What to do with 30k VS money

[Thudercatsrule]

Hi all,

I'm thinking about taking VS from work, i dont want to leave, but there's not much chance of securing a decent role so i think it's the best option.

Total will about £50k, but id like to save/invest £30k.

I dont want to put it on the mortgage and wont need it to live on as i'm planning on getting another job within 3-4months of leaving.

Any suggestions please?

The 'me' foundation is taking donations...

Jokes aside, talk to a financial adviser that's local to you - lots will go through all your options (for free) as they'll take a small % of your investment over time.

Or, long term ISA.

What's your attitude to risk? That will determine what you might do. No risk, put it in a restricted access savings account or fixed term bond eg 2 to 5 years to get better interest rates than easy access. Or put the lot in Premium Bonds, you might win big. High risk, have a dabble in some shares or to be safer invest in a lower risk unit trust.
As above you can visit an independent financial adviser, but 30k is quite a small amount to do that for, but they have no limits.

Assuming this is all redundancy pay rather than pay in lieu of notice (which is taxed differently). You get the first £30k of a redundancy payment tax free, the rest is taxed at your marginal rate. So I'd put everything about £30K into your pension if you don't need it, your employer has to offer you that option. Remember you can use your last three years pension allowance if you are close to the max yearly contribution (£60k) already for this year.

With the remaining £30K I'd put in the max amount in a S&S tracker ISA (and if you're married use your spouse's allowance as well).

How long do you have to make a decision? Remember that your employer does not have to accept your VR and can change their mind at any point during the 45 day consultation period but you can't change your mind once you've applied.

Put 20k in a S&S ISA if you don’t already have one for this year. I opened one with 15k three weeks ago and already withdrawn £800 gains.

This amount isn't big enough to warrant a financial advisor.

You need to consider your overall financial situation - this flow chart is a good starting point:

ukpersonal.finance/flowchart/

£25k into pension
£25k into S&S isa

do not use a financial advisor