Top 3 Money Moves Before You Hit 40!

My understanding about money is that money is like currency, you know, water currents, movement helps money. Money is sitting down in one place, it doesn't help at all. ISAs are not enough, they are the starting point. But if you haven't used your isa, what are you doing? You need to use it up first before you go to do something else. Common mistakes people make with the Lifetime ISA1, you can use it to buy your first house, but you can continue using it. Many people buy their first house, their lifetime, Isaac, then they stop putting any money into it. You are losing out. Tax avoidance is legal tax evasion, jail term. When a politician say, we're going to close all the loopholes that people use to avoid tax, many of them haven't really understood the tax code. They don't understand that ISIS and tax avoidance is legal tax evasion. On the other, lying or trying to cheat is actually an issue. So, yeah. So welcome. Today is a smart, tax efficient investing. Smart tax efficient investing for medics. And of course I know we've got like doctors here, we've got dentists, we've got physiotherapists, we've got healthcare professionals and we even have some managers working with the nhs. And most people ask, will this be useful for me? Yes, if you're a doctor. Obviously I'm coming at it from the angle of a doctor, but the principles of investing and tax efficiency can actually be useful for you, irrespective of your profession. It's just that we're a little bit more specific with things that relate to NHS or doctors in general. Okay, so we're going to talk about investing as a whole and then we're also going to look at. And I'll address the questions you have. I can see some names here that have come to maybe 10 of these things. So that's good because then if I'm going to introduce a concept, I'll ask you for the answer for some of you that have come a few times. Okay, so I can see from here. I see Peace from Boston, Rita from Ontario. That's great. I've got Farida from Manchester, Fifi from London, Priya from Cornwall. That's great. I train in Cornwall. Right, so just a quick one. Who here has never been to a money wise doctor master class? You've never been to our seminar. You've never been to a master class. This is your first time. Want to give you the VIP welcome. Could you just give me a thumbs up or comment? First time in the chat box? Just comment. First time.

Okay.

Are you There. Lamida. Good.

Okay.

Quite a few people. That's good. Okay, first time. Not here says first time until Mr. Says first time. Okay, that's good. Lovely. Okay. Okay, who here has ever been to Money Wise Doctor master class? If you've ever been, could you just give a thumbs up instead? Just, you know, give a thumbs up if you've never been. Okay, let's see. Yeah, I think I recognize some names already. That's good, right? So one thing about the master class is that a lot of times the participation, how you participate affects what you take out of it. That's the way I'll describe it then. Lesson obviously I'm going to share my presentation and let's just all make sure that we can see it now before we kick off. It's not going to be debt by PowerPoint. As you know, if you've ever been to one of these things, it's usually quite interactive. But want to make sure that we are all moving in the right direction. All right, so I think we should delve in now. So today we're going to look at smart strategies for Taxes, Pensions and investing. So we're going to look at Smart strategies for Taxes, Pension and Invest Informatics in 2025. And I'll tell you a little bit about my own experience and also over a thousand doctors have already passed through this sort of master classes, including those who've had about 52 pass through the investing academy. So I'm going to explain what I do. I've been an investor for the past 20 plus years. So I'm Dr. Andy. I'm a former salary GP. Previously I worked for the NHS as a salary GP up till three years ago when I achieved that level of financial independence that allowed me to leave my salary job and then be able to, you know, take total control of my time. So that's my story. And in the that period after I suddenly had a lot of time and that's when I started Money Wise Doctor. So Money Wise Doctor is a platform that helps doctors and healthcare professionals make smarter financial decisions. Why did I start Money Wise Doctor? This I write back in med school. I was that guy that, you know, consultants, my consultants as a medical student will approach me to help them to learn how to invest. And I've got some of my med school classmates here who know back then while in med school, Even as a 19, 20 year old, I'm running seminars and teaching and all that. Basically because I started investing earlier on. I've lived through three financial crashes, so stock market crash and I say if you're an investor, your ultimate test is when you've experienced your first financial crash. Is the ultimate eye opener. If you've been through a financial crash, it will test you. Right in this seminar as we proceed, some people are going to answer different questions. When I ask you what's your risk appetite or risk tolerance? People are going to say different things. But until you actually experience a financial crash, it tends to have a way of letting you know what you're made of. And I think it's good, it presents a lot of opportunities most times because I think the last one I can remember, Covid. Covid was. Covid was. I'm not saying Covid was a blessing, but COVID 19 in terms of investment opportunities was a blessing because we're able to buy companies, really good companies at what we call discount, discount net asset value. So they were actually selling for cheap. Okay, so what the mastermind was the master class going to be about? You're not just going to talk about investing, we're also going to look at the tax efficiency part of it. Because basically what's the point of investing and making money if you're losing half of it to tax? Okay, so that's me. You can follow me on social media. I enjoy teaching and I enjoy coaching. Currently we are running the Money wise Doctor mastermind and that's a cohort of 30 doctors who go through a four weeks investing academy. They go through tax hack, then they start investing, we support them for six months and then they do one on one session with me. So that's currently full.

