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HM Revenue & Customs (HMRC) - Help to Save

| | Duncan & Toplis | 16 March 2019

There is a new scheme available to help individuals save. 

Could your employees be eligible?

Individuals may be eligible if any of the following apply:

  • receiving Working Tax Credit
  • entitled to Working Tax Credit and receiving Child Tax Credit
  • claiming Universal Credit and your household earned £542.88 or more from paid work in your last monthly assessment period

Help to Save is backed by the government so all savings in the scheme are secure.

Individuals can save between £1 and £50 each calendar month. They do not have to pay money in every month.

For every £1 that the individual saves over 4 years they get a bonus of 50p. 

After the first 2 years, the first bonus is paid in to a bank account. This bonus will be 50% of the highest balance that has been saved.

After 4 years, the final bonus is paid. This bonus will be 50% of the difference between 2 amounts:

  • the highest balance saved in the first 2 years
  • the highest balance saved in the last 2 years

If the highest balance does not increase, then a final bonus will not be earned.

The most that can be paid in to the account over 4 years is £2,400. Therefore the maximum bonus is £1,200.

How do individuals apply? By logging in / creating an account on https://www.gov.uk/get-help-savings-low-income

Online Personal Tax Account

It is the recommendation of HMRC that all individuals create an online personal tax account. Employees can use their personal tax account to:

  • check their Income Tax estimate and tax code
  • claim a tax refund
  • check and manage tax credits
  • check their State Pension
  • track tax forms that have been submitted online
  • check or update their Marriage Allowance
  • tell HMRC about a change of address
  • check or update benefits they get from work
  • find their National Insurance number

More services will be added in the future.

To create a Personal Tax Account individuals should go to https://www.gov.uk/personal-tax-account

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