RBS Sharesave 2011 - advice? thoughts?

Roobarb_73

I'm trying to decide what to do about mine, I was on mat leave in 2009 so never went into that one but I am in the 2010 one so been saving a year. V tempted to pull out and go back in this year, my share option price is 43.4. I only save £100 a month as that is all we can really afford atm. Judging by the amount of people in my own wee bit of RBS talking about pulling previous ones and going back in I am seriously wondering if there will be a scale back...so that then begs the question how much will I ask for? And if scaled back how much? 50%? 25%? My husband said apply for £150 but knowing my luck I'd do that and it wouldn't be scaled back! 300 million shares isn't really a lot is it, there were 1.2 billion last year iirc (no scaleback)

Roobarb_73

UoTegne wrote: »

Just to be clear does this mean that because my wife is currently paying the maximum £250/month this means if she were to cancel her current scheme she won't be able to start paying into a new one on September 2nd at the better option price?

Yes, but she'll need to look at cancelling now so it takes effect for her Sept salary because the new sharesave starts coming out of pay in October so she can't still be in it at that point. A couple of guys I work with have already cancelled their existing ones in anticipation of going into the new scheme.

UoTegne

Roobarb_73 wrote: »

Yes, but she'll need to look at cancelling now so it takes effect for her Sept salary because the new sharesave starts coming out of pay in October so she can't still be in it at that point. A couple of guys I work with have already cancelled their existing ones in anticipation of going into the new scheme.

The guy on their helpdesk said 24h is enough for the system to register the cancellation. She's cancelling it today.

Roobarb_73

UoTegne wrote: »

The guy on their helpdesk said 24h is enough for the system to register the cancellation. She's cancelling it today.

Good stuff lucky her getting through to a person, I just got through to an automated thingy to ask for the form to cancel!
I have applued for £150 for this year and getting my dosh back from last year. I

UoTegne

The same day as the confirmation of our application for the shares at the new price... Which is currently lower than the option price. :eek:

gadgetmind

UoTegne wrote: »

The same day as the confirmation of our application for the shares at the new price... Which is currently lower than the option price. :eek:

You need to take the long term view and ignore the noise. At least with SAYE you can't ever lose - if only all stock market deals worked that way!

LADH

If you withdraw the cash from previous sharesave schemes in order to put the maximum £250 into a new (and better priced) one, when they return the money you've already paid into the previous scheme, won't you then be liable for the tax and NI that you didn't have to pay at the time?

We are considering closing 2 sharesave schemes that we have paid in to 10 and 22 months but as our contributions were made tax free, when we get the cheque for our withdrawn cash, won't we be liable then?

gadgetmind

All of my share save schemes have required that the money put in there comes from fully taxed income. Don't they all work this way?

opinions4u

LADH wrote: »

If you withdraw the cash from previous sharesave schemes in order to put the maximum £250 into a new (and better priced) one, when they return the money you've already paid into the previous scheme, won't you then be liable for the tax and NI that you didn't have to pay at the time?

We are considering closing 2 sharesave schemes that we have paid in to 10 and 22 months but as our contributions were made tax free, when we get the cheque for our withdrawn cash, won't we be liable then?

If it's an HMRC approved scheme this is just a return of capital in a savings account.

There is no tax liability on the capital or the interest.

LADH

Thanks it was my error, I thought it was paid from pre-tax earnings.