How best to save £1000 pm

Bravehearted_2

Hi all,

I'm currently saving around £1000 to £1100 a month.

Having filled the ISA, how best would you advise to allocate the rest?

I am open to risk if there are ideas with decent returns.

Many thanks

torbrex

Check out the Regular Savings thread.

Lokolo

Depending on tax rates (for pension tax relief), savings rates and mortgages rates and goals, I would go for a mixture.

gexton

No one asks you to explain but you save this to bank and for fix and you can earn for monthly and your payment will save and extra deposit you have.

torbrex

gexton wrote: »

No one asks you to explain but you save this to bank and for fix and you can earn for monthly and your payment will save and extra deposit you have.

That doesn't make any sense, even reading it backwards

Lomcevak

gexton wrote: »

No one asks you to explain but you save this to bank and for fix and you can earn for monthly and your payment will save and extra deposit you have.

Yoda, is that you?

marathonic

torbrex wrote: »

That doesn't make any sense, even reading it backwards

Reading it backwards makes more sense!!

T3B3

Hi there,

I'm in a similar situation and have spread my money out between Regular Savers (First Direct & Nationwide @ 6%), 3 FlexDirect Accounts @ 5% and looking to invest by drip feeding into S&S ISA in the form of the Vanguard Life Strategy.

Currently, and for the foreseeable future, interest rates are dire. With the majority of rates below inflation savers are actually loosing money :rotfl:.

How long are you planning on saving? Tax band 20/40%? Level of Risk?

Lomcevak

How long are you planning on saving? Tax band 20/40%? Level of Risk?

And mortgage? Overpaying can be a good use of funds, especially if your mortgage rate is above what you could get in savings.

Also, what are your goals - what are you saving for? I'm generally working towards a set of targets from a few months out to a decade or so, which helps guide what form the savings take. Personally speaking, after the ISA allowances, at the moment I do

- £500 mortgage overpayment (max allowed monthly for me)
- £300 FD regular saver
- £200 pension top-up (40% tax rate)
- £150 easy-access/emergency savings

The latter isn't absolutely the most efficient use of money in tax/interest-rate terms, but I think having some easily-accessible cash is important. I let it build up, then occasionally shift a lump sum elsewhere if I feel it's getting too large.

Bravehearted_2

Thank you all for the suggestions.

I'm in the 40% tax bracket.

I don't have a mortgage yet, but I'm not specifically allocating these savings for a deposit. It most likely will eventually be used as a deposit, but I'm not yet planning on getting a place.

I just want to make sure I'm putting the money in the best places after taking care of ISAs, pension, etc.

Thanks.

sabretoothtigger

Asia pacific tracker are monthly. S&S isa has higher limit you cant use with just cash
and also buy a sovereign for emergency (once a decade) type bills