The choice of which vehicle can provide the best savings returns over time – the Pension Pot or the ISA – is a long talked about topic. Standard Life recently published research which identified and compared tax and interest rate factors in relation to both options. With recent changes to rules governing inheritance, the research has also been updated to compare what can be passed on to family members on death and how tax efficient each method is.
ISAs have been a hot topic for politicians recently, with multiple changes to the savings vehicles made over the last few years. The most recent major announcement, George Osborne’s 2015 Budget, was no exception, with several interesting new developments for ISAs announced as part of the Budget document.
The 5th April might seem a little way off yet, but the end of the tax year always seems to arrive faster than we think! For financial planning, the end of the tax year is important for a variety of reasons and so, before we hit the deadline, put some thought into the following five tips and maximise your saving opportunities before they disappear for good!
It seems odd that in a general climate where there is so much controversy over foreign corporations paying no tax in the UK, pop stars using dubious tax avoidance schemes, and where there is a raging debate about whether “we are all in this together”, there sits in the middle of our tax system, the most wonderful and simple tax haven of all: the ISA.
Many of our clients will be aware of the tax advantages that can come from using an ISA or a pension to save for your future. If you are not currently a client however, or are unfamiliar with the tax benefits available, then it is worth briefly recapping just what you could be missing out on!