Where to put this money?

Minxy1

Hi.

I have recently come into some money.

Looking for recommendations for where to put it, well some of it.

I have put £85k into a savings account with the best interest rate I have/can get just now (1.2%)

I've put some into another account I have (0.75%).

I've opened and put £4k into a retirement LISA.

But I still have some left that I need to find an interest making account to put it into.

I don't want to lock all of it away long-term but could lock the remaining away..

Any ideas?

I just had a quick look there at a ISA. Can I have a normal ISA if I've got a LISA, yeah?

 1.1% for a 5 year fix. I've not had an ISA in years, since the normal accounts overtook them for interest rate. So not totally sure about the rules, especially for fixed ones...

Any comments? Please educate me! Thanks! 

Albermarle

Better if you supplied a bit more detail 
Age?
In employment ?
Pension?
Mortgage/rent ?

Minxy1

Albermarle said:

Better if you supplied a bit more detail 
Age?
In employment ?
Pension?
Mortgage/rent ?

Sorry. 
Late 30s. I pay into work pension. Quite happy with that, although I am going to up how much I pay into it every month. Just need to print off the form tomorrow. 
Live with partner. He pays the mortgage as it is his place. I don't want to lock all the money away incase a bigger place comes up for sale that we want, as then I would want to put most of the money towards that.
Thanks

Another_Saver

You could stick upto £50k into premium bonds (https://www.moneysavingexpert.com/savings/premium-bonds/).

colsten

How much pension can you expect to get, when? Is that sufficient for your requirements? Does it let you retire when you like to retire?

Alexland

Minxy1 said:

I've opened and put £4k into a retirement LISA.

Do you mean a Stocks & Shares LISA and if so have you invested it too?

Minxy1

Alexland said:

Minxy1 said:

I've opened and put £4k into a retirement LISA.

Do you mean a Stocks & Shares LISA and if so have you invested it too?

No. Not a Stocks and shares ISA. I don't know much about them or how they work. It's just a lifetime ISA to use for retirement. 

grumiofoundation

Minxy1 said:

Alexland said:

Minxy1 said:

I've opened and put £4k into a retirement LISA.

Do you mean a Stocks & Shares LISA and if so have you invested it too?

No. Not a Stocks and shares ISA. I don't know much about them or how they work. It's just a lifetime ISA to use for retirement. 

Cash Lifetime ISA or Stocks and shares lifetime ISA? 

Alexland

Minxy1 said:

No. Not a Stocks and shares ISA. I don't know much about them or how they work. It's just a lifetime ISA to use for retirement. 

Cash LISAs are for first time buyers and S&S LISAs tend to be for those investing for age 60 plus. Similar to your pension it is very important that if you are using a LISA towards retirement that it is invested in S&S in order to stand a good chance of beating inflation. Otherwise you are burning your bonus on the interest rate each year being below inflation which reduces it's spending power in the future.

We have seen lots of people incorrectly using a Cash LISA for retirement. I even know someone who is using a S&S LISA for retirement but has failed to invest the money so getting no return at all - and he's a fully qualified accountant. After making full contributions each year since the product was launched our S&S LISA investment return is now slightly more than the added bonuses.

For any money you don't need for 5-7 years or more consider a S&S based investment. You don't need to gamble on picking individual company shares as, similar to your pension, there are plenty of globally diversified multi asset funds containing thousands of underlying assets to suit various risk/return profiles.

Minxy1

grumiofoundation said:

Minxy1 said:

Alexland said:

Minxy1 said:

I've opened and put £4k into a retirement LISA.

Do you mean a Stocks & Shares LISA and if so have you invested it too?

No. Not a Stocks and shares ISA. I don't know much about them or how they work. It's just a lifetime ISA to use for retirement. 

Cash Lifetime ISA or Stocks and shares lifetime ISA? 

Cash. Not stocks and shares. 

grumiofoundation

Minxy1 said:

grumiofoundation said:

Minxy1 said:

Alexland said:

Minxy1 said:

I've opened and put £4k into a retirement LISA.

Do you mean a Stocks & Shares LISA and if so have you invested it too?

No. Not a Stocks and shares ISA. I don't know much about them or how they work. It's just a lifetime ISA to use for retirement. 

Cash Lifetime ISA or Stocks and shares lifetime ISA? 

Cash. Not stocks and shares. 

See Alexlands post above - saving in cash for retirement means you will lose money to inflation, over 20+ years