Now seven, there are seven steps to take before you even start thinking of investing as a doctor, healthcare professional. Now this is really important to secure your financial foundation before you start investing. Now I've covered these seven steps in a simple guide that I've made available for you in the link in the description. You can download it. It will help you to build a solid financial foundation, avoid common investing mistakes and also make tax efficient investment decisions. Start your investment journey the smart way. Download the guide now using the link in the description and good luck on your investing journey. Now let's get right back to the episode.

We also run the four weeks investing Academy which is not basically, you know, lots of people go to YouTube and you watch YouTube, they tell you do this and do that. No, we do a forex investing academy where you start even if you're a beginner and some people who have been through the academy are actually advanced, some have been investing for decades and some one of One of, one of our, one of our mastermind cohorts is a doctor who was an investment banker. Yeah, so that's what we do. We've got like a six month program, four weeks program and if I remember along the line I might mention it again or I might tell you if you've got questions about the Mastermind. A lot of you have emailed me about the four weeks at Investing Academy as well, which is usually followed by eight weeks support. If you've got any questions you want to join the community, obviously message me or you can ask questions here. But this is a master class, one to focus on how at the beginning, even if you knew nothing about investing, at least you can form an investment strategy and learn how to start. So the goal for this master class is to help you understand how you as a professional can make smarter decisions with your money. Specifically in the area of tax efficient investing. I want you to understand opportunities are available that you can legally reward is legally we're not talking about anything dodgy or shady and we're definitely not talking about offshore or anything like that. Just they have done the papers for, you know, taxation and investing for London Institute of Banking and Finance. But we're not talking about anything complex here. We're talking about things that you can relate to as a doctor or healthcare professional. And you see that in a few minutes. Okay now so what makes this different? Why is it different from any other master class you've attended or any other seminar or Even someone on YouTube that you're watching or your favorite TikTok person who is dancing on the screen and pointing up and pointing up and pointing down telling you what stocks to buy. What makes this difference? That I've actually invested and invested for over 20 years. I've lived through this different stock market crashes, 1, 2. I've actually transferred this knowledge to doctors who've actually been through the training. We've had 50, order about 50 to 60 doctors now who've been through the four weeks investing academy or have been through the six months financial coaching. And I've had over a thousand 100 doctors and healthcare professionals go to the master classes, even these free master classes. So everything is free. But what makes the difference is also that it relates to you. We've got people here from Canada, we've got people here from the uk, but it relates to you as a medic, as a healthcare professional and more importantly it also looks at your tax situation, what you can do in terms of that situation. So that was what makes the difference. One more Thing is delivered by me, a medic. So I know the background. I've actually experienced some of what you experienced. Before I left my salary job three years ago, I also worked in the nhs. I worked, I trained in Cornwall and before then I'd worked different places in the UK as medical sho, then medical reg a little bit, did the diploma essential and reproductive health did all of that. So I understand lots of people, financial advisors who don't understand doctors, most time they think that, oh, doctors are like. A lot of people think you earn a lot of money and then there are financial advisors who try to help, but they don't understand your specific circumstances. They don't understand how local income can be quite irregular. They don't understand the NHS pension. So I'm looking at it from the inside. Also for some of us here, you've not had a contact, not had good experiences with the financial industry because you probably have been overcharged for fees or maybe you were led to make mistakes, costly financial mistakes. So I, I'm coming at it from the point of diy. So do it yourself. I've been a do it yourself investor since I was 19. So that tells a little bit about my age. And you know, for some of you who are about my age, if you don't have a lifetime myself, that's one thing you're going to learn about that you need to take charge of immediately. All right? So that's what makes it different. Okay? Right. And I'm also not just going to talk at you, I'm actually going to get you to be part of the seminar.

