Business Column: Five Ideas That Will Help You Get the Most Out of Allowances

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We came up with five ideas to ensure you get the most out of your tax breaks and tax exemptions before it’s too late.

Take advantage of your ISA allowance of £ 20,000.

Check to see if your spouse or partner has maximized their ISA allowance to take full advantage of the £ 40,000 combined allowance.

Make contributions of up to £ 4,368 per child in Junior ISAs to give them a head start.

Those looking to maximize retirement savings should consider taking full advantage of their annual allowance.

Unused value adjustments can be carried forward, but only from the three previous tax years.

If your 2019/20 allowance has been used up in full, the first thing to do is check whether you have unused allowances from the 2016/17 tax year.

High earners could take steps to reduce their taxable income through pension contributions or donations.

These can help individuals:

l Bring your income below the additional tax rate band, which starts at £ 150,000.

l Your personal allowance will be returned to you, which will be withdrawn on income over £ 100,000.

l Avoid losing child benefit, which is phased out if one parent in the household earns more than £ 50,000

Five more ideas will be featured in our next column in March.

The above was provided by Hartey Wealth Management Limited. Company headquarters: Hilliards Court, Chester Business Park, Chester, CH4 9QP. Tel: 0808 168 5866 or www.harteywm.co.uk

Hartey Wealth Management Ltd is authorized and regulated by the Financial Conduct Authority




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