Withdrawing from LISA

cmbrookes

Hello
If I withdraw some money from my LISA I understand that until April 2021 the penalty is only at 20%. My question is once I've withdrawn the money Will I still continue to receive the bonus if I put more money in after the withdrawal? 

Nuggy96

No, if you put in £4k this tax year, you will not be able to put any money in until the next tax year. Obviously if you put 4k in in April 2021, you will receive your bonus for that tax year

cmbrookes

I haven't put 4k in this tax year. All I'm asking is if I withdraw some money with the 20% penalty and I then wish to continue paying into my LISA will I still receive the bonus each month 25% of what I put in?

eskbanker

cmbrookes said:

I haven't put 4k in this tax year. All I'm asking is if I withdraw some money with the 20% penalty and I then wish to continue paying into my LISA will I still receive the bonus each month 25% of what I put in?

Withdrawals don't affect bonus payments on subsequent contributions, but just to be clear bonuses are paid on a one-off basis, i.e. once per contribution, rather than 'each month' as such, although if you happen to be contributing monthly then that ultimately equates to the same thing....