Okay.

Now these are a few things we are going to look at. So we look at ISAs and how you can use ISAs for tax efficient investing. Look at the different types. Some of you heard recently. Some of you are in my life. Instagram last week there was an ISA that something was about to be changed. Who can tell me which isa? Can you tell me in the charts which ISA was about to be changed? Then there's a lot of complaint and you know, they didn't change it anymore. Cash okay. Isn't it said cash. So cash isa.

Thanks.

So we, we had. The government was about. Okay, cash isa. Cash 20k. Excellent. Lots of you. You followed the gist. And even by the time the video was out, the government had done a quick U turn. That was enough to cause a whiplash. Okay, so we're going to look at a few of those things. Tax relief. Seven steps before you start investing. Avoiding the 60 tax trap. NHS pension versus SIP financial protection strategies. And in fact, you can even look at things like seis. For some of you who want to invest a little bit more, look at cash back. You've heard about cash back, but have you heard about tax back? I'll tell you that I actually do myself on how you manage your risk as an investor. Okay, but before we get all into all those things, now here's a question and tell me in the chat, what is the maximum amount of money you can put in a cash ISA in a tax here? The maximum. Oh, that was too easy. No, that was too easy. Okay, that's good. Okay. What is the maximum age? Beyond that age, you can open a lifetime Isa. 40. Wow, you guys on fire. Now let me ask you one that is a little bit tricky. Mr. Joe lost the wife, sadly lost the wife. What is the maximum amount he can put in his isa? He lost his wife just this year. What is the maximum amount you can put in his ISA? So I'm saying 20k. 20k. 20k. 20K. 20k.

20K.

22K.

20K.

Right. I think this one is a little bit advanced, but I'm going to, I'm going to tell you. We said 40k. Should I say 40k? That I'm impressed. Unless you give him some of hers. Yes. So there's something called additional permitted subscription for isa. I don't talk about it because obviously circumstances are quite sad. But you might know somebody in that situation. If someone has some extra money, then they can use it. If someone loses their partner, which we don't hope for, obviously they are permitted to contribute extra 20k for the next three years. So that's additional permitted subscription. Okay. I know doctors and healthcare professionals who can be a bit morbid, but it's good to know these things. These are really important things. So if somebody passes on their partner for the next 3 years is allowed to contribute up to 20k, don't ask me why the rules were made, but it's very funny. That's a rule that is there. Maybe it's to help the family, maybe they would have been able to contribute more, I don't know. But that's the rule. Additional permitted subscriptions. Some people might call it inherited isa, you know, but that's a rule. I'm going to ask you one more tricky one and I think some of you will get it here because I've asked it in the community today. On what condition can you withdraw your lifetime ISA without any, any penalties, even if you are below 60 years and you're not using it to buy your first house so you can withdraw all your life, lifetime ISA. And you are not, you know, you're not 60 years yet. Okay, excellent. So I can see some responses here. Someone said no idea.

Fair enough.

Person said terminal illness. Excellent. So well done all of you for participating. I like that. Juices are flowing. Now you understand what direction we're going in. We're going to look at investment. I know some of you want to look at index fund, you want to look at, you want to talk about real estate, you want to talk about asset allocation and even individual stocks. We're going to try our best to accommodate all of that. We've still got like a good one hour to go.

