Sara G;249183 wrote:Some new information (to me at least), and a question...
I learned from comments below a Monevator article that the PSA is more complex than I had thought. Specifically, the headline £1K allowance may be greater for those not earning or taking income from a pension over a certain amount. So if your income is less than £5K above the personal income tax allowance, your savings allowance will be £5K less that excess amount, not £1K.
Yes absolutely right, and I am taking full advantage of this, for as long as it lasts.
It's detailed here on the UK gov website
https://www.gov.uk/apply...ree-interest-on-savings
This has made it very attractive to buy the fixed term bonds that are around now, even outside a wrapper, IF you are only just at the personal income tax threshold (which I have made myself)
It's possible to configure ones' income to use
£12K personal allowance
£5K Savings allowance
£11K CGT allowance
£2K Dividend allowance (cough)
Giving £30K tax free income for retirees. Add a bit of ISA income and it's all good. No wonder the country is screwed...