Best Account to put aside taxes

WowAndFlutter

Hello MSE Forum,


I’m training to be a barrister and as of a few days ago, I am self employed. I have been advised by my accountant to put a 1/3 of my profits away in prep for my first tax bill which will be due in a couple of years time.

Do you have any recommendations as to the best account to put aside money into? Ideally i would like something stable that is quick and easy to put money into but will attact some interest/prizes whilst its resting there. I was going to open a Tide account, but I worry about these kind of set ups going bust and my money disappearing.

Apologies if this is a super daft question - I am not great when it comes to these sort of things, and I would really value the help of those who know much better than I do.

Many thanks

W&F

mgdavid

Presumably you're talking about 5-figure amounts? If so I'd say Santander up to 20k and NS&I above that. Keeping it simple.

agrinnall

I'd put it in a Marcus account.

tryin

Start here https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/.

Flugelhorn

probably terribly outdated but when I was a locum GP and had to hang onto money to pay tax at a later date we had an offset mortgage and used to keep the money in an associated account to offset against the mortgage

Ben8282

Can't understand why you were attracted to the account that you have mentioned; it is completely inappropriate, charges fees for certain transaction types and most importantly does not pay interest.

WowAndFlutter

Thank you for all your responses - I’m going to look into your recommendations.

You can see why I needed the help Ben8282 :rotfl: no idea! I saw business account and I thought bingo! Extremely silly on hindsight.