Aged 18-40? Save with LISA

Lifetime Individual Savings Accounts are being launched by the Government in April 2017 to help 18-40 year- olds to save and invest flexibly for the long-term. The aim is that people will not have to choose between saving for their first home and retirement, but can save for both in a flexible way.

You can use some or all of the money to buy your first home or keep it until you’re 60. Similar to normal Individual Savings Accounts, there is no Capital Gains Tax payment or further Income Tax on profits taken.

Government Bonus

Individuals can save and invest up to £4,000 each year and receive a government bonus of 25% – that’s a bonus of up to £1,000 a year, and can use some or all of the money to buy a first home or keep it until you are 60 – it’s up to you.

Lifetime ISA accounts will be available from 6 April 2017 and can be opened between the ages of 18 and 40, and any savings put in before their 50th birthday will receive an added 25% bonus from the Government.