularly sophisticated investor and what do we get in reply? The usual band of suspects suggesting options without knowing any details of the OPs full circumstances, and doing so largely to impress everyone else with their investment knowledge and no regard for actually being helpful to the OP.

Dividend yields? Oil stocks.

For chrissakes, get real people.

How do you know the person doesn't want to invest?

Obviously I will go and see a financial advisor when I am in the situation to actually invest this money.

To me that sounds kinda like they might want to. Could just be me though...