Money saving tips: How to save money and boost your bank balance

Make the most of your ISA

ISAs provide a simple, tax-efficient solution to invest for the future. The yearly allowance of £20,000 for the Tax Year 2020/2021 remains an important and valuable investment opportunity.

The Rachael Bell team writes: “Some investors may be anxious about investing a lump sum and fearful they will get their timing wrong, particularly during a period of market volatility.

“However, even professional investors cannot consistently and successfully time the markets, so taking a long-term view is of paramount importance. Consider making the most of this year’s ISA allowance, which refreshes at the beginning of April.”

Take advantage of your gifting allowance

One of the easiest ways to reduce a future inheritance tax bill is to give away some of your wealth during your lifetime. You’re allowed to give away as much as £3,000 per tax year without having to pay Inheritance Tax on it.

You can also make use of any unspent allowance from the previous tax year, so a couple could potentially remove £12,000 from a joint estate before the tax year renews on April 5. The last year’s allowance will be lost after that date.


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