ISAs are an effective way to make sure your money works hard for you so it’s essential you don’t miss out on your annual tax-free ISA allowance
The 2023/24 tax year deadline is looming and you only have until the 5th April to take full advantage of this year’s ISA allowance.
It’s easy to be distracted by events taking place around us and to lose focus of our priorities. But, in an uncertain world, it’s more important than ever to make sure your money works harder for you. One of the first steps to achieving this is to make sure any investment returns you make are as tax efficient as possible.
ISAs are an effective way to make sure your money works hard for you. They are free from personal income tax and capital gains tax*, so it’s essential you don’t miss out on your annual tax-free ISA allowance.
Make the most of your personal allowance
The amount you can personally save in an ISA is £20,000 (2023/24 tax year) which you can split between stocks and shares ISAs, cash ISAs and Lifetime ISAs.
If you’re not sure which type is best for you, please do get in touch. Between us, we’ll review your goals and appetite for investment risk to help you decide which option is right for you.
Help out the youngsters
Whilst it may seem a long way off, Junior ISAs are a great way to start saving for your children’s education, their first car or even a house deposit.
A Junior ISAs offer the same tax benefits and investment opportunities as full ISAs but with an annual limit of £9,000 (2023/24 tax year).
It’s important to note, any payment into a Junior ISA does not affect your personal ISA allowance of £20,000.
Do it yourself
If you’re on the Quilter Investment Platform you can top up your ISA investment quickly and easily yourself from your phone.
All you have to do is:
1. Login to the Quilter for Platform Customers app. (If you don’t have it yet, you can download it from the app store.)
You can see your remaining ISA allowance under the ‘accounts’ tab on the home screen. (This may be slightly more than the £20,000 limit because Quilter ISAs are flexible: this means that any fees and charges taken over the year can be reinvested.)
2. Select the menu from the bottom right of your screen and select ‘Make a single payment’ from the ‘Payments In’ box.
3. Select your ISA account, press ‘start’ and follow the on-screen instructions. You can pay by bank transfer or debit card.
Alternatively, you can top up from your PC by logging on to the Quilter Platform at platform.quilter.com/login (If you haven’t activated your Quilter online account, simply visit platform.quilter.com/activate to get your account up and running in three easy steps.)
Of course, if you’d rather, we’re happy to do it for you – just get in touch with one of the team!
Here to help
Don’t forget, the sooner you invest your allowance, the more time your money has the potential to grow. If you have any questions about maximising your ISA allowance for this year please do get in touch.
By Daren Wallbank
The value of the investment can go down as well as up and you may not get back as much as you put in.
Tax treatment depends on individual circumstances. Tax treatment rates and Allowances are subject to change.
*For ISA’s Investors do not pay any personal tax on income or gains but ISAs do pay unrecoverable tax on income from stocks and shares received by the ISA manager
Tax planning is not regulated by the financial conduct authority.
Approver Quilter Financial Services Limited & Quilter Mortgage Planning Limited 02/02/2024
