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Where to put my savings?
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sunshine_and_rain
Posts: 81 Forumite


Hi, we have £80,000 savings, where can we put this to make the most interest? We would also be able to save £200 per month in addition. We could tie in for 6-9 months as we will be moving house next year so need access to our savings for this. All new to to this, would it be taxed? Thanks in advance.
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It wouldn't be taxed at source but you may owe tax if it was interest paid by a non ISA account.
Interest from a Cash ISA is tax free/exempt.
A regular saver might be best for the £200/month.0 -
Dazed_and_C0nfused said:It wouldn't be taxed at source but you may owe tax if it was interest paid by a non ISA account.
Interest from a Cash ISA is tax free/exempt.
A regular saver might be best for the £200/month.0 -
£80,000 * .0355 = £2,840 for a year, so 6 months would be half...(£1,420)....if you are a basic rate tax payer you would pay tax of 20% on £420...
.."It's everybody's fault but mine...."1 -
sunshine_and_rain said:Dazed_and_C0nfused said:It wouldn't be taxed at source but you may owe tax if it was interest paid by a non ISA account.
Interest from a Cash ISA is tax free/exempt.
A regular saver might be best for the £200/month.
Tax woud be that -£1000 so £420 at your tax rate.Now a gainfully employed bassist again - WooHoo!0 -
sunshine_and_rain said:Hi, we have £80,000 savings, where can we put this to make the most interest? We would also be able to save £200 per month in addition. We could tie in for 6-9 months as we will be moving house next year so need access to our savings for this. All new to to this, would it be taxed? Thanks in advance.I consider myself to be a male feminist. Is that allowed?0
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You say "we", if you divide this into two accounts one for each, or into one joint account then effectively you have two £1000 allowances.0
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Thank you for all your replies. I’ve attac
hed a screen shot of the offer, it says six months so would it not pay the 3.55%?
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No half of that..figure is yearly1
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sunshine_and_rain said:Dazed_and_C0nfused said:It wouldn't be taxed at source but you may owe tax if it was interest paid by a non ISA account.
Interest from a Cash ISA is tax free/exempt.
A regular saver might be best for the £200/month.1 -
If you kept your money for an entire year in an account paying 3.55% AER*, you would get £80,000 x 3.55% = £2.840. But if you only keep your money in the account for half a year, you get £80,000 x 3.55% / 2 = £1,420.
*AER stands for Annual Equivalent Rate. All savings accounts quote the AER, so it's easy to compare like with like.1
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