use unemployed partner to avoid paying tax on savings interest?

KB29R

Regards to the above - can I give my unemployed partner some of my savings instead to invest in her name so there is no tax to pay?

eskbanker

Yes, as long as you accept that legally the money would be hers rather than yours, and could accordingly affect any means-tested benefits she gets.

Dazed_and_C0nfused

https://forums.moneysavingexpert.com/discussion/6656485/use-unemployed-partner-to-avoid-paying-tax-on-savings-interest

You can.

Just don't forget it will then be her money.

She could give you the interest. But she can also share the interest. Or keep the interest.

Or spend the capital on whatever takes her fancy.

DRS1

You could always put some of your savings in an ISA.

KB29R

Thanks - we are not married so does this still apply? - and will be maxing out the ISA prior to this

Dazed_and_C0nfused

https://forums.moneysavingexpert.com/discussion/comment/81895251#Comment_81895251

Yes, if she wanted to she can spend it on whatever she likes, should be so inclined.

🏎️ ⛱️👜

fuzzzzy

If she were to unexpectedly die without a will the money would then belong to her next of kin.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81895251#Comment_81895251

Does what still apply?

jimjames

https://forums.moneysavingexpert.com/discussion/comment/81895251#Comment_81895251

It still applies that you can give her (or indeed anyone else) some of your money but it will no longer be your money. If you're not married there is even less claim on it than would be the case if you were.

Altior

Andy Makes A Deal With Captain Hadley

Newly_retired

If she has too much capital she will no longer qualify for any means-tested benefits she may claim. If she spends it to re-qualify, that is deprivation of assets and she would be treated as if she still had the money.

How much tax are we talking about?