Being nosey... How many Regular Saver accounts do you have?

masonic

allegro120 said:

Bobblehat said:

allegro120 said:

Bobblehat said:

allegro120 said:

Bobblehat said:

PixelPound said:

The min% is interesting. Mine used to be 5.50% but since opening Monmouthshire accounts (the 6%, £500pm and then the members 7% £1000 pm) this has jumped to 6.25%, though even then it's looking at other factors like withdrawal options and duration.
I am not currently funding the 3 RS below 6%, I have 2 at 5.50% one maturing start of Jan and the other the end, and probably won't renew those (especially if the renewal options are lower) and instead revisit mid year since I've a gap where nothing is maturing.

On my spreadsheet I note which has fixed rate and which variable. Not seen any notification of reductions since the BoE cut, but if they do then does the minimum percentage drop or maybe whether it's fixed becomes a factor depending on how many cuts are expected in 2026.

Does anyone consider what their average percentage is? Looking at those still funding, the average percentage (using SUM(each RS monthly deposit * percentage) / SUM(RS monthly deposits) ) is 6.6%, though that would be lower if included the ones I'm not funding.

I must say I don't actually work out what my average % is! The reason is that I try to use the "open late in the month and fund as close to the last day as possible, and then as early in the next month as possible" strategy. This increases the final interest figure compared to what either the Bank/BS estimates or even the figure the MSE RS Calculator estimates. Along with holding the funds in different feeder accounts throughout the year, I'll admit to being a bit lazy trying to figure out a meaningful formula to calculate the true average percentage! The figures I am most interested in are the annual gross/net interest totals over all taxable interest accounts and tax-free interest accounts.

As an aside, I'm still trying to shift unforeseen inheritance money into ISAs and out of taxable interest accounts as quickly as possible, while trying to keep a grip of managing an expanding RS collection (where the RSs pay more after tax than the best ISAs!). Nice problem to have 

That's compulsory for SA, otherwise I wouldn't bother with this. I'm more interested in the process of maximising the returns.  I do an audit every six months - I go through all my accounts and record the total value, this is all I need to know

The only thing I calculate monthly is my RS distribution, this is just for reassurance that I have enough funds in my EA to facilitate my planned deposits.  

Or avoiding SA if your potential taxable interest could be a tad over £10K, by shifting maybe just one account to mature in the following tax year and using the following year's ISA allowance to lower that years taxable interest. It's a bit of a balancing act, but I agree that maximising returns is the higher priority 

 

My taxable interest is below £10k, but I still have to do SA to declare my other income (pension and royalties) which is above the threshold.  I regret I signed up for SA, but I don't think I can get out of it now.  The only option would be to pretend that I don't have any passive income and let HMRC work out my tax from my pension and the interest figures supplied by banks/BS, but that will be a fraud.  In my understanding l'm trapped like in 'Royston Vasey', can't see how I can get out of SA. 

Interesting to hear your viewpoint about SA. I know some folks on here say no big deal. I was in a position last tax year of having to make a decision to shift some interest into this tax year or fill in SA if my calculations proved to be correct. I chickened out and shifted some EA money into a 1 Year Fix. I'm glad I did as it proved to be slightly beneficial in pure financial terms (over the two years) and did avoid SA because of the under £10K rule (just). 

Isa Allowance this year (and following years?), plus falling rates should stop me having to make that decision again 

It's not a big deal for me to input my figures, i't the the rest of the form full of pages and questions I don't understand so have to google them up and in 12 months time I don't remember the answers so have to google them again.  Most of SA form content is completely irrelevant to my circumstances.  I'm not questioning or criticising the form, I understand it has to cater for all eventualities but it's a chore that I'd rather avoid if I could. 

Another thing about SA.  I don't understand what's the point of me submitting my own interest figures if HMRC getting this info from providers anyway?  What would happen if I put zero in that box, will HMRS adjust it to their records or will I be in trouble?  

(Off topic alert)

When you submit a tax return you do so with a declaration that the figures you provide are accurate. HMRC would likely accept your zero figure in the first instance and you'd pay no tax on savings income. However, if you kept doing that, or attracted attention for anything else, you'd get into trouble and probably end up with a penalty alongside the bill for unpaid tax plus interest.

I find the online form fairly straightforward. You start with a bunch of yes/no questions to tailor the return, then within those sections there are usually things that are relevant and things that are irrelevant, but I always download the completed form so I have a record of exactly which boxes I filled out last time. One frustration I have is that several years ago it was able to pick up details of my employment automatically if I filed late enough, yet in recent years that no longer happens and I have to transcribe from my P60.

allegro120

subjecttocontract said:

I don't quite understand how anybody who receives savings interest would want to rely on someone else, especially the Government, to calculate their tax liability without having the opportunity to check it's accuracy. There seems to be a few people who don't keep their own records and are happy to let HMRC do the work for them.......It's a mystery to me. I like to be in control, have a handle on the numbers, complete a SA knowing the figures are accurate and that my tax bill is correct. Doing it any other way just wouldn't work for me.

I see relying on HMRS to calculate is a more practical and potentially more profitable choice. Apparently not all providers report to HMRC, so it is more likely that their total will be less than mine than the other way round.

Bobblehat

subjecttocontract said:

I don't quite understand how anybody who receives savings interest would want to rely on someone else, especially the Government, to calculate their tax liability without having the opportunity to check it's accuracy. There seems to be a few people who don't keep their own records and are happy to let HMRC do the work for them.......It's a mystery to me. I like to be in control, have a handle on the numbers, complete a SA knowing the figures are accurate and that my tax bill is correct. Doing it any other way just wouldn't work for me.