Okay, now this is very crucial topic. Have you secured your family's financial future? Many times you're busy as doctors and healthcare professionals, that's fine. But if we overlook our life insurance and income protection until it's too late, you're taking a bit of a risk here. I mean, nobody can predict the future. You need to protect what matters most. Think about life insurance and income protection. This is really quite important to protect your most valuable assets. Now, if you're not sure about what you need or how to go about it, check the link in the description. I have a free guide that can help you step by step. Let's get back to the episode.

So terminal illness is the answer. If someone is terminally ill, lifetime ISA. Remember, life does not start at 40. So if somebody is above 40, they can open lifetime ISA. Okay, they can. But secondly, life. If the person's life is coming to an end, they've been diagnosed with terminal illness, they can cash out their lifetime answer. Just as a refresher, I'm going to refresh all the islands again. One, when we talk about isis, think of ISIS are just tax wrappers. Tax wrappers, Tax protectors. If you invest money in an isa, there's no tax on it. Some of you ask, what is the big deal? I realize that means you've never been investing in your life. Or maybe you're just starting. Throughout my 20 plus years of investing in different countries, if you make an investment and you have a return on the investment, let's say I invested in a company. Let me give you an example. Like let's say Google and let's say every quarter or every year, Google pays me some money because I'm an investor, I'm a part owner in that company. What is that called, that money that Google pays to me? I expect you to know this is very easy what is that called? Come in the charts. Dividend. Good. Okay. Now what if so Dividend. Thank you Sonia and Ik. So what if I still just. I still get dividends from some investment I made. I forgot about this. This companies. But now your dividend is what you get. They pay you. Now let's talk about the other one. If I made an investment, let's say I made an investment like I gave a practical example. I bought Facebook shares at $152 and they rose to 762. I don't know what the price is today. I don't check prices every day. So let's say I bought it $152 and then it goes up all the way to $752. So the 752 minus 152 will give you 600. So what is the name of that money I've made Or let me just give you. What type of gain is it called? Capital gain. Sonia, well done. Capital. Excellent. Dr. Raja, I want us to break down this test. I want you to understand doctors, healthcare professionals are usually very smart. So don't think these things are so difficult. Just no one has actually broken down for you. Why am I explaining capital gains tax and dividend is because normally when you get capital gains or dividend you're supposed to pay a tax on it. That is a regular thing. That's a normal thing. However with ISAs which is a tax wrapper, capital gains that you're supposed to pay 24 tax on if you are a HROT or 18 if you are a basic rate taxpayer, you don't pay any tax, don't pay any tax on your dividends. Dividend tax is about 8.75. I think you can check the tables and for a higher rate taxpayer that should be 33% and all the way to 37 or 39 for ar ts again I don't bother. I check them whenever I need to because the government could actually come and change them. So your capital gains, your dividends, there is no tax on it. Okay. So there's no capital gains tax on it and there's no tax on. Yeah, favor. You said capital gains tax for HRT for dividends. Well what's that? So basically with ISAs you are protected from those two. Do we understand? If you got that far, could you just give me a thumbs up so I can know that they are picking up what I'm dropping? Okay. Right. Okay. Now in the uk I know I'm not going to bother you. There are Dividend tax rates. They are dividend tax their dividend allowances. Basically you can get up to 500 pounds, be a higher rate. Taxpayer can get up to 500 pounds and not pay dividend at some point. Actually capital gains can get up to £3,000 and not pay tax on it.

But.

