Should I save in LISA or Private Pension?

[MinstrelMum]

Should I save in LISA or Private Pension?

I am age 35, not massive earner but want to start stacking money aside for pension (around £100 per month is all I can afford atm) which once I return back to work in next few years should increase to £300 per month.

I also own a house outright which will be used as part of our pension. Hopefully will give us 200k when the time comes.

I wondered what your advice was ? I hope to retire at 70 and we’d like a comfortable retirement. We also have two children.

Should I save in a LISA or private pension?

Personally I went for a LISA because it will be fully tax free when I come to use it, while a pension may be taxable depending on how you take it.
Disadvantages of the LISA are the limit on how much you can save (£4000 per year and only until age 50 I think), and it's also much worse if you are a higher rate tax payer (I'm not). It also takes up some of your ISA allowance, but that's only of concern if you have £20k to put away every year.

That said, once you're working you're almost certainly better off in your employer's pension scheme as they will contribute too.

I recommend having a read on money saving expert, there's loads of information there about how pensions and LISAs work.

I have a LISA and a pension. If I were you I'd open a LISA now (need to do it before you're 40 anyway) and save what you can. When you are working have the pension and the LISA splitting across both. You can only save in LISA until you're 50, so you can then put all the extra cash in your pension.