Originally posted by Gonzo
View Post
- Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
- Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Reply to: House Cash question
Collapse
You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:
- You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
- You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
- If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.
Logging in...
Previously on "House Cash question"
Collapse
-
Originally posted by Lockhouse View PostI thought if you had a cash ISA you had to leave the cash in there for 5 years to shelter it from tax?
I think it is possible that some 5 year bonds may qualify for a cash ISA, but the 5 year term is a rule of the underlying product, not a rule of the ISA wrapper.
It is also possible that you are confusing them with TESSAs (which cash ISAs replaced some years ago).
Leave a comment:
-
Originally posted by Lockhouse View PostAt last a serious reply. Amount of equity is towards the upper end of your quoted range. Premium bonds I'd not thought of.
I thought if you had a cash ISA you had to leave the cash in there for 5 years to shelter it from tax?
Is it the Building Socs that market 1 year bonds?
If you could be bothered you could open about 50 current accounts paying up to 8% on regular savings and shuffle them all around (since generally the rules are deposit 1k per month and get around 8% on the first 2.5k in it. That would be taking rate tart to the extreme though.
Some of the banks will also offer money market accounts which are generally libor linked in some way. Generally you can only find the rates by ringing 'em. HSBC might be worth a quick call. Problem of course is than the minimums are often > than the 35k protection level.
Managed cash funds do exist as well, but I would imagine fees will likely eat up all of any rate improvement.
Leave a comment:
-
Originally posted by Ivor Bigun View PostStrange thing this. I sold my last house last year (at the peak ) and went rented.
Reckon I've "escaped" with 150K savings (tax free) since then, as said house(s) have decreased in value.
Mmmmmmm nice.
Leave a comment:
-
Originally posted by Xenophon View PostOr just how much in cold hard cash for us simpletons.
Reckon I've "escaped" with 150K savings (tax free) since then, as said house(s) have decreased in value.
Mmmmmmm nice.
Leave a comment:
-
Originally posted by milanbenes View PostLockhouse,
have you also considered simply taking x % of the cash and putting it into a foreign currency bank account at your local bank ?
Strange as it may seem, over a 12 months period you might do very well betting on the pound falling against currencies, the benefit of this is the cash is always liquid and can at any time be converted back to gbp and used for something
Anyone who had bought Euro 12 months ago would now be 20% up.
Milan.
Leave a comment:
-
Dim,
I know you're dying to tell us, how much did you make in capital appreciation and forex on the villa in cyprus ?
Milan.
Leave a comment:
-
Originally posted by Lockhouse View PostIf we sell our house and move into rented for 12 months; what do we do with the not inconsiderable equity until we buy back into the market next year (or the year after)? We'd need something safe with a good return. Any ideas?
One reason I decided not to sell was that at the moment cash is not safe and shares are also very dodgy. If you have masses of equity you would have to spread it around the banks because it is still possible that one or more could go bust.
You are only covered up to 35K per bank and that is only if one is not a subsidiary of another.
Leave a comment:
-
Originally posted by milanbenes View PostLockhouse,
have you also considered simply taking x % of the cash and putting it into a foreign currency bank account at your local bank ?
Strange as it may seem, over a 12 months period you might do very well betting on the pound falling against currencies, the benefit of this is the cash is always liquid and can at any time be converted back to gbp and used for something
Anyone who had bought Euro 12 months ago would now be 20% up.
Milan.
Leave a comment:
-
Lockhouse,
have you also considered simply taking x % of the cash and putting it into a foreign currency bank account at your local bank ?
Strange as it may seem, over a 12 months period you might do very well betting on the pound falling against currencies, the benefit of this is the cash is always liquid and can at any time be converted back to gbp and used for something
Anyone who had bought Euro 12 months ago would now be 20% up.
Milan.
Leave a comment:
-
Originally posted by ASB View PostAre you talking about 100k or 500k ?
I'm assuming you have used all available cash isa allowance for the years in question. Obviously helps 'cos of the tax.
You could spread it around a few b.socs at 6.5% ish - but taxable of course. You can currently get 1 year bonds around 7%. Consider taking the maximum in premium bonds. With average luck this should pay 3.4% net (it's tax free).
Depending on your view of inflation might be worth considering one of the various index linked nat savings products. Generally pay their index (which one is it these days?) + 1% net. I think there might be a 3 year period though.
I thought if you had a cash ISA you had to leave the cash in there for 5 years to shelter it from tax?
Is it the Building Socs that market 1 year bonds?
Leave a comment:
- Home
- News & Features
- First Timers
- IR35 / S660 / BN66
- Employee Benefit Trusts
- Agency Workers Regulations
- MSC Legislation
- Limited Companies
- Dividends
- Umbrella Company
- VAT / Flat Rate VAT
- Job News & Guides
- Money News & Guides
- Guide to Contracts
- Successful Contracting
- Contracting Overseas
- Contractor Calculators
- MVL
- Contractor Expenses
Advertisers
Contractor Services
CUK News
- Streamline Your Retirement with iSIPP: A Solution for Contractor Pensions Sep 1 09:13
- Making the most of pension lump sums: overview for contractors Sep 1 08:36
- Umbrella company tribunal cases are opening up; are your wages subject to unlawful deductions, too? Aug 31 08:38
- Contractors, relabelling 'labour' as 'services' to appear 'fully contracted out' won't dupe IR35 inspectors Aug 31 08:30
- How often does HMRC check tax returns? Aug 30 08:27
- Work-life balance as an IT contractor: 5 top tips from a tech recruiter Aug 30 08:20
- Autumn Statement 2023 tipped to prioritise mental health, in a boost for UK workplaces Aug 29 08:33
- Final reminder for contractors to respond to the umbrella consultation (closing today) Aug 29 08:09
- Top 5 most in demand cyber security contract roles Aug 25 08:38
- Changes to the right to request flexible working are incoming, but how will contractors be affected? Aug 24 08:25
Leave a comment: