Here’s what you could do with your money…
As each week passes, we edge closer and closer to a more normal life.
Exciting, isn’t it?
Children have been back at school for a couple of months now. We’re back spending in shops. And bars and restaurants are open for outdoor dining – with indoor dining soon to follow.
With more welcome changes on their way, lockdown will hopefully feel like a distant memory. Soon you’ll be back doing the things you enjoy.
It’s safe to say lockdown wasn’t easy – particularly for those in the education sector.
But there was one ‘bitter-sweet’ perk to come from less travelling, and barely going out. A lot of us were lucky enough to ‘accidentally’ save much more money than usual.
Two thirds of the nation have spent less money overall since March 2020, Fidelity research shows. This comes down to things like not going on holiday, not eating out and not meeting friends and family. Even working from home has proved cost-effective.*
And UK adults are expected to save a collective £180 billion by this summer – according to the Office for Budget Responsibility.^
How to make your money go further
You may have noticed an unintentional boost in your own savings recently.
And that begs the question: what do you do with it?
There are many options available. But when it comes to your future goals, investing is considered one of the best ways to help you grow your money.
You do have to be willing to take some risk with your capital (in return for a chance of higher rewards), and should be intending to invest for at least five years. But through investing, you could have more chance of achieving better returns over the long run.
So what investment options are there?
First, stocks and shares ISA. This is a popular choice – mainly down to its tax-efficient perks. You can currently save up to £20,000 in an ISA each year – and any returns you make are free from tax. Stocks and shares ISAs could be a good way to help your money build up even more over the long run.
And secondly, a pension. Even though it’s likely you already have a workplace pension, it might be worth considering topping up, or even setting up a private plan to maximise the benefits available to you.
Pensions offer some really great tax benefits. Every time you top up your pension, you receive tax relief of at least 20%.
The money you’ve built over lockdown could give your retirement plans that extra boost. Especially when you think about the tax relief you can receive. In turn, this could help towards achieving the lifestyle you want in retirement.
Here to make life easier
With the end of the pandemic in sight, this could be a really good moment to take advantage of any extra savings you may have accumulated.
When it comes to knowing what’s best for your savings, it isn’t always easy. In fact, these can be tricky decisions.
That’s why NAHT Personal Financial Services are here to help NAHT members like you. A meeting with one of our expert financial advisers could make a difference to the financial choices you make.
- We’ll find out what’s important to you and what you’d like to achieve with your money.
- If you have existing plans, we’ll check to see if these are working for your current circumstances.
- Together we’ll come up with a tailored plan that could help you get more from your finances.
You’ll only be charged if you decide to go ahead with our recommendation – all charges will be outlined beforehand. You’ll have the time you need to decide if you’d like to act on the advice. It’s all part of our No Pressure Promise.
Our recommendations are likely to include stock market-linked investments. These aren’t like bank and building society savings accounts as your capital is at risk and you might get back less than you originally invested. For Pensions and ISAs the tax treatment depends on your individual circumstances and prevailing legislation, both could change.
Get in touch today to book your free initial consultation by requesting a call back or calling 0800 121 4596. This friendly chat will help you find out if financial advice might be right for you.
*Source: How will you make the most of your lockdown savings? (fidelity.co.uk)
^Source: https://obr.uk/download/economic-and-fiscal-outlook-march-2021/
NAHT Personal Financial Services is a trading name of Skipton Building Society, which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, under registration number 153706, for accepting deposits, advising on and arranging mortgages and providing Restricted financial advice. Principal Office, The Bailey Skipton. N. Yorks BD23 1DN