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Just Another Lurker posted:Another pension related question. Do you get any particular benefits for contributing to that pension (eg is it especially tax-efficient, does the contribution get matched, etc)? If there's no specific benefit, it's probably best to shop around and find a private pension that offers a good balance of risk profile, cost and return. This will be super dependent on your personal circumstances though and you really might do best talking things through with an actual financial adviser to make sure you're covered for effectively retiring now
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Mar 15, 2022 14:39
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mfcrocker posted:Do you get any particular benefits for contributing to that pension (eg is it especially tax-efficient, does the contribution get matched, etc)? If there's no specific benefit, it's probably best to shop around and find a private pension that offers a good balance of risk profile, cost and return. Belated thanks for the info/insight. 
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Mar 15, 2022 21:28
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Crankit posted:Thanks to being an idiot and some other stuff I didn't have any money, I recently started a new job and I want to be a bit more financially responsible. I'm 38 and have an old company pension pot with about 15k in it. It's always worth checking the contribution criteria for your company pension scheme, it's sadly not uncommon for 'auto-enrolled' employees to get worse terms than those who elect to join the scheme based on how it was set up at the point of launch.
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Mar 16, 2022 18:29
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Real basic question about bank accounts, with the marcus account it pays interest monthly i think, but does it track how long each pound has been in the account? If I put in my next paycheck before 30 days is up will that garner interest too or will that money have had to be in the account for a month?
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Mar 20, 2022 15:39
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Interest is calculated daily, paid monthly. So any deposits start earning interest as soon as you put the money in.
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Mar 20, 2022 15:47
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When I change jobs should I merge my old pension into my new one or just leave it? Is there any practical difference either way?
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Apr 1, 2022 16:59
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The common practise is to have your existing work pension, which you often can't move about. And all your past pensions consolidated into one. That way you only have 2 to manage.
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Apr 1, 2022 17:04
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There's probably very little practical difference, unless one of the pots is being nibbled to death by maintenance fees. Some providers have benefits besides the pot itself, as long as you have a pot with them - lose a finger and you're paid £, lose a foot and you're paid £££, that sort of thing - so it's worth checking your plan documents, as if you transfer it into Vanguard or something you'll almost certainly lose that benefit. Me personally, I went and rolled-up my old inactive pots into a single Vanguard pot, for the sake of having 'my pension' that I could top-up and treat as my own dragon hoard, separate from 'my current work pension'.
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Apr 1, 2022 17:37
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so I could say that I finally figured out what this god damned cube is doing. Get well Lowtax.
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Doesn't it depend somewhat on the terms of the pension? It probably doesn't apply to that many people but some much older pensions have much more generous terms and payouts than newer ones. This is something I have only just started looking at myself so don't count this as more than a question too. Edit: Is there somewhere you can search to find all pensions with your name on it?
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Apr 2, 2022 17:34
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Touchdown Boy posted:Doesn't it depend somewhat on the terms of the pension? It probably doesn't apply to that many people but some much older pensions have much more generous terms and payouts than newer ones. This is something I have only just started looking at myself so don't count this as more than a question too. Yeah - https://www.gov.uk/find-pension-contact-details - be prepared to talk to scheme administrators and have your employment details to hand. I chased a bunch up for a client just a couple of weeks ago.
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Apr 2, 2022 17:55
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From the OP:quote:Plan 2 - Started your course after 1st September 2012 and studied in England or Wales Does the arithmetic for this change with the student loan interest rate going up to 12% by the looks of things?
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Apr 13, 2022 10:48
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While not directly answering your question, its important to note there is a fall back law on the student loan interest being higher than commercial ones. That will (in theory) come into effect in March next year, so interest rates will drop back down to 7% then.
