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£900 interest on savings but low wage

2 replies

StarDolphins · 02/01/2024 14:22

I wonder if anyone that’s a bit more financially intelligent than me can help me?

I’m on a low wage, earning £13,500pa. I also receive £300 CMS pm & £96 CB. I save as much as I can & this year I’ve had just under £900 paid to me in interest. I don’t want to pay tax on savings & if I save like last year & interest rates stay similar then I will go over the £1000 allowed before tax.

I’ve-come across something called ‘starting rate for savings’ which seems to suggest I can earn upto £18500 pa in wages & savings interest before paying tax. Can anyone tell me if this is right or is there a catch? What about maintenance & child benefit?

Thanks!

OP posts:
Twazique · 02/01/2024 14:47

Will it drop a bit if you use ISAs?

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