Over 50's Investment Ideas

Stella

Hello Savvy Savers and Martins Money Tip Readers

I would really be grateful for advice I am 52 and have around 60,000 to invest.

I would like to make the most of this money as I am currently unemployed and do not have my own property.

I am open to any ideas, one thing I have thought about is where you put money into property investments companys, not buying the property but investing toward a property. Does anyone have any knowledge of these and how they work?

Thanks Very Much
Stella

jimjames

Lots to think about, including how much you're prepared to lose and any impact on benefits etc if you are unemployed.

You're probably better off investing at least part of it if you already have sufficient emergency funds. Is buying a property to live in out of the question or are you intending to return to work?

I'd certainly be wary handing money over to a property company as some offering high returns appear to be scams with very high risk of losing all your money.

ColdIron

Do you have any debt, an emergency/rainy day cash fund, pension provision?

dunstonh

I would like to make the most of this money as I am currently unemployed and do not have my own property.

in which case, what is your capacity for loss like?
How will your benefits be affected?

enthusiasticsaver

Too many questions to advise properly

What is the likelihood of you finding another job and when? Investing means tying money up for generally at least 5 years so in your circumstances I would question if that was wise for all of the money. How much you keep aside depends on benefits (savings can affect your eligibility for these) and your monthly spend.

Do you have debts? Almost certainly this would be cost effective to pay these off first before investing.

If you do decide to invest some or all of the money then I would steer clear of property companies. Huge capacity for loss. Index trackers are good or high interest current accounts if you wish to keep the money accessible.

Stella

Hello All

Thank you for advice so far.
I am unemployed but do not get unemployment benefit as I have savings only carers allowance.

I do have a bit of pension to come from when I worked at BT for when I retire.
I am hoping to return to work and would like to invest in a small property definitely cannot afford London prices though!
Thankfully only have student loan debt.

Thank you
Stella

tacpot12

You could buy a small property well outside London. I was looking at a small house in Sheffield for my step-daughter that was on the market for £45,000. My partner and I bought a three bedroom apartment for £56,000 two years ago. Two bedrooms apartments in the area are selling now for circa £60,000.

xylophone

https://forums.moneysavingexpert.com/discussion/comment/64574930#Comment_64574930

You and your elderly mother are still joint tenants of your council house so that you will have secure accommodation if ( as is likely in the scheme of things), she predeceases you?

You receive carer's allowance for your mother?

You have obtained a new state pension statement?

Once your mother no longer has need of your care, you may be in a position to obtain employment, but failing that, would have the possibility of calling on the deferred BT pension after age 55 (although you would wish to avoid drawing before Scheme Pension Age if possible).


Are you using the best current account (s) for your needs?

Have you considered using your ISA allowance to start to build a portfolio?

Have you considered opening a personal pension and contributing up to £2880 each tax year? This is possible even though you have no relevant earnings.

http://www.taxation.co.uk/Articles/2015/05/05/333016/money-go-round

http://monevator.com/category/investing/passive-investing-investing/
would be worth a read.

atush

In your case, if you have a council home and dont need to buy a home to live in, I would suggest a personal pension and S&S isas as above.

With higher pension provision once you get a job, as you can join your employers scheme.

slowpoke_rodriguez

Are your benefits or carer's allowance affected by assets, income or taxable income?
Different benefits have different rules.
F'rinstance, tax credits are affected by taxable income but not assets. THerefore, income recieved in an ISA does not affect tax credits recieved as income within an ISA is tax free. The same with Premium bonds. "Winnings" are tax free so don't affect tax credits. Some benefits though, are dependent on assets. It's worth asking on the relevant forums.
Everything being equal though, I'd tend towards a stocks and shares ISA with Hargreaves Lansdowne , Charles Stanley or many other providers, together with a SIPP. With no income you can invest £2880 per year and the taxman will top it up to £3600.
You can withdraw 25% tax free at age 55 .
What you invest in , though, is a bit more complex...