If you are planning to save money but you are struggling through the process, then you have come across the right blog of Taj Accountants. In today's blog we have come up with the contents of ‘Help to Save’ Scheme to let you know that you can build savings and receive tax-free bonuses of 50p for every £1 you save over 4 years; if you are working and claiming Universal Credit, or eligible for Working Tax Credits.

What is the ‘Help to Save’ Scheme?

‘Help to Save’ is a type of savings account, designed by the Government to help certain individuals build up their savings. The scheme operates by providing a total of a £1,200 tax-free bonus over a four-year period. It is administered by HMRC, thus all the savings in this scheme are secure.

How Does the ‘Help to Save’ Account work?

With the assistance of the Help to Save Account:

• You can save up to £50 each calendar month
• You do not have to worry about saving every month
• You can choose debit card, standing order or bank transfer for paying money into your Help to Save account 
• You will get a 50% bonus after two years based on the highest balance you have saved within that time.
• You can keep on saving for another two years in the account and receive and additional 50% bonus on the savings
• Your accounts will get maturity after 4 years and you can get an aggregate bonus of up to £1,200, if you save the maximum of £2,400. 

Your bonus will be paid into your bank account, not your Help to Save account. You can learn more details regarding the functionality from your Small Business Accountants in London.

How does the Help to Save account work?

Your Help to Save account works as the following points states: 

• Your accounts maturity reaches on the 4th year

• Your account will close when maturity is reached 
• You will be unable to reopen your current account or open another Help to Save account once reached maturity 
• You can keep all the money you have accumulated over the four year period of your savings
• You can close your account at any time, however, if you close it early you’ll miss your next bonus and you won’t be able to open another Help to Save account.

Your reliable Accountants in London can help you manage your account and keep you updated. 

Who is Eligible for the Help to Save Scheme? 

The Help to Save scheme is accessible for individuals who either: 

• Receive Working Tax Credit or Child Tax Credit payments
• Receive Universal Credit and have a household or individual income of at least £604.56 for your last monthly assessment period (payments from Universal Credit do not count as part of your household income)

How to Apply for the Scheme?

To apply, you will need a Government Gateway account, but if you do not have one already, you can set one up when you apply.

To start using your Help to Save account, you’ll need to provide your UK bank details.

You can open a Help to Save account at GOV.UK website. If you are unable to apply online, you can phone 0300 322 7093.

You can learn more from your local London Accountants. 

What more do you need to know about the Help to Save Scheme?”

• Your Help to Save account will be provided by NS&I
• Your Help to Save account will be managed by HMRC 
• Your money can be only withdrawn from your Help to Save account to your bank account
• You get bonuses after 2 years once and again after 4 years depending on how much you have saved
• The government will provide the bonuses on the account and they are tax-free
• The bonuses you get will not be counted towards your universal credits of the tax credit system

Useful Link

Government Gateway: https://www.access.service.gov.uk/login/signin/creds

How Can Taj Accountants Help You?

Taj Accountants is multi-award winning specialist Small Accountants in East London who offer a wide range of accounting and taxation advice to sole traders, limited companies or partnerships. Whether you are looking for financial news, updated policies and procedures or simply looking for manageable account support, you can always rely on Taj Accountants.

DISCLAIMER: The purpose of the blog is to provide information and insight regarding the situation. The readers must contact experts before making any decisions based on the information. We highly appreciate you to contact Taj Accountants for further assistance.