Saving £800+ a month - questions..

ultrawomble

geordie_ben - unless you're a non tax-payer you might want to revise some of your calculations

geordie_ben

ultrawomble wrote: »

geordie_ben - unless you're a non tax-payer you might want to revise some of your calculations

Which ones seem out?

ultrawomble

"Your" Halifax Children's Regular Savers

psychic_teabag

You could also open a halifax reward current account and pass £1000 through that on its way to its permanent home (which can be done as £500 in/out twice). Gives an extra £5 per month (net of basic tax).

geordie_ben

psychic_teabag wrote: »

You could also open a halifax reward current account and pass £1000 through that on its way to its permanent home (which can be done as £500 in/out twice). Gives an extra £5 per month (net of basic tax).

I'm trying to open as few accounts as possible so my file searches aren't sky high

It is a good idea tho

psychic_teabag

One unusual feature of the santander home-buyer reg saver is that it lets you put in an initial lump sum. I don't know if you can get your hands on any spare capital, but if if you can, it would be an opportunity to earn 5% on it. Oh, you said this year's ISA is already maxed out : if you pay basic rate tax, and if it's an instant-access ISA, you might be slightly better off taking money out of that (earning 3% tax-free I assume) for the santander reg saver (5% taxable).

That said, you haven't mentioned the ISA pot in your calculations, which might indicate that you want to leave that untouched. If that's the case, you should think hard about withdrawing it, since you lose your long-term tax-free allowance for a short-term boost in interest. If you wouldn't otherwise get a chance to use your 2011-12 ISA allowance, you could look at it as borrowing from your overall ISA pot to seed the santander account this year, then repaying it next year when everything else matures.

geordie_ben

psychic_teabag wrote: »

One unusual feature of the santander home-buyer reg saver is that it lets you put in an initial lump sum. I don't know if you can get your hands on any spare capital, but if if you can, it would be an opportunity to earn 5% on it. Oh, you said this year's ISA is already maxed out : if you pay basic rate tax, and if it's an instant-access ISA, you might be slightly better off taking money out of that (earning 3% tax-free I assume) for the santander reg saver (5% taxable).

That said, you haven't mentioned the ISA pot in your calculations, which might indicate that you want to leave that untouched. If that's the case, you should think hard about withdrawing it, since you lose your long-term tax-free allowance for a short-term boost in interest. If you wouldn't otherwise get a chance to use your 2011-12 ISA allowance, you could look at it as borrowing from your overall ISA pot to seed the santander account this year, then repaying it next year when everything else matures.

Another brill idea, one i would never have thought of... then comes the but, my 10-11 ISA is for money I'm paying off, so the deposit saving cant include this