ISA or increase pension contributions

Valuriem

I am coming up to 55 and my wife has just taken early retirement from the NHS. We had been thinking of investing her lump sum in LISA, ISA etc, but wondered if there would be more benefit in utilising the lump sum in a cash ISA so that we can access for day to day living and increasing my pension contributions as much as possible. Would a pension plan provide better rates of interest and government contributions over a LISA for the next 16 years?

Dazed_and_C0nfused

Would a pension plan provide better rates of interest and government contributions over a LISA for the next 16 years?

It would be unusual to leave your money as cash for 16 years inside a pension wrapper.

Why wouldn't you invest it?

Albermarle

Firstly a pension plan does not generate interest . Normally it is invested in the financial markets in the hope/expectation of above inflation returns in the long run , but it is not guaranteed ( unlike interest in a savings account)
Regarding 'government contributions' I presume you mean tax relief ? Without knowing your salary or any pension you are currently contributing to , it is difficult to comment accurately.

kuratowski

Valuriem said:

I am coming up to 55 and my wife has just taken early retirement from the NHS. We had been thinking of investing her lump sum in LISA, ISA etc

If you and your wife are both over 50 then you won't be able to contribute to a LISA.

KarenWhittaker

I am soon to be 52.  I have a small pension that I stopped contributing to about 18 years ago when I stopped working for children. I am now working again and managing to save £1000/pm in odd monthly saver accounts that give the best rates. Would I be best putting a proportion of this into my pension and restarting up the contributions?  I have ISAs as well should I leave these be?  

MovingForwards

KarenWhittaker said:

I am soon to be 52.  I have a small pension that I stopped contributing to about 18 years ago when I stopped working for children. I am now working again and managing to save £1000/pm in odd monthly saver accounts that give the best rates. Would I be best putting a proportion of this into my pension and restarting up the contributions?  I have ISAs as well should I leave these be?  

Start your own thread as people may miss your question in someone else's post.

Albermarle

KarenWhittaker said:

I am soon to be 52.  I have a small pension that I stopped contributing to about 18 years ago when I stopped working for children. I am now working again and managing to save £1000/pm in odd monthly saver accounts that give the best rates. Would I be best putting a proportion of this into my pension and restarting up the contributions?  I have ISAs as well should I leave these be?  

You could also send some fruitful time reading through the threads on this forum as this question is quite common. 

atush

KarenWhittaker said:

I am soon to be 52.  I have a small pension that I stopped contributing to about 18 years ago when I stopped working for children. I am now working again and managing to save £1000/pm in odd monthly saver accounts that give the best rates. Would I be best putting a proportion of this into my pension and restarting up the contributions?  I have ISAs as well should I leave these be?  

what work do you do?  Why havent you joined that pension?  If self employed, open a person pension or Sipp.  As for your isa, is it cash or investments?  Do you have enough cash and invstments outside of pensions for emergencies?