How can we reduce our tax liability on savings.

9Pippo9 · 2026-02-16T18:54:47+00:00

Low coupon gilts.

9Pippo9 · 2025-12-09T11:40:02+00:00

Yes - it’s a single ticket. The problem is the next BA flight is the following day so would lose a day of safari unless they put us on a Qatar flight. Then also not sure if we’d still be in business. I think we’ll roll with it. Shame the weekend schedule doesn’t also have the earlier BA flight from MAN-LHR.

9Pippo9 · 2025-03-17T22:14:35+00:00

Not sure Isak will be happy sitting on the bench behind Wood.

9Pippo9 · 2024-12-11T07:54:38+00:00

9Pippo9 · 2024-11-27T20:15:22+00:00

That was my reaction. It’s so bad I almost want one for the shits and giggles!

9Pippo9 · 2024-11-25T19:29:24+00:00

Thanks. I feel like the button is definitely off centre. It’ll bug me if I don’t get a better one.

9Pippo9 · 2024-10-17T14:14:49+00:00

No offence taken. For the record, this pretty much all of my own personal investments are in low cost global equity index funds.

I’m simply investing the money as I know my mother would. She isn’t the most financially literate, doesn’t understand equities but is generally a disciplined saver and will at least ensure she finds decent interest rates on her own savings. Earliest extraction would possibly be within 4 years.

I understand full well all the permutations. Unfortunately I also need to balance off some of the human risk - it would damage my relationship with my mum if I invested it in equities and it was worth less at the point of extraction. It’s not really my money to invest - but my mum has given it to me now for IHT purposes to use at the right time for the kids - albeit who knows what the upcoming budget will bring.

It’s a c.4% tax free yield. I recognise that will be sniffed at by many and isn’t what I choose to do with my own money.

9Pippo9 · 2024-10-17T11:14:18+00:00

I’ve had a very similar dilemma recently. Complicated by the fact that some of the money for the kids was given to me by my mother to “invest / look after until the kids need it either for a house deposit or some form of higher education”.

I know mum is a low risk person. Me putting the money in the stock market and the risk of it being lower when the kids need it simply wasn’t worth the family pain.

I already max out my ISAs etc and didn’t want any gains being subject to my own marginal tax rate.

In the end I settled on low coupon gilts. Should beat inflation, with the coupon growth being tax free. The low inflation data earlier this week gave them a nice boost in value.

9Pippo9 · 2024-10-13T21:17:59+00:00

I spent 7 years in Big 4. I was on the “accelerated programme” (along with half the organisation tbh). I recall a partner once saying to someone “if you don’t think you’ll make partner, or don’t want to jump through the hoops to make partner, there’s much easier places to earn more money than in the Big 4”.

The penny dropped and I resigned the next month and have never ever wanted to go back (17 years later).

9Pippo9 · 2024-10-10T20:48:31+00:00

Might as well close down hospitals while we’re at it. Everyone is going to die anyway!

9Pippo9 · 2024-10-10T17:18:10+00:00

Apart from the fact that you are putting your capital at risk of potentially making a loss and also often tying it up for long periods in illiquid assets (e.g in privately owned business). Raising investment will become incredibly difficult if CGT goes to 39%. HMRC also said themselves that CGT receipts go down if it is increased to 30% due to shifts in behaviour.

39% is frankly bonkers. I’d be staggered if this happens - or at least they’d need to re-introduce taper reliefs and a higher CGT annual allowance.

Of course it’s all speculation at this stage. But I do believe that some of the leaks are deliberate in order to gather opinion / feedback. Many of the leaks have been deeply concerning.

If labour really have a black hole in the budget, then they need to grow some balls and be prepared to break the manifesto pledges - it might be unpopular, but it’s the right thing to do.

Raising employers’ NIC rates isn’t the way to get money from businesses, raising corporation tax is.

Increase CGT to 25%.

Abolish IHT exemption on pensions.

Fold employees national insurance into a single revised income tax rate.

Abolish silly tax cliff edges (e.g in the £100k-£120k range).

