Protecting our savings

Dazed_and_C0nfused

Screensaver said:

Hi Guys
Sorry for late reply. Thanks for all the advice.
My concerns were, I have heard the government could change the allowance for ISA's could drop to 4k instead of the current 20k. 
I was just concerned that if my allowance is used up and I still have a large sum to save. I would only have a regular saving to fall back on, where tax is charged on interest gained over 1k.
Many Thanks

That isn't strictly true.

Everyone starts the tax year being able to earn £18,570 in taxable interest and having no tax to pay on it.

If you have non savings non dividend income such as taxable earnings or pension income then that figure will drop.  Applying for Marriage Allowance will also reduce it.

But even some basic rate payers can have nearly £6,000 in interest all taxed at 0%.

Even interest taxed at 0% can sometimes have nasty implications, £17k tax bill for someone on the Pensions board today because a bit of their interest was taxed at 0% 😳

horsewithnoname

You do realise that you keep 80% of the interest over £1000 (unless you are lucky enough to be a higher rate taxpayer)?
Anyway the government get the money not “the taxman”

DjangoUnchained

horsewithnoname said:

You do realise that you keep 80% of the interest over £1000 (unless you are lucky enough to be a higher rate taxpayer)?
Anyway the government get the money not “the taxman”

definately the taxman, the Beatles sang it.