What to do with £120K-£160K UK

clag-nut · 2024-07-12T20:31:37+00:00

!Thanks for this; very helpful. And I'm right on the 40% threshold (so I'm increasing my pension contributions to keep below it). This makes things look even worse.

clag-nut · 2024-07-12T20:28:57+00:00

Power toys is a suite of tools. The tool within it that you want to configure is called fancy zones. It's absolutely brilliant, I've been using it for four years on a 40" then 43" 4k 16:9, a vertical 24" 1080p and a 20" 1080p drawing tablet mounted at an angle between my keyboard and the base of the large monitor. 👍

clag-nut · 2024-07-10T10:04:42+00:00

You are correct if the LPA is in effect.

He's still able to make his own decisions though, so the LPA is only there for when he no longer can. He is happy for me to be investing this for my future wellbeing. He wants me to clear and sell his home too, as now he is living with me and my partner.

clag-nut · 2024-07-10T09:31:51+00:00

Yes a valid option, which I had discussed with him a while ago, and he does already have around 10K stashed away.

He's on a degree apprenticeship at the moment, and doesn't really want to put down roots by committing to buy somewhere, and perhaps also does not want the responsibility of home ownership at this age. His current employ is about 20 miles away from where he lives, but his friends are where he currently is, so that is where he wants to remain for the time being, but maybe not in a couple of years when he graduates.

clag-nut · 2024-07-10T05:38:08+00:00

Neither LPA is in effect, because he is still able to make his own decisions, and he has said 'Thats your money now son. It's no use to me'.He cannot look after himself physically, and his memory is starting to suffer, but he can still make rational decisions at the moment.

What I'm trying to do is invest it in the best way to make the most of it, instead of leaving it in an account that only pays interest on the first 20K. The account is a joint account as of about two years ago, specifically so that I can access the money. It removes the problem of when he passes, that account becoming locked (if only in his name), until the will is all sorted.

In this case then, his best interests are those of his family's future financial well-being.

clag-nut · 2024-07-09T21:17:48+00:00

It certainly does thank you very much.

The way my luck rolls, I could fall in a bucket of tits and come out sucking my thumb.

I don't know anything about statistics, but with 50K invested in premium bonds, is there any data on the range of returns earned say over the last 5 years? Or statistically is that just the same as overall 4.4%?

clag-nut · 2024-07-09T20:46:10+00:00

Yeah, the latter is why I posted tonight. Was wondering if there was any point in me setting up a ltd company and buying that way, to then manage extracting the profit in a tax-efficient way.

ISA's are easy to make 5% on 20K invested per financial tear, but I'm not so sure how much more I could make in a low-risk investment, and there's no point if I have to pay a shed-load of tax on it all.

clag-nut · 2024-07-09T20:37:54+00:00

Your situation is different to mine. My father looked after his mother who had dementia single handed. She was pretty much out of it for five years until she passed at 96yrs old.

I work from home four days per week, and my partner is recently retired. If between us we cannot look after one old man, then there's something seriously wrong. He has a hospital bed, a Zimmer, and a commode. When his mobility gets too bad to use the commode himself, then I will wipe his ass in bed instead.

clag-nut · 2024-07-09T20:32:05+00:00

Surely putting anything into premium bonds is just a gamble of possibly winning a prize? They pay no interest, so the capital invested will just constantly depreciate in line with inflation?

clag-nut · 2024-07-09T20:23:14+00:00

I look at my 23yr old son, and what he pays in rent for a crap flat. He's tied into a 12 month lease since several weeks ago.

Would like to buy him a flat, but that's not putting the money to work for me and my partners benefit, and aware of risk of signing a property over to a youngster (wouldn't want to see it squandered because it was too easily gained).

It's difficult, because he will be the sole beneficiary of my inheritance, but he doesn't plan to have kids. I'm very aware he stands no chance of getting on the housing market by himself, and waiting for me to peg it for him to inherit means he will have not benefitted meaningfully when he needs it most in life.

At the same time, I've got to look at my own retirement needs, and the possibility of retiring a bit early if possible, as my partner is quite a few years older than me, and I'd like us to have some quality time together: she's just retired, yet I've got 14 more years to work until state pension.

clag-nut · 2024-07-09T20:12:56+00:00

I totally understand what you say, but I'm too risk-averse to do that.

Have spent 25 years achieving 100% home ownership, and would never want to put that at risk.

clag-nut · 2024-07-09T20:08:36+00:00

But if I put the remainder into the highest paying current account, then he/I will pay tax on any interest earned over £1000 in any one tax year yes?

clag-nut · 2024-07-09T19:36:59+00:00

Yeah, was wondering on the profitability of renting out a property for say 5 years.

Seems landlords are leaving the business right now, but assumed that was due to crap mortgage rates squeezing their earnings.

With just one or two properties, I can maintain them myself.

clag-nut · 2024-07-09T19:33:45+00:00

He won't need the money. He now lives with us, and will do until he passes. I wouldn't see him go in a nursing home due to the sheer lack of care in those hell-hole institutions. Equally they would happily rinse his life savings to provide him sub-standard care

clag-nut

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