Lifetime ISA: Who Qualifies and What You Get
Learn how the Lifetime ISA provides a government bonus to help you save for your first home or your retirement.
A Lifetime ISA is a savings account designed to help you build up money for either buying your first home or supporting yourself during retirement.
Who it's for
This scheme is available to individuals aged between 18 and 39 who want to save specifically for a first home purchase or for their retirement.
What you get
The government provides a 25% bonus on the money you put into the account. You can receive this bonus on contributions up to £4,000 each year.
What it costs you
While there is no fee to open the account, you will face a financial penalty if you withdraw your money for any reason other than buying your first home or retiring.
The catch to know
If you are using this scheme to buy a home, you cannot use it if the property you are purchasing is worth more than £450,000.
How to apply
- Choose a provider that offers a Lifetime ISA.
- Open your account through your chosen provider's platform.
- Set up your regular contributions or make one-off payments.