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LISA bonus just came in

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Comments

  • sully1311
    sully1311 Posts: 385 Forumite
    Part of the Furniture 100 Posts Name Dropper
    I won't see my next bonus until April-ish time as I'm holding the money in higher interest paying accounts before contributing to the LISA.

    Would be nice to see it now though!
  • Herbalus
    Herbalus Posts: 2,634 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    Remember return on a LISA is worth more than the advertised rate as if you contribute now you also get the 25% now and so earn interest on that from now. So your return in LISA is boosted 25% if you contribute a year earlier.
  • eskbanker
    eskbanker Posts: 38,022 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Herbalus wrote: »
    Remember return on a LISA is worth more than the advertised rate as if you contribute now you also get the 25% now and so earn interest on that from now. So your return in LISA is boosted 25% if you contribute a year earlier.
    But 0.75% x 125% is still significantly less than what can be earned elsewhere, so if the aim is to maximise return then keeping the money outside the LISA during the tax year makes more sense....
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