I see where you are coming from, which is why I do like to keep detailed records of interest received, even as far as overwriting predicted figures with actual figures as they come in. Luckily, so far over several years, when I cross-check my figures with any HMRC figures or demands, I seem to have "overestimated" liability to tax compared to what HMRC are showing. (That's a euphemism for me saying I think they underestimate my liability  ). Over the years I assume they catch up with my liability, so I don't question their wisdom while it looks like I'm getting a free loan 

Bobblehat

subjecttocontract said:

I'm down to 13 now as I've closed & cashed in quite a few.
Plus I have a few with zero balance, standing order cancelled, awaiting interest payments .....don't know if they would be included. I'm hoping to close the lot by 1st quarter 2026. Regular savers, at one time, accounted for  around 8% of my annual savings income, so it's not a big loss.

That's quite a drop, with a further drop planned! Have you found a better magic mix for savings income?

Bobblehat

allegro120 said:

subjecttocontract said:

I don't quite understand how anybody who receives savings interest would want to rely on someone else, especially the Government, to calculate their tax liability without having the opportunity to check it's accuracy. There seems to be a few people who don't keep their own records and are happy to let HMRC do the work for them.......It's a mystery to me. I like to be in control, have a handle on the numbers, complete a SA knowing the figures are accurate and that my tax bill is correct. Doing it any other way just wouldn't work for me.

I see relying on HMRS to calculate is a more practical and potentially more profitable choice. Apparently not all providers report to HMRC, so it is more likely that their total will be less than mine than the other way round.

I made my comments about overestimation(underestimation) of liability before I read your comment shown above. I'm still working on a principle that they might catch up eventually and I will pay what I owe, so no big deal. In the meanwhile I'm earning interest on what I could owe and who knows if they will ever ask for it!

All in all, I'm glad I deliberately shifted some interest into this tax year and avoided SA.

allegro120

Bobblehat said:

allegro120 said:

subjecttocontract said:

I don't quite understand how anybody who receives savings interest would want to rely on someone else, especially the Government, to calculate their tax liability without having the opportunity to check it's accuracy. There seems to be a few people who don't keep their own records and are happy to let HMRC do the work for them.......It's a mystery to me. I like to be in control, have a handle on the numbers, complete a SA knowing the figures are accurate and that my tax bill is correct. Doing it any other way just wouldn't work for me.

I see relying on HMRS to calculate is a more practical and potentially more profitable choice. Apparently not all providers report to HMRC, so it is more likely that their total will be less than mine than the other way round.

I made my comments about overestimation(underestimation) of liability before I read your comment shown above. I'm still working on a principle that they might catch up eventually and I will pay what I owe, so no big deal. In the meanwhile I'm earning interest on what I could owe and who knows if they will ever ask for it!

All in all, I'm glad I deliberately shifted some interest into this tax year and avoided SA.

Good move.  Best not to get involved in SA scheme if you can.
Speculating further, they are not likely to catch up if some institutions don't report In any case - later is better than earlier because you can earn interest on the cash that is still in your possession. 

subjecttocontract

Bobblehat said:

subjecttocontract said:

I'm down to 13 now as I've closed & cashed in quite a few.
Plus I have a few with zero balance, standing order cancelled, awaiting interest payments .....don't know if they would be included. I'm hoping to close the lot by 1st quarter 2026. Regular savers, at one time, accounted for  around 8% of my annual savings income, so it's not a big loss.

That's quite a drop, with a further drop planned! Have you found a better magic mix for savings income?

No, quite the opposite.
I've decided to 'tidy up' some of my finances. I had getting on for 100 accounts including current accounts, easy access, fixed rate bonds, reg savers etc. My intention is to reduce the number of accounts, simplify & spend less time & effort dealing with them. I don't want to leave my family with what would be a difficult and time consuming task after I'm gone. The result will mean that my income from savings will reduce a little but im ok with that.

Eco_Miser

allegro120 said:

subjecttocontract said:

I don't quite understand how anybody who receives savings interest would want to rely on someone else, especially the Government, to calculate their tax liability without having the opportunity to check it's accuracy. There seems to be a few people who don't keep their own records and are happy to let HMRC do the work for them.......It's a mystery to me. I like to be in control, have a handle on the numbers, complete a SA knowing the figures are accurate and that my tax bill is correct. Doing it any other way just wouldn't work for me.

I see relying on HMRS to calculate is a more practical and potentially more profitable choice. Apparently not all providers report to HMRC, so it is more likely that their total will be less than mine than the other way round.

And apparently some providers (Zopa) report ISA income as taxable, so you could be overcharged. 

trickydicky14

subjecttocontract said:

Bobblehat said:

subjecttocontract said:

I'm down to 13 now as I've closed & cashed in quite a few.
Plus I have a few with zero balance, standing order cancelled, awaiting interest payments .....don't know if they would be included. I'm hoping to close the lot by 1st quarter 2026. Regular savers, at one time, accounted for  around 8% of my annual savings income, so it's not a big loss.

That's quite a drop, with a further drop planned! Have you found a better magic mix for savings income?

No, quite the opposite.
I've decided to 'tidy up' some of my finances. I had getting on for 100 accounts including current accounts, easy access, fixed rate bonds, reg savers etc. My intention is to reduce the number of accounts, simplify & spend less time & effort dealing with them. I don't want to leave my family with what would be a difficult and time consuming task after I'm gone. The result will mean that my income from savings will reduce a little but im ok with that.

I understand the logic in what you say, I too am reluctantly going down the same path. No way do I want to leave my mess to my dear wife. I'm slowly reducing bank accounts and RS's and going more for fixed rate 1 and 2 year savings accounts. Yes I will loose out on my returns but like you, I can live with that.