Stupid LISA question

jonnydeppiwish!

Apologies for the stupid question.

if my daughter opens a LISA today, will she get the bonus before the end of the tax year, or should she just wait?

thanks in advance

eskbanker

For any payment into a LISA between 6 March and 5 April, the bonus would be added to the account in around late April or early May.

Rather than waiting, it'll generally be worth using the 23/24 allowance and leaving open the possibility of another £4K in 24/25....

jonnydeppiwish!

eskbanker said:

For any payment into a LISA between 6 March and 5 April, the bonus would be added to the account in around late April or early May.

Rather than waiting, it'll generally be worth using the 23/24 allowance and leaving open the possibility of another £4K in 24/25....

So if she puts £4k in now, the. £4k in May, would that results in £2k x 2? By ‘she’ I’m mean bank of mum and dad.

thanks!

eskbanker

jonnydeppiwish! said:

eskbanker said:

For any payment into a LISA between 6 March and 5 April, the bonus would be added to the account in around late April or early May.

Rather than waiting, it'll generally be worth using the 23/24 allowance and leaving open the possibility of another £4K in 24/25....

So if she puts £4k in now, the. £4k in May, would that results in £2k x 2? By ‘she’ I’m mean bank of mum and dad.

thanks!

£4K now and another £4K in 24/25 would result in £1K x 2!

badger09

jonnydeppiwish! said:

eskbanker said:

For any payment into a LISA between 6 March and 5 April, the bonus would be added to the account in around late April or early May.

Rather than waiting, it'll generally be worth using the 23/24 allowance and leaving open the possibility of another £4K in 24/25....

So if she puts £4k in now, the. £4k in May, would that results in £2k x 2? By ‘she’ I’m mean bank of mum and dad.

thanks!

Huh? Where does £2k x 2 come from?

If she pays £4k in now, £1k bonus will be added around end of April. 

If she pays in another £4k on or shortly after 6 April, another £1k will get added about 6 weeks later. 

gravel_2

Possibly you are mixing up the bonus with an interest rate, which is separate. The bonus is paid ONCE on the amounts you deposit. There isn't a 25% bonus every year on the total balance.

As above, to get the most you should deposit 4k now and another 4k sometime during 24/25.

jonnydeppiwish!

Sorry, meant £1kx2.  Thanks for your great responses!