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Apr 13, 2022 10:55
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Yes I've not updated that for FY22/23 yet, will do when I get some time, as well as the new
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Apr 13, 2022 12:58
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I already have a moneybox app/account as it's how I set up my LISA, I was going to set up an S&S ISA with em but then I saw they charge a £1 a month fee and then some percentages too and I thought if I'm only paying in £50 a month that'd probably wipe out any growth I'd get. I'm only looking to build up a bit of a nest egg over a fairly long term (10+ years). I then looked at Nutmeg and started setting up an S&S ISA with them as their calculator said their fees would come to a total of £11 a year which seemed cheaper, I was at work so I couldn't transfer any money into at the time. Then I saw the thread recommendation seems to be vanguard. Since I started opening an ISA with them am I tied to them until next year or because I didn't pay into it could I change my mind. Also is there a very simple explainer for S&S isa fees as they seem complex to me, I've never done anything with stocks and shares before so all the ETF terms and percentages are very confusing. I think I just want a low risk thing, but if I want to do this over a long time am I better going with slightly higher risk at the start and then lowering it over time? Nutmeg was mentioning stocks vs bonds and I just thought I'd go with a tracker I don't really understand most of this 
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Apr 29, 2022 09:14
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If nutmeg allow you to cancel the ISA (within 14 days of opening etc), then yes you can close it and open one with vanguard. If they don't then you are out of luck until next April.
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Apr 29, 2022 09:39
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Don't know if anyone knows enough about UK tax on here! Do not particularly want to contact HMRC just now because I do not have the time to spend 3 hours on the phone going round in circles with their call centres who never seem to know anything and give incorrect information, and the webmessaging function does not seem to be available now. Was self-employed (but not earning a lot << personal allowance!) and complete annual self-assessment (I use cash basis). Since April 2021 have been employed on a temporary p/t contract now extended to end of December 2022. Have not earned any self-employed income during that time, however I HAVE still incurred expenditure because certain things have to be kept up (eg website hosting, professional registrations etc) in case the temporary contract is not renewed (charity sector so totally depends on whether the charity can afford it) and also costs for things I had committed to prior to being given the employment contract. These aren't things I can just drop and pick up again "as and when". Even though I have not earned any self-employed income in tax year 2021-22, can I still put the losses down and carry over loss from previous year (covid etc)? Thanks for any assistance / links etc. Jaeluni Asjil fucked around with this message at 14:22 on May 14, 2022 |
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May 14, 2022 14:18
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Anyone know about Capital Gains Tax? Mrs Clarence's parents had a house in France that was partly in her name. It's now sold for a pittance and she has received her share. It's outside the UK so the selling property in the UK thing doesn't apply. It's also less than the £12,300 Tax Free Allowance. This implies that there is nothing to pay, but does it still have to be reported even if there is nothing to pay?
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May 26, 2022 17:00
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Clarence posted:Anyone know about Capital Gains Tax? Have a read of this: seems like you have to report it but won't have to pay anything (caveat: I'm not a financial adviser or tax expert!) https://www.frenchentree.com/french-property/do-i-have-to-pay-capital-gains-tax-when-i-sell-my-home-in-france/ Don't know what the French authorities might want though! https://www.furleypage.co.uk/insights/law-updates/french-capital-gains-tax-on-the-sale-of-a-french-property-what-you-need-to-know-2020 Frenchtree link ^^^ has a worked example. Jaeluni Asjil fucked around with this message at 17:16 on May 26, 2022 |
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May 26, 2022 17:14
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Hey all, looking for some advice about RSU's (restricted stock units). I've been advised it's likely better to leave them as they are after they vest, as the stock value will hold better than a bank account vs inflation - but I'm concerned that if the company for some reason goes under or I lose my job I'd lose the RSU's, so I'd rather take them under my own control as soon as they vest. I'm a couple of years into a LISA so I'm good on that front, so where is the next best place to put them - stocks and shares ISA?
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Jun 8, 2022 16:40
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Negotiate a compensation package that doesn't include RSUs is my template for the alarmingly-increasing number of people phoning me to ask about their RSUs. If those shares are so valuable, why are they giving them away?  If that isn't an option, vest them and put them straight into a personal pension and benefit from the immediate 25% uplift in the form of basic rate income tax relief. Regardless of anything else, you're holding shares in an entity you're not close enough to have any control or meaningful tax-relief (e.g. entrepreneur's relief) on and yet close enough to not be objective about.
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Jun 8, 2022 20:22
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Sell them and and buy an indexed ETF. There is no favourable tax treatment in the UK for holding a security long term. You are already risking your salary on the success of your company, don’t risk your life savings too.
