Yes. I've opened one. But need to be careful to not Go Over 500 a year interest
It basically matches my. Regular saver for 5.25 so I'll use this instead.
I need to money in April. So this is ideal to come along now.
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Best savings account?
- Thread starter Merlin5
- Start date
Yes. I've opened one. But need to be careful to not Go Over 500 a year interest
It basically matches my. Regular saver for 5.25 so I'll use this instead.
I need to money in April. So this is ideal to come along now.
Underboss
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- 20 Oct 2002
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not exactly
no tax until you hit the 1K limit on savings
See personal saving allowance for details
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Its only 500 for higher rate
Underboss
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- 20 Oct 2002
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Just over 50k
I've never had to think about it before this year because..
A) wasn't earning enough
B) rates were flat
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Caporegime
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- 21 Nov 2005
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I applied a few hours ago and heard nothing, no emails or anything so not hopeful.
Mine's up and running this morning.
Caporegime
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Nothing for me so must’ve been rejected.
If you’re S/E then it’ll have to be declared on tax return.
Did mine round 11pm and got a set-up email in the early hours.
Caporegime
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Finally got mine 30 mins ago, no idea why it took so long when others had them in a few hours, additional checks maybe.
My wife is a basic rate tax payer and I am higher rate. I've opened the joint santander account being talked about here. How does the split work in this scenario for interest earning threshold before tax?
If we both were higher rate I would assume the account could earn £500 x 2 = £1000 interest a year max before tax. But since I am higher and she is lower how does it work? Is it simply £1000 + £500 = £1500 ?
If we both were higher rate I would assume the account could earn £500 x 2 = £1000 interest a year max before tax. But since I am higher and she is lower how does it work? Is it simply £1000 + £500 = £1500 ?
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Looks like you're liable on 50% of the interest which is then taxed based on your individual circumstances.
So if the account earns £1002 in interest you'd pay interest on the £1 of your £501 share and she wouldn't.
Edit: Clearer wording here https://taxscouts.com/the-tax-basics/tax-on-interest-from-joint-accounts/
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Looks like you're liable on 50% of the interest which is then taxed based on your individual circumstances.
So if the account earns £1002 in interest you'd pay interest on the £1 of your £501 share and she wouldn't.
Edit: Clearer wording here https://taxscouts.com/the-tax-basics/tax-on-interest-from-joint-accounts/
What a ball ache.
Better to stick to two accounts.
I knew doing a joint one would add complexity and trip me up. Should have just done it all in the Mrs Name. It also says:
Which sounds fun, dealing with HMRC. Basically prove that the Mrs put all the money into the account, which came from her current account, which will come from one of my accounts anyway. So yeah I can "prove" she made the final deposit into the account but meh....faff.
I think we will just use the joint one for quite literally every day saver duties and then take out a higher rate fixed one in her name for a longer term store. In any case, we're only just going to be coming close to worrying about paying any tax on interest gains anyway, if at all.
Which sounds fun, dealing with HMRC. Basically prove that the Mrs put all the money into the account, which came from her current account, which will come from one of my accounts anyway. So yeah I can "prove" she made the final deposit into the account but meh....faff.
I think we will just use the joint one for quite literally every day saver duties and then take out a higher rate fixed one in her name for a longer term store. In any case, we're only just going to be coming close to worrying about paying any tax on interest gains anyway, if at all.
I find it really annoying. If you are under 500 you can just say "under 500".
But damn current account has been paying little bits of interest each month.
I'm pretty sure I'm OK. But I do have to be careful as if I do go over it will be a right pain to deal with.
I think I'll hit 470 interest this tax year
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Will it be? Unless you do SA I thought HMRC just adjust your tax code based on the information they receive from your bank(s). Will apply to my wife this year for sure as the majority of our savings are in her name, so I hope it's this easy.
Yeah I have to do SA.