Best way to invest £2000 a month for the next two years (until I'm 67 in Jan '29)

Diamond_Dog

Hello- I'm still working and would like to find the best way to save monthly - I'm looking at £2000 a month for two years? I retire in Jan 2029 and want to try and get the best rate, easily (hopefully be able to pay by direct debit from my savings account directly each month) and with zero risk?

All help greatly appreciated.

Woodstok2000

Have you used your ISA allowance? If so, maybe use multiple different regular saver accounts?

vacheron

In your shoes, with 2 years left and retirement looming, I would be contributing it to my pension and placing it in a money market fund, then drawing it down with 25% tax free when I retire in 2 years.

After the tax relief (especially if you are a high rate taxpayer), potential employer contributions, and possibly salary sacrifice, that would blow all the high street savings accounts completely out of the water! ☺️

Woodstok2000

https://forums.moneysavingexpert.com/discussion/comment/82157514#Comment_82157514

Id assumed pension was maxed out, but if not then this is the right approach.

aroominyork

If this is unwrapped and if you are a taxpayer, especially if higher rate, there is a tailor made gilt: TG29 maturing on 31/1/2029 with a yield of 4.65% and a coupon of 0.5%. A higher rate taxpayer would net 4.65% - (0.5% * 40%) = 4.45%.

StewedApple

I'm thinking a monthly trip to the dog track - if you book your taxi in advance there would be a guaranteed return as well.

Albermarle

https://forums.moneysavingexpert.com/discussion/comment/82157519#Comment_82157519

You often find that many new posters, putting more in their pension never crosses their mind, even though it is often the obvious choice. Some do not even have a pension at all.

OP - Presume you are actually paying into a workplace pension and have been for many years? Or are you self employed maybe?

dunstonh

Hello- I'm still working and would like to find the best way to save monthly - I'm looking at £2000 a month for two years? I retire in Jan 2029 and want to try and get the best rate, easily (hopefully be able to pay by direct debit from my savings account directly each month) and with zero risk?

No such product exists.

You are going to need to compromise on something as every single option has risks.

Exodi

Diamond_Dog

invest

Diamond_Dog

the best rate

Diamond_Dog

with zero risk

This is akin to asking for tomorrow's lottery numbers.

Aside from this, when do you need the money (as when one retires, they don't usually intend to spend their entire pot on day 1). If you intended on accessing the money straight away (so in 2 years), you shouldn't be considering investing (in the context or equities) at all, and should use a STMMF. If the money is to be invested for longer, you should certainly do a lot more research before making any decisions, as you'd realise how unreasonable what you've casually asked is.

eskbanker

https://forums.moneysavingexpert.com/discussion/6685509/best-way-to-invest-2000-a-month-for-the-next-two-years-until-im-67-in-jan-29

Re "hopefully be able to pay by direct debit from my savings account directly each month", do you actually mean from your current account? If you already have a savings account then making sure it's offering a market-leading rate might negate the need for any further action, although some of the other options identified in earlier posts do have merit, depending on your appetite for admin, etc…

wmb194

https://forums.moneysavingexpert.com/discussion/6685509/best-way-to-invest-2000-a-month-for-the-next-two-years-until-im-67-in-jan-29

If you just want savings accounts then regular savers offer the best rates. Open a few and you'll be able to deposit £2k per month into them easily but you'll need to do a little work to setup standing orders or make manual transfers, and possibly open prerequisites like current accounts.

https://moneyfactscompare.co.uk/savings-accounts/