But the funny thing about it is that when I came to the UK, it was £12,000. You could actually get capital gains of £12,000. Yesterday, when I started investing in the UK, I knew about Help to Buy ISA. I didn't even know about Stock and Shares ISA. So imagine my how upset I was when I made investments. They did well. I made money and I realized, oh, I have to pay this capital gains. Of course I'm happy to pay capital gains. I knew that you pay capital gains only for me to realize that there was an account called stock and shares ISA that I could have used and I wouldn't have to pay capital gains tax. I could have totally avoided that entire capital gains tax. Tax avoidance is legal tax evasion, jail term. So I could have avoided the capital gains tax. When a politician said we're going to close all the loopholes that people used to avoid tax, many of them haven't really understood the tax code. They don't understand that ISA tax avoidance is legal tax evasion. On the other, lying or trying to cheat is actually an issue. Okay, so basically if we invested, let's say IO, IO looks like it's going to be a very good investor. I've invested an IO and I, we invested. I made like 100k from our investment. Let's say we invested 100k each and over five years. We did well, we doubled our investment. I made 100k, IO made 100k, IO needs to pay 24, that's 24, 000 pounds to the government. If you have not invested through the anisa, while I pay zero, that's capital gains tax. And any dividend that IO has been collecting as well, he needs to pay tax on it. So how to avoid this, obviously is to use your isa, max it out. But that's not the end of it because I know people who want to invest 50k. 100k, 150, 200 isa, that are not enough. They are the starting point. But if you haven't used your isa, what are you doing? You need to use it up first before you go to do something else. If you're going to invest in the stock market, there's even property ISA, obviously it's difficult to buy property at 20k. I don't know if there's somewhere in the UK. I live in the southwest. There's properties that difficult below 250. Okay, 250. I'm not even sure you can buy something decent. Except they're buying flats. Might be wrong. Yeah, so their ISAs are usually the starting point. That's the big deal about the ISAs. And if I run through the ISAs once more, then the cash ISA. You guys know too well about the cash islands for saving your money to make sure that you don't generate more interest than you know you don't generate taxable interest. You don't want to put the money in a regular account and go above your psa. It becomes a hassle. You need to declare it to hr, hmrc. Someone asks, how do you pay tax on it? You declare it to HMRC through a process called what? Self assessment. Okay, so we don't want to do that. So you want to save your money, whether it's the emergency fund, use a cash ISO. There's a stock and shares ISO. I would just explain. You can use it to buy shares, you can use it to buy bond funds, you can use it to buy index funds. You can use it to make any investments you make in it. The capital gains, even if you made an investment 10 years ago. And then 3 million from a hundred thousand. Normally you're supposed to pay 24%, or let's say 25% of that 900,000, which is good money, isn't it? Like 225k? But if it was inside an ISA, you pay nothing that already, I tell people, before you start taking any investment risk, make sure that you've already shored up the basis, taking all sorts of tax advantages. Look, when you get to a million, the other things I thought those of you in the mastermind about the investment bond discounted gift trust. There are other things that you can actually do SEIs that you can use to invest in startups. But ISAs are really the basics. You can put up to 20k in your cash ISA, but if you do that, you've used up your allowance for the year. The Allowance works from April 6 to April 5. So it starts April 6 this year, ends April 5 the next year. Whatever you haven't used, you've lost it. Every March to April, I have people who ring me to say, oh, I'm about to turn 40 and I've not opened my lifetime Isa. Oh, I'm about to lose out my eyesight. If you haven't used your ISA allowance. That's it. So you have to use it within the taxi. Okay, I think that's very clear. Okay. So someone said basically ISA means you pay no dividend or CGT tax. Yeah. Stock strapper. And someone said, so if you have ISA, you save 24. Yeah. No, if you have. I said don't talk about. There's no discussion about tax with isis. Of course they said, I don't understand cash isa. Yeah, so you understand it now Let me do. Because you said, okay, thanks. Okay, I know when you said if you put in 20k by say November and then use it up, can you put in another 20k for the