Lots of cash from TFLSs - what to do

arthur_fowler

I've found out there may be another option after watching a new James Shack video today.
Mrs F will only have around £10k of taxable income for the first 6 years of my retirement. I think that if she uses my TFLS to put into savings accounts, she can get £5k ("Starting rate for savings") +£1k (Personal Savings Allowance) interest tax free. 
Any issue with her using (some of) my TFLS to put into a savings account in her own name?

Dazed_and_C0nfused

arthur_fowler said:

I've found out there may be another option after watching a new James Shack video today.
Mrs F will only have around £10k of taxable income for the first 6 years of my retirement. I think that if she uses my TFLS to put into savings accounts, she can get £5k ("Starting rate for savings") +£1k (Personal Savings Allowance) interest tax free. 
Any issue with her using (some of) my TFLS to put into a savings account in her own name?

It wouldn't be "tax free" it would be taxed at 0% (once her Personal Allowance was fully used).

No difference to most people but it can in some niche cases.

If you give your wife your TFLS then you need to realise it's money.  It might sit there earning her interest.  She might put it all on black.  Or red.  Or have a nice holiday.