{"id":955,"date":"2024-04-23T10:45:19","date_gmt":"2024-04-23T09:45:19","guid":{"rendered":"https:\/\/clientnews.co.uk\/articles\/?p=955"},"modified":"2024-04-23T11:14:40","modified_gmt":"2024-04-23T10:14:40","slug":"%ef%bf%bcspring-clean-your-finances%ef%bf%bc","status":"publish","type":"post","link":"https:\/\/clientnews.co.uk\/articles\/955","title":{"rendered":"Spring Clean Your Finances"},"content":{"rendered":"\n

This month welcomed the new Tax Year, that started back on 6th<\/sup> April. We look at a number of checks you can make to ensure your finances are given the \u2018spring clean\u2019 for the year ahead.<\/p>\n\n\n\n

Tax codes<\/strong><\/p>\n\n\n\n

New tax codes for the financial year ahead came into force on 6th<\/sup> April. However, it\u2019s worth checking if they are correct for you and your current circumstances \u2013 especially as it\u2019s your responsibility to check that it\u2019s correct, rather than your employer, or HMRC1<\/sup>.<\/p>\n\n\n\n

One way to check whether your tax code is correct is visiting an online calculator, such as the one hosted on the Government web pages at https:\/\/www.gov.uk\/check-income-tax-current-year<\/a><\/p>\n\n\n\n

Self-employed roles<\/strong><\/p>\n\n\n\n

If you are in a self-employed role, the recent changes to National Insurance (NI) mean you should check how much to set aside in the wake of changes to NI contributions in the March budget.<\/p>\n\n\n\n

Changes to the Individual Savings Account (ISA) rules<\/strong><\/p>\n\n\n\n

This tax year there\u2019s no limit to the number of ISAs you can open. It\u2019s one of the biggest changes to the rules to come into effect on 6 April; previously you could only open one of each type every tax year.2<\/sup><\/p>\n\n\n\n

Lifetime ISAs (LISA)<\/strong><\/p>\n\n\n\n

One of the less well-known ISAs is the LISA or Lifetime ISA, which can be used to help buy your first home or save for later life. You must be 18 or over but under 40 to open a Lifetime ISA.3<\/sup><\/p>\n\n\n\n

You can put in up to \u00a34,000 each year until you\u2019re 50. You must make your first payment into your ISA before you\u2019re 40. The government will add a 25% bonus to your savings, up to a maximum of \u00a31,000 per year.3<\/sup><\/p>\n\n\n\n

The Lifetime ISA limit of \u00a34,000 counts towards your annual ISA limit of \u00a320,000. You can hold cash or stocks and shares in your Lifetime ISA or have a combination of both.<\/p>\n\n\n\n

When you turn 50, you will not be able to pay into your Lifetime ISA or earn the 25% bonus. Your account will stay open and your savings will still earn interest or investment returns. <\/p>\n\n\n\n

You can withdraw money from your ISA if you are:<\/p>\n\n\n\n