next day? Yeah. So if you put in 20k into your cash ISA, you up your allowance. So the next allowance you're going to get is going to be by the next tax year. Guys, thank you for your question. I'm going to take questions along the line. So now that's the cash isa, the stock and shares. I've already talked about those, those are easy. If you've used up your 20k, you've got to wait for the next, the next April unless, and we're not praying for that. If someone loses their partner, unfortunately, then they allowed another 20k. Okay. Yeah. Don't think of. Don't think, don't think, don't think different. I'm just saying that because that's a rule lines available there. The third eyesight is the most misunderstood lifestyle and is the lifetime isa. Someone said it's the female ISA because it's called Lisa. I'm like, I don't know. So Lifetime ISA basically is. It came in 2017 because when I was getting, trying to buy my first house when I started working in the nhs, I wanted the lifetime. I said it wasn't available. Then I walked to all the high street banks and they said, no, you still see that many high street banks still don't offer the lifestyle isa. The summary of it is that the special type of savings account, tax free, like all ISAs, any amount of money you save in that lifetime ISA, you get 25% bonus from the government for saving your own money. Okay, but they're the maximum, the maximum you can put into the lifetime Isa is £4,000 is the maximum you can put every single taxi. So if you miss it in one taxi, you've missed it. And if you can get that maximum in, you get 25 of 4K which is £1,000. That's our £1,000 to get from the government. Okay, that's the Lifetime ISA you can only use it for two reasons, for buying your first house or for retirement. And retirement is at 60 according to Lifetime ISA rules, that's when you can get the money. Now something key here to note is that obviously you can't open it before you're 18, I can't open it after you're 40. So 18 to 39. So if you are 40 or you're about to turn 40, open a lifetime ISA. I don't need to tell you whether it's financial advice or not. Open your lifetime. If you have, if you don't, you don't have to have 4,000 to put it pound, put one pound. Because if you open the Lifetime ISA and you've not crossed 40, you can continue using it. Now the common mistakes people make with the lifetime isa, one, you can use it to buy your first house, but you can continue using it. Many people buy their personal their lifetime isa then they stop putting any money into it. You are losing out. Can you tell me in the charts what age can you continue putting money into your lifetime as a 50? Thank you Dr. Mayor. You're very fast. Near the common task. I'm. Yeah, I'm very impressed. Lovely. Friday, excellent. We are ready for more deeper stuff now. So lifetime, you can contribute money till 50, but remember you can't withdraw it here. 60, except you're terminally ill, which you don't hope for. The implication of that is that your money is going to be in limbo between 50 and 60, a 10 year period. And if you know, my understanding about money is that money is like currency, you know, water currents, movement helps. Money one is sitting down in one place, it doesn't help at all, obviously. So my lifetime ISA is not in cash. It wouldn't be sitting down. My lifetime ISA is in stock and shares. Okay, someone has just asked the question, can you invest lifetime? I say yes, you can invest your lifetime isa. So most people don't know there's a lifetime ISA cash and there's a lifetime ISA stock and shares. So obviously sensible financial planning. If you are going to buy your first house, you wouldn't want to gamble it in the market. Look, I've been through three market crashes. Oh, eight. We've seen the old time flash crash. Covid. If you have money that you are going to need within the next three to five years, you don't want it in the market. So if you're saving for your deposit, no, they don't want it in stock and shares. So if you're saving for a deposit, it's all right to have lifetime as a cash, but when you finish saving for your deposit, you know you're not going to get this money anyway. Tier 60. So you have a long investment horizon and that's the opportunity to take risk. That's the opportunity to take calculated risk. Because investing in the stock market, no matter how safe it is, even if you are buying index fund, even if they are buying a global index fund, there's always an element of risk compared to cash in the bank or just guilt or bonds. Okay. So if you are 39 or let's say at 35, you have a lifetime ISA, you're not going to get it till the next 25 years if you buy your first house. So I would see it as another plan B retirement fund. That's where I'll look at lifetime isa. Okay. Right.