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Jun 8, 2022 20:26
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qhat posted:Sell them and and buy an indexed ETF. There is no favourable tax treatment in the UK for holding a security long term. You are already risking your salary on the success of your company, don’t risk your life savings too. To add to this, I'd bet a crisp fiver that the RSUs are a specific share class that pays no dividend either.
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Jun 8, 2022 20:29
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qhat posted:Sell them and and buy an indexed ETF. There is no favourable tax treatment in the UK for holding a security long term. You are already risking your salary on the success of your company, don’t risk your life savings too. It's this. Always sell on vest.
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Jun 8, 2022 20:55
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qhat posted:Sell them and and buy an indexed ETF. There is no favourable tax treatment in the UK for holding a security long term. You are already risking your salary on the success of your company, don’t risk your life savings too. That's not quite true. Might be for RSU or whatever the heck the new hotness is but at least for what the company I work at offers a number of share awards become free of tax implications if held for I believe 5 years. Unless that's the company saying hold for 5 and we'll cover any tax? I haven't looked that closely.
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Jun 8, 2022 21:16
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Cast_No_Shadow posted:That's not quite true. Might be for RSU or whatever the heck the new hotness is but at least for what the company I work at offers a number of share awards become free of tax implications if held for I believe 5 years. Everything after the "unless." Holding a security for 5 years doesn't magic away the HMRC gremlin and share capital in the company that you are an employee at is at best a golden handcuff and at worst a garbage fob off.
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Jun 8, 2022 21:29
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Thanks all  I'm entry level at this company and too new for even the first round of RSUs to have vested yet, so renegotiation isn't an option. I'll definitely take control of them as they become available over the next few years and stick them in a low-risk fund as advised, thank you.
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Jun 8, 2022 21:35
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Hello everyone. I'd like to open a Stocks and Shares ISA as I've been told they're fairly sound investments. I'm a dual citizen (thanks dad) which means I have to open with Hargreaves Lansdown. I am a complete a total newbie to this - I grew up pretty poor and personal finance stuff just sends waves of anxiety throughout my body. When I become a customer with HL, do I need to have an idea of where to put my money right away? I want to put the £2500 I have to spare in a S&S ISA, but really have no idea where to start and find myself getting a bit confused and stressed when trying to google this and learn more. Any and all advice is greatly welcomed and very, very appreciated!
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Jul 28, 2022 13:55
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Calico Heart posted:Hello everyone. I'd like to open a Stocks and Shares ISA as I've been told they're fairly sound investments. I'm a dual citizen (thanks dad) which means I have to open with Hargreaves Lansdown. I am a complete a total newbie to this - I grew up pretty poor and personal finance stuff just sends waves of anxiety throughout my body. When I become a customer with HL, do I need to have an idea of where to put my money right away? I want to put the £2500 I have to spare in a S&S ISA, but really have no idea where to start and find myself getting a bit confused and stressed when trying to google this and learn more. Any and all advice is greatly welcomed and very, very appreciated! Why not call them, they're pretty helpful! I think you can just hold as cash until you want to invest. But remember what goes up can go down. I had £7k in an S&S Isa back in 2007, by late 2008 it was £4k and took about 4 years to climb back up to £7k.
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Jul 28, 2022 14:04
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Calico Heart posted:Hello everyone. I'd like to open a Stocks and Shares ISA as I've been told they're fairly sound investments. I'm a dual citizen (thanks dad) which means I have to open with Hargreaves Lansdown. I am a complete a total newbie to this - I grew up pretty poor and personal finance stuff just sends waves of anxiety throughout my body. When I become a customer with HL, do I need to have an idea of where to put my money right away? I want to put the £2500 I have to spare in a S&S ISA, but really have no idea where to start and find myself getting a bit confused and stressed when trying to google this and learn more. Any and all advice is greatly welcomed and very, very appreciated! You might get value from Nutmeg or Moneyfarm instead. Fees are a little higher but you just send them money and don’t need to make any decisions about what to invest in.
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Jul 28, 2022 14:49
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peanut- posted:You might get value from Nutmeg or Moneyfarm instead. Fees are a little higher but you just send them money and don’t need to make any decisions about what to invest in. Unfortunately because my stupid dad is American (I have been there twice in my life), I am a US Citizen and cannot join moneyfarm or nutmeg. This is a shame because I have such limited knowledge on the topic and would love to invest without needing to be in charge of the decisions, haha.
