Have you made use of your allowances?

As the 2020/21 tax year end is fast approaching, it is a good time to consider if you are being efficient with your savings and investments. For the purposes of this article and our investment clients the two key areas we will focus on are:

– Annual ISA allowance of £20,000
– Annual Pension allowance of £40,000

Both ISA’s and Pensions provide a tax efficient way for individuals to save and accumulate wealth. The ISA allowance is very straightforward in the sense that it is a case of ‘use it or lose it’. There is no option to carry forward any of your previous years unused allowances – so if you miss the tax year end deadline that allowance will be lost. Getting in the habit of regular annual subscriptions to ISA’s can be extremely beneficial in ensuring you have access to tax free capital or income later in life.

The pension allowance is slightly more complicated and can be based on who is making the contributions, your level of income and/or your previous 3 years’ contributions. Making full use of your pension allowance is encouraged and to find out your own personal allowance and options please feel free to contact us on 01489 668280 or enquiries@southernwealth.co.uk.

For more information on saving and investing in a tax efficient manner please visit the resources section of our website where you will find numerous useful key guides.

Latest Tweets

to speak to a member of our team, please call 01489 668280

Contact Us

    You voluntarily choose to provide personal details to us via this website. Personal information will be treated as confidential by us and held in accordance with the Data Protection Act 1998. You agree that such personal information may be used to provide you with details of services and products in writing, by email or by telephone.

    Lancaster Court
    8 Barnes Wallis Road
    Hampshire ​
    PO15 5TU