SAVINGS & INVESTMENTS

Lifetime ISA

LIFETIME ISA

Individual Savings Account

You can use a Lifetime ISA (Individual Savings Account) to buy your first home or save for later life. You must be 18 or over but under 40 to open a Lifetime ISA.

You can put in up to £4,000 each year, until you’re 50. The government will add a 25% bonus to your savings, up to a maximum of £1,000 per year.

The Lifetime ISA limit of £4,000 counts towards your annual ISA limit. This is £20,000 for the 2017 to 2018 tax year.

You can hold cash or stocks and shares in your Lifetime ISA, or have a combination of both.

There’s a 25% charge to withdraw cash or assets from a Lifetime ISA. This doesn’t apply if you’re:

  • buying your first home
  • aged 60 or over
  • terminally ill, with less than 12 months to live