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Jul 28, 2022 19:28
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Calico Heart posted:Unfortunately because my stupid dad is American (I have been there twice in my life), I am a US Citizen and cannot join moneyfarm or nutmeg. This is a shame because I have such limited knowledge on the topic and would love to invest without needing to be in charge of the decisions, haha. Are you allowed to purchase premium bonds? You'll lose money immediately in an s&s isa (as the world is on fire), and even the occasional premium bond win will mean you make more than you would from any other kind of account going.
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Jul 28, 2022 19:33
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The Perfect Element posted:Are you allowed to purchase premium bonds? You'll lose money immediately in an s&s isa (as the world is on fire), and even the occasional premium bond win will mean you make more than you would from any other kind of account going. if if if Premium Bonds have always been dogshit for the vast majority of people. Giving your money to the government for no interest on the vague premise you might win a prize is terrible advice, especially so in an environment of over 9% inflation when you can get 1.3% on a Marcus online saver account and I'm sure you can find better if you look for it.
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Jul 28, 2022 20:03
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Calico Heart posted:Unfortunately because my stupid dad is American (I have been there twice in my life), I am a US Citizen and cannot join moneyfarm or nutmeg. This is a shame because I have such limited knowledge on the topic and would love to invest without needing to be in charge of the decisions, haha.
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Jul 28, 2022 20:09
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TACD posted:Are you sure? I’m also a dual citizen (keep meaning to get rid of it for exactly these reasons) and Moneyfarm was one of the only ones that would let me invest with them Went through portfolio creation just now only to be told "Unfortunately, we are not allowed to provide our services to US persons". 
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Jul 28, 2022 20:57
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Well that sucks, sorry (and I look forward to them unceremoniously closing my ISA at some point) Christ, gently caress the US
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Jul 29, 2022 00:18
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Charles Leclerc posted:if if if I guess I am just biased due to my own good luck. I've had money in bonds since January, and have won £175 accumulatively since then. The on the flip side, I invested some inheritance money in a vanguard s&s isa earlier this year and that's hovering around -7% down (I realise this is a long term investment etc etc).
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Jul 29, 2022 07:34
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TACD posted:Well that sucks, sorry (and I look forward to them unceremoniously closing my ISA at some point) I'm going to take a swinging wild rear end guess that it's down to FATCA. It's a pain in the loving dick.
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Jul 30, 2022 10:02
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Does anyone have any experience with credit unions? I am in a fortunate position where I should be able to absorb the cost of living rises with a little money left over. I was thinking of putting it into a credit union rather than a big bank, so that the money gets loaned out to someone who actually needs it (and not fund some rich rear end in a top hat's mortgage or margin account or whatever). My local credit union seems to have extremely expensive loans though (42.6% APR). That seems almost predatory, but maybe that's what they need to cover their costs? I'm also eligible to join a postal workers credit union which has much more competitive loan rates, but I am guessing they are a smaller union that's not open to a lot of people who need access to loans. I guess I just want to know if there are any red flags I should look out for before I join one of these.
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Aug 18, 2022 09:02
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Crisis posted:Does anyone have any experience with credit unions? I am in a fortunate position where I should be able to absorb the cost of living rises with a little money left over. I was thinking of putting it into a credit union rather than a big bank, so that the money gets loaned out to someone who actually needs it (and not fund some rich rear end in a top hat's mortgage or margin account or whatever). That APR is for small loans and compared to the sharks offering payday loans is very competitive. They're not charging that rate on loans of, say, £2,000 where it would be unconscionable.
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Aug 18, 2022 09:22
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Charles Leclerc posted:That APR is for small loans and compared to the sharks offering payday loans is very competitive. They're not charging that rate on loans of, say, £2,000 where it would be unconscionable. Actually that does seem to be their standard loan rate even for bigger loans, up to £2000. E.g. from the home improvements loan page: Borrowing £2,000 over 24 months will cost £118.11/Month. Total amount repayable is £2,834.64 which includes interest at 42.6% APR. Above £2000 the interest rate falls to "only" 26.8% APR.
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Aug 18, 2022 09:42
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