What do you do with your "profit" ?

Sabbath84

Hey all
So I started stoozing last October 2024. I've tracked my interest earned over this time and am now at £2.52 a day. £75 ISH a month. 

i want to maximise the use/potential so I was thinking of adding this to my pension each month and receiving the tax relief  as well. 

What do you guys do to make best use of your profit ??

kimwp

Presumably it depends on your financial goals?

Mark_d

Firstly I don't think it matters where the 'income' was generated from.  Essentially you have £75 spare cash each month that you want to save.

Maybe you need to put it in an instant access savings account so that you can pay for car repairs if your car breaks down...and your ISAs are maxxed out.
Maybe you want to put it in Premium Bonds if you want a tax free investment to balance the risk in your S&S portofolio.
Maybe you want to regularly purchase into an investment fund for long term growth, potentially inside an S&S ISA.

Maybe you want money accessible at age 60 and you plan to retire at 65 - so a Lifetime ISA might be the best place.

Under the current arrangements I don't think you can have too much money in a pension if you certainly have no use for that money before retirement.

Grumpy_chap

Sabbath84 said:

Hey all
So I started stoozing last October 2024. I've tracked my interest earned over this time and am now at £2.52 a day. £75 ISH a month. 

i want to maximise the use/potential so I was thinking of adding this to my pension each month and receiving the tax relief  as well. 

What do you guys do to make best use of your profit ??

I assume you are not already utilising your full annual allowance / earnings cap for pension contributions?

Jami74

My stooze pot is in a cash ISA, the 'profit' stays there. Interest on interest and all that.

crumpet_man

Interest from stoozing stays in a cash ISA or savings account to eventually pay off the credit card in case there isn't a good balance transfer deal.

where_are_we

Regular Savers give you the highest interest on cash savings.

kempiejon

crumpet_man said:

Interest from stoozing stays in a cash ISA or savings account to eventually pay off the credit card in case there isn't a good balance transfer deal.

I am a bit more blasé about my stooze balances, I used to ear mark a special account. These days I have cash savings, enough to clear the pot but I no longer earmark it specially: over the years of stoozing I've found it straight forward enough to get a new deal. I doubt I've been without some sort of balance since the 2020s though the low savings rates and shorter terms or balance transfer fees did take the edge of it for a while.
Stooze is all part of the income stream.

Nasqueron

where_are_we said:

Regular Savers give you the highest interest on cash savings.

Regular savers can be beaten - Santander do a 6% Edge saver linked to the current account, with a switch and/or cashback for opening and not activating the fee you can earn and save £4000 per saver (I believe now you can have 3) and that is 6% on £4k from the off, not paying in monthly. Moreover, most regular savers cap at £150-£300 a month so unless you have the max in the NatWest one (5.25% on 5k) they're not always that efficient

ZeroSum

Nasqueron said:

where_are_we said:

Regular Savers give you the highest interest on cash savings.

Regular savers can be beaten - Santander do a 6% Edge saver linked to the current account, with a switch and/or cashback for opening and not activating the fee you can earn and save £4000 per saver (I believe now you can have 3) and that is 6% on £4k from the off, not paying in monthly. Moreover, most regular savers cap at £150-£300 a month so unless you have the max in the NatWest one (5.25% on 5k) they're not always that efficient

The 6% is only for a year then drops to 4%
I believe theres 3 reg savers paying 7% or more currently (FD, co-op & zopa) then nationwide paying 6.5% & Lloyd's 6.25%

If you do get 3 edge accounts you do also need enough DDs to clear the £3 fee

Nasqueron

ZeroSum said:

Nasqueron said:

where_are_we said:

Regular Savers give you the highest interest on cash savings.

Regular savers can be beaten - Santander do a 6% Edge saver linked to the current account, with a switch and/or cashback for opening and not activating the fee you can earn and save £4000 per saver (I believe now you can have 3) and that is 6% on £4k from the off, not paying in monthly. Moreover, most regular savers cap at £150-£300 a month so unless you have the max in the NatWest one (5.25% on 5k) they're not always that efficient

The 6% is only for a year then drops to 4%
I believe theres 3 reg savers paying 7% or more currently (FD, co-op & zopa) then nationwide paying 6.5% & Lloyd's 6.25%

If you do get 3 edge accounts you do also need enough DDs to clear the £3 fee

The 6% is only for a year then drops to 4%

- yes so you close and open a new one?

I believe theres 3 reg savers paying 7% or more currently (FD, co-op & zopa) then nationwide paying 6.5% & Lloyd's 6.25%

- do you understand how regular savers work? You don't get 7% interest on the total, you get an accumulating amount of interest e.g. 7% on £300, then 7% on £600. I have the First Direct one, £300 a month - that gives you £135 interest at maturity. Santander Edge Saver would pay ~ £240 for the year

If you do get 3 edge accounts you do also need enough DDs to clear the £3 fee

-as I said in my post you don't activate the fee