Potential pitfalls of the Lifetime Isa – Royal London
By Kirsten Hastings, 14 Jun 16
To be introduced in the UK in April 2017, the Lifetime Isa (Lisa) is intended to incentivise people to save for their first home, their retirement, or both. But research published by the independent Pensions Policy Institute (PPI), sponsored by Royal London, compares the tax-free savings scheme with its international counterparts and highlights some challenges that may arise.
Early Access: Singapore has a single social security pension system, known as the Central Provident Fund (CPF) that is intended to provide a household’s retirement income with no further top-up from the state. Participation in the scheme is mandatory for Singaporean workers.
It is possible for members to withdraw funds to purchase a private property. They are able to withdraw funds up to 120% of the purchase price of the property.
When the property is sold, the proceeds will be used to pay back the initial amount along with any interest the funds would have accrued if they had remained invested.
Tags: Australia | Canada | New Zealand | Pension | Royal London | Singapore | Steve Webb | US
