What should my strategy be (my scenario inside)

Savingforahouse123

I’m going to go down the investment route. 

Looking at investing in either a

SIPP

Index fund

ETF

Some sort of ISA

Also considering something high dividend 

But I don’t know where to start. What would you recommend? 

Band7

A SIPP or an S&S ISA are the tax wrappers.

Inside those wrappers, you hold your ETFs, index funds etc. 
 

Have a read on https://monevator.com/category/investing/passive-investing-investing/

cloud_dog

Savingforahouse123 said:

I’m going to go down the investment route. 

Looking at investing in either a

SIPP

Index fund

ETF

Some sort of ISA

Also considering something high dividend 

But I don’t know where to start. What would you recommend? 

As your investment horizon is long term and as you are a BRT payer you may want to consider utilising a Lifetime ISA for some of the money as it is more efficient for a BRT payer when compared to a pension (simply due to it all being tax free at age 60).

The above assumes you are not paid under a Salary Sacrifice arrangement?  If you are then the workplace pension is the best option 

Khaderbhai

cloud_dog said:

Savingforahouse123 said:

I’m going to go down the investment route. 

Looking at investing in either a

SIPP

Index fund

ETF

Some sort of ISA

Also considering something high dividend 

But I don’t know where to start. What would you recommend? 

As your investment horizon is long term and as you are a BRT payer you may want to consider utilising a Lifetime ISA for some of the money as it is more efficient for a BRT payer when compared to a pension (simply due to it all being tax free at age 60).

The above assumes you are not paid under a Salary Sacrifice arrangement?  If you are then the workplace pension is the best option 

LISA is quite inflexible in that you cannot withdraw penalty free. It could be used to your advantaged if you use that to make sure you keep the investments in when they are not looking as rosey, but I don’t like the idea of not being able to call on the funds should a change in lifestyle or big emergency happen.

Savingforahouse123

I can confirm I’m a basic tax paysr

grumiofoundation

Khaderbhai said:

cloud_dog said:

Savingforahouse123 said:

I’m going to go down the investment route. 

Looking at investing in either a

SIPP

Index fund

ETF

Some sort of ISA

Also considering something high dividend 

But I don’t know where to start. What would you recommend? 

As your investment horizon is long term and as you are a BRT payer you may want to consider utilising a Lifetime ISA for some of the money as it is more efficient for a BRT payer when compared to a pension (simply due to it all being tax free at age 60).

The above assumes you are not paid under a Salary Sacrifice arrangement?  If you are then the workplace pension is the best option 

LISA is quite inflexible in that you cannot withdraw penalty free. It could be used to your advantaged if you use that to make sure you keep the investments in when they are not looking as rosey, but I don’t like the idea of not being able to call on the funds should a change in lifestyle or big emergency happen.

But a pension is even more inflexible (not  accessible at all) which appeared to be the comparison the poster was making. 

cloud_dog

Khaderbhai said:

cloud_dog said:

Savingforahouse123 said:

I’m going to go down the investment route. 

Looking at investing in either a

SIPP

Index fund

ETF

Some sort of ISA

Also considering something high dividend 

But I don’t know where to start. What would you recommend? 

As your investment horizon is long term and as you are a BRT payer you may want to consider utilising a Lifetime ISA for some of the money as it is more efficient for a BRT payer when compared to a pension (simply due to it all being tax free at age 60).

The above assumes you are not paid under a Salary Sacrifice arrangement?  If you are then the workplace pension is the best option 

LISA is quite inflexible in that you cannot withdraw penalty free. It could be used to your advantaged if you use that to make sure you keep the investments in when they are not looking as rosey, but I don’t like the idea of not being able to call on the funds should a change in lifestyle or big emergency happen.

Life, as with investing, is rarely black or white.

For longer-term (retirement) planning a LISA can be very beneficial, as part of your options.  This does not exclude using a pension (to ensure maximum employer contributions), or using an ISA to allow flexibility or earlier access.

These tools are available and you just plan their use in accordance with your own requirements.