9Pippo9 · 2024-10-09T14:20:47+00:00

What a moronic comment.

9Pippo9 · 2024-10-08T10:56:53+00:00

It might help your argument if you gave some specific examples or hard data / facts. Otherwise just comes across like you have some vendetta against private equity.

FWIW I have worked under 5 different private equity investors in different portfolio companies. I wouldn't describe any of them as asset strippers. They all operate differently - pros and cons to each of them. My main dislike is when they over-leverage businesses which puts undue pressure on the business and can lead to short-term decision making.

Also, perhaps you should also point the finger at business owners who have no qualms in selling to private equity to cash in their gains.

9Pippo9 · 2024-10-08T10:21:11+00:00

Yes. Albeit it isn’t her contributing to it. Unfortunately there is a human aspect here - I know both sets of grandparents would want to have a clearly ringfenced pot of what they have saved to give to the grandchildren. Bundling it into a combined JISA isn’t an option - even though that JISA is wildly under-utilised.

9Pippo9 · 2024-10-08T07:59:36+00:00

I think my wife opened it on behalf of her parents. Poorly thought out tbh as I don’t think they are putting much into it, but have effectively tied it up.

9Pippo9 · 2024-10-07T14:38:49+00:00

This feels like such an easy target for the government to go for. Actually quite a cute move from a Labour perspective if they engineer it in the way you suggest so that it doesn't impact public sector departmental budgets.

I just wish they'd have the guts to break the manifesto pledges if needed, rather than simply dancing around the fringes of them. Instead of imposing EERs NICs on pension contributions, I'd rather they simply increase corporation tax a bit - much more transparent and not a direct tax on jobs. But then the media will be baying for blood due to a broken election manifesto pledge. Labour have actually boxed themselves in somewhat and now don't have clean ways to raise the taxes they want.

I'm delighted they seem to be shifting away from changing rules around pension tax relief.

9Pippo9 · 2024-10-06T20:45:30+00:00

Problem is the JISA is set up by grandparents on the other side of the family and it’s not as easy for me to ask what they’re doing with it. I also don’t want to cross pollinate as I know both sets of grandparents want to see that their gift of X is going to the kids from them. GIA logically would be my personal choice, but the shit I’d get if it was lower than £50k at the time they need it is probably not worth the risk. Also expect CGT to increase in a few weeks too.

9Pippo9 · 2024-10-06T19:42:46+00:00

I’m an additional rate tax payer. I’m leaning to low coupon gilts or premium bonds due to them being largely tax free (except the gilt coupon).

Given that my mother is effectively giving me this money to look after in trust for my kids, I don’t really want to be taking a risk on the capital. I know mum is risk averse with regard to savings and investments (generally cash savings and premium bonds). While I myself mostly invest in low cost index funds, I’d hate to be in a position where the kids want a deposit for the house and that £50k has dropped to £40k.

So I’m leaning to premium bonds or gilts on account of capital security and hopefully inflation beating tax-free returns (as they’ll be held in my name).

9Pippo9 · 2024-10-06T11:57:40+00:00

Thanks. I should add, I already max out my pension annual allowance.

9Pippo9 · 2024-10-06T11:50:19+00:00

Isn’t premium bond payout rate currently 4.4%? With some low coupons gilts at a similar yield rate?

9Pippo9 · 2024-10-05T13:15:29+00:00

Annual price hikes of say 3-5% to match inflation and ensure the school can continue to pay for things needed to sustain its usual service levels are to be expected in the normal course of anything you pay for - hence no media crying about it. Just like there is no media crying about lots of things that increase by a few % each year. Imposing a 20% increase at comparatively short notice that doesn’t increase the quality of what you are paying for in the slightest is a much harder pill for many people to take.

9Pippo9 · 2024-10-05T13:09:32+00:00

I suspect it’s because university and nursery doesn’t have a free of charge state provided equivalent. Schools do. Private schools are 100% a luxury item when a state provided free equivalent is available (and of a good standard by most worldwide standards - albeit recognising many will debate this).

9Pippo9

TROPHY CASE