Okay.

The finalizer. I'm not going to spend too much time on it. After that I'm going to pause and take some questions. I see some questions, write them in the chat. So you're going to ask your question. I'll give you time to ask you. We're not going to be able to read all of it. Okay. So the last ISA we're not going to spend too much time on it is called them Innovative Finance ICE or ifisa. Okay so Innovative Finance ISA is the other isa. It's basically for peer to peer lending is more high risk. I don't tend to recommend it. Okay. I want us to deal with the isis. Then we'll look at other vehicles. If you've used up your 20k, you still want to invest. I'm going to introduce you to wonderful world of individual investor personal pension so self invested personally, not about sick. And also I'll show you how you can use it both for yourself and for your children and how I use my own. And then we can look at asset classes. Okay. Right. Okay. Before we take any questions, I think we're ready to take some questions. I would invite you if you don't get my weekly email. Every single week I send a weekly newsletter where I share ideas. Like some of you knew about this master class and signed up. Some of you knew about when. When cash has was about to change. Some of you knew about that. So if you have not signed up I I think most of you here probably sign up so quickly. Sign up to the weekly newsletter. It's totally for free. I sent it by on Sundays by 6:30pm and I share what's going on. I share a few tips and lots of people Read the thousands of doctors. Really, we get really wonderful feedbacks. So go ahead and sign up. All right, so should we take some questions now? I don't know who is in the queue? Yeah, let's see.

So my question earlier about the 20k was, so say I've put in up to 15k by November and then I take out 10k by December and use it for something else. Am I allowed to put in another 15k by the April the next year?

Before April the next year?

Yes. Am I allowed to.

Excellent question. Thank you. Now, it depends on your isa. There's. Yeah, I believe you're talking about a cash ISA here.

Oh, I meant like stocks and shares isa, but yeah, right.

Okay. So I think it's easier to explain with the cash. I can explain with stock and share the isa, obviously I can stock and share that. You have to sell it and get the money out. Right, but with cash ISA or all the ISAs, some platforms offer what you call flexible cache ISA. Okay. For flexible cash ISA, they can allow you to put in money, withdraw money, as long as you don't at any point exceed the 20k. Some platform offer fixed cash ISA. If you put in 10k and you withdraw it, you've already used your 10k, putting another 10k views the rest of the. So check the platform you're using or your bank, which one they're offering. Here's my opinion. I feel that if you have money in your isa, especially if it's cash isa, your emergency fund, you should be able to assess it at every point in time. Don't fix it. I don't see the point of fixing it. Fixing it to get interest, that's not very good way. If you want to invest money, invest properly. Get like really good investment, sound investment that will give you returns, which we're going to talk about. S&P 500 returned 25 last year. Our own portfolio returned 87. Okay, I don't expect everyone to do exactly what I do, but if you have just bought the S&P 500, am I recommending you should buy it? No, but SRP 500 is the market average and 99 of active fund managers don't even beat the S&P 500. Imagine 25 S&P 500 compared to maybe 4.3% bank interest rate. Yes. So if you're having to keep money, I think cash ISA is for keeping your emergency fund. That's what I'll do with it. Okay. So if you can withdraw it, only you can withdraw it. If it's A flexible isa. You can withdraw it for that tax here and be able to return it as long as you don't exceed 20k. Does that make sense?

Yes. Yes.

And I'll ask you a question only. That's what you get for asking a question. How many ISAs, how many cash ISAs can you open?

Oh, I have no idea. Does it not matter as long as you don't exceed the maximum?

I don't know. Spot on. Yeah, she's good in it. Yeah. So yeah, as long as you don't exceed the maximum prior to April 2024. As to some of you that have attended master classes before, you'd have heard me say you can only have one of each. The rule was you can have one cash ISA, one lifetime ISA, one stock and shares. Isaac, that has changed since April 2024. You can have 20 as long as you don't exceed the cap 20k. But you know, we prefer to keep things simple. Why would you want to have 21 is okay. You want personal finance from a point that you don't get headaches. You want to have systems that you can actually run in the background rather than making things stressful. Excellent. Right, so let's see who's the next person. I'm just going to take two more questions and then we'll go back. Okay, There are four hands. I'll take the four. There's Emma, there's Farida, there's Sonia, and there's Nasir. So Ima, you go first and after that we'll jump back into the presentation.

Okay, Emma, so it's about the cash answer. This is the first time I've. I've opened it. So I'm a bit confused because my bank, so my bank manager, my bank, whoever they attached my bank to.

