The amount of money an ISA can hold

Jackjack21

Hi Everyone,

I recently moved my 15k ISA to another provider. A couple days I deposited £250 to this account whereas I meant to put £240 (I read somewhere that the limit was £15,240 for this year).

My understanding of ISA's are that you can save a certain amount where the interest is taxed, so for this year its £15,240.

On of the advisers told me that the 15k I transferred was counted as last years amount and I only had used £250 of this years allowance. I am confused to say the least. The adviser told me that I can deposit another 15k into the account if I wanted to and could also earn interest on the existing money I have in my account.

Based on the above I would earn interest on £15,240 tax free, however any other money from other tax years would be taxed?

Kind regards,

Jack

colsten

You get a new ISA allowance every tax year, and you can max it each year. Last year was £15,000, this year is £15,240. So by the end of this tax year, you could have £30,240 plus interest (or dividends etc if you have S&S ISAs) in your ISA(s). Some people have over £1m in their ISAs now, and many people have hundreds of thousands in theirs.