What is the maximum amount that you can open a Cash LISA with?

23 October 2023

Question by Kathy

Answered by

Hi Kathy,

Thank you for your question.

A Lifetime ISA (LISA) can be opened by anyone between the ages of 18 and 39. It can be used to purchase your first home, in the UK, with a value of up to £450,000, or from age 60 as part of your retirement planning.

The maximum you can save into a LISA is £4,000 each tax year which means that, to open an account, this would be the maximum you could put in. The government will then add a 25% bonus to your savings, up to a maximum of £1,000 each year.

If you were to open a LISA now and made the maximum contribution of £4,000, you wouldn't be able to make a further contribution until 6th April 2024.

Remember - If you need to access funds early, withdrawals will suffer a 25% penalty which will result in the loss of your government bonus, plus around 6% of your contribution.

If you have any questions please do not hesitate to reach out.