Best account to hold tax money in

[Wicklow23]

I have read the savings best buys key post, but being significantly financially unsavy, I would value some individual advice! I will be putting 3000 euro away each month to service my tax bill and am wondering what would be the best account to facilitate this? State savings?? Also I have about 4000 that I want to deposit from a current account into a savings account and will be saving about 1000 a month- best account for this?
Thanks

 

[Billo]

I would stick it into prize bonds. I have heard of others doing this also. You could be lucky.

Rgds
Billo

 

[Lightning]

I have read the savings best buys key post, but being significantly financially unsavy, I would value some individual advice! I will be putting 3000 euro away each month to service my tax bill and am wondering what would be the best account to facilitate this? State savings?? Also I have about 4000 that I want to deposit from a current account into a savings account and will be saving about 1000 a month- best account for this?
Thanks

Do you need instant access or not?

If you can lock, how long do you want to lock for?

 

[Lightning]

I would stick it into prize bonds. I have heard of others doing this also. You could be lucky.

I suggest you read this post.

 

[Wicklow23]

The savings I need to have ready access to so cannot lock it in but would like to make it do something as it is just sitting in current account

 

[Wicklow23]

From reading other posts I gather prize bonds not really much use.

 

[Lightning]

The savings I need to have ready access to so cannot lock it in but would like to make it do something as it is just sitting in current account

Probably best going with KBC Smart Access so.

 

[Wicklow23]

Ok thanks would you recommend that for both. The tax money I could have in thirty day notice account as I will know when I need it

 

[amtc]

I used work in An Post (not in Prize Bonds) but was mystified to hear of the turnover (buying during the year and selling late in the year) as I have ones from 30 years ago - until it was explained to me that as they have a return above inflation plus are protected this is quite common. I know of one story where a property developer did this (in the boom) and won the super prizes a number of times

 

[bacchus]

... they have a return above inflation

i don't understand that. Can you please explain?

 

[Billo]

I suggest you read this post.

I read the post and am still happy that prize bonds are still a good option for the OP, The money to service the tax bill would most likely be resting in a current account with no return and it might as well be gambled for a few months in the hope of any prize win. It can be cashed in as required. You are gambling with the taxman's money.

amtc's post seems to indicate to me that this happening quite a lot.

 

[Boyd]

I have ones from 30 years ago

Did you ever win anything?

I used work in An Post (not in Prize Bonds) but was mystified to hear of the turnover (buying during the year and selling late in the year) as I have ones from 30 years ago - until it was explained to me that as they have a return above inflation plus are protected this is quite common. I know of one story where a property developer did this (in the boom) and won the super prizes a number of times

I love stories

Prize bonds suck, like the Irish SweepStakes

 

[mandelbrot]

Prize bonds suck, like the Irish SweepStakes

Tell that to the person who wins the million!

There's 2 ways of looking at it - you can look at the expected return and say it's less than a deposit account.

But you could look at a deposit account and say, OK I know exactly what my return is, but there's absolutely no way I'll get a million quid return on it.

So the return from the prize bonds is way more volatile, because it has a massive potential upside. OP it entirely depends on what value you place on the couple of hundred in guaranteed interest that you'd have to risk in order to access the potential upside.