Savings/investments - what do you do with yours

[LeningradCowboy]

TIL everybody on ccmb is either already a landlord or aspires to be one.

https://www.bbc.co.uk/news/business-48637484

Buy-to-let has ****ed up this country.

[Bluebina]

https://www.bbc.co.uk/news/business-48637484

Buy-to-let has ****ed up this country.

The government are already finding ways to make buy to let less attractive, I think they will continue down that line.

If you are insistent on this route, how much equity do you have on your current house?

If it's a fair bit you could remortgage and take the deposit from your existing house, that will be much quicker, as people say house prices are rising quicker than people can build up the deposits, but could be risky in a downturn or recession.

I think if either of you are working for an employer, they will have to provide a scheme, join that they will usually pay a contribution in for you (typically 4% to10%, and you will also get tax relief from the government at your highest tax rate, if you are self-employed the contribution would count as a business expense so save you paying tax and taking the money as pension.

When you need to take it out 25% will be tax-free and the rest taxable depending on your income and tax allowance.

Take your time, and make sure you've considered both, maybe do a pension now and buy an extra property in the future, so you end up with the best of both?

With a pension you have a greater benefit the younger you take one out, they say for every five years you leave it you have to pay in double the amount to get the same benefit, I don't think thats exactly right, but the principle is.

[delmbox]

The government are already finding ways to make buy to let less attractive, I think they will continue down that line.

If you are insistent on this route, how much equity do you have on your current house?

If it's a fair bit you could remortgage and take the deposit from your existing house, that will be much quicker, as people say house prices are rising quicker than people can build up the deposits, but could be risky in a downturn or recession.

I think if either of you are working for an employer, they will have to provide a scheme, join that they will usually pay a contribution in for you (typically 4% to10%, and you will also get tax relief from the government at your highest tax rate, if you are self-employed the contribution would count as a business expense so save you paying tax and taking the money as pension.

When you need to take it out 25% will be tax-free and the rest taxable depending on your income and tax allowance.

Take your time, and make sure you've considered both, maybe do a pension now and buy an extra property in the future, so you end up with the best of both?

With a pension you have a greater benefit the younger you take one out, they say for every five years you leave it you have to pay in double the amount to get the same benefit, I don't think thats exactly right, but the principle is.

I'm not fixed on a second property at all, just wondering what other people do to make the most of their money. That was the most obvious one but I'm looking at an investment portfolio as well

[Bluebina]

I'm not fixed on a second property at all, just wondering what other people do to make the most of their money. That was the most obvious one but I'm looking at an investment portfolio as well

No worries, a Pension or ISA is just a wrapper to determine the tax status, inside the Stocks and Shares ISA or Pension, you could invest in individual shares or funds would be the best option to start, spread the risk over many different companies, asset types and regions around the World, Global and technology funds are doing well at the moment, but things change quickly, diversification is the key!

[delmbox]

No worries, a Pension or ISA is just a wrapper to determine the tax status, inside the Stocks and Shares ISA or Pension, you could invest in individual shares or funds would be the best option to start, spread the risk over many different companies, asset types and regions around the World, Global and technology funds are doing well at the moment, but things change quickly, diversification is the key!

Yeah I'm leaning towards that at the mo. Know nothing about it mind so these robo companies look interesting. I've been having a look at that Wealthify which I think is Cardiff based

[delmbox]

Thanks for the input all by the way