Yeah.

Had called me, was telling me about Kaisha side and some investment like that. I said open the cash patch isa. And I noticed that every time I open my bank app, I see interest in my account. So is that one the, is that the fixed one?

Right. Okay, so you, if you open a cash isa, you get interest. Remember it's money being saved in an account, whether it's fixed or flexible. You get interest and that interest is tax free. That's not a problem.

Okay, so my next question is.

Before you go to your next question, I'll be careful about banks.

Okay.

We have an approach in money wise, doctor. We look at the whole market. So if you go to a bank and a bank asks you to open your cash, as I have stock and shares, I Sell and all that, that is fine. But most times it might not be the best rate in the market. So we want to have like the lowest possible fees. So you want a platform that gives you the lowest possible fees. Why? Because fees compound the same way your investments can compound. If you're paying like a high fee, it compounds. But yes, cash ISA in your bank, that's fine. That's not an issue at all. Where I look at is usually Stock and shares ISA, usually. Some platforms charge 10 times what other platforms charge and some platform charge 0. Some other platforms charge 10 times what people charge. So banks, great. But if you go to a pasty shop or you go to a shop that sells, say Burger King, you don't expect to go there and get like maybe very healthy, like salads these days they sell it. But if you want to look at, look at the whole market like a buffet. Anytime you want any product, whether it's ISA or mortgage or life insurance, you need an independent. If you want to get mortgage or life insurance, you need an independent advisor that can get the whole market. Find something that is suited for EMA at the best possible rate. And even if you had some specific issues, like you're a local, you're on Visa, they'll have to find something that can match. If you go to a bank, the bank can only offer you what they have. That's all they're going to fight. They're not allowed to advise you, even if it's not the best one. The same thing with some restricted financial advisors I don't want to mention. Most of them are like from big. You know, there are some bigger platforms and the rest of it they usually would offer you, you know, restricted. They've got like a few products that they can actually offer you. At the end of the day it boils down to your personal choice, but obviously informed choice, right? Yeah. Doctor or a healthcare professional. We don't see to patients. It's your personal choice without educating them. We have to educate them, let them know and then you can make up your mind. But for your cash isa, no problems at all with that. I don't think you've made a mistake. Okay, what's the second question?

So my next question is so you can't take, is it that you can't take out from the money till next year April. And if by that next year April, can you take all the money out to your personal like out from the cash aside to your regular accounts? That's what I'm confused.

Your money, your cash is your money, you can take it out anytime you like. You can take it out anytime you.

Like and there is no implication to it.

No. The other thing is that if it's a fixed isa, then if you take out that money, you used up your ISA allowance for the year. So if you put 20k and you take it out in the eyes of the in the eyes of the fixed isa, if you're using a fixed answer, you've already used your 20K. If it's a flexible ISO, that's why you need to go back to your bank and find out which one it is. Use a flexibilizer, that's fine. You can actually put in money, bring it out. As the name goes, it's flexible as long as you don't exceed 20k. So you need to look at the bank, look at the product. They usually give you information about the product so you can find out. If you are not sure you can send a message on the group. Someone should share like a link to join the Moneywise doctor community. We'll discuss these things there and answer these questions there. You can send me a WhatsApp. I think someone from my team will send and will share my WhatsApp details.

Okay.

Right Emma, I hope that helped.

Yes, thank you. Thank you.

So I'm going to take like just Farida and the other two, two people that were on the queue. I'll take the question and then we can jump into a few other things after a short break. All right. Well, I hope you found that helpful and more importantly, I hope it helped you to see investing in a new light. This is just a small section of what we cover in the full master class. If you like me to drop more of these clips, just let me know in the comments. Comment, invest and share this video as well with friends who may need to hear this. And if you are ready to stop winging it and guessing, guesswork is not good for investing if you want to learn how to become a confident investor. To learn how to invest properly, check out our Investing Readiness Scorecard with the links in the description to help you determine whether you're really ready to start investing or on what you need to do before you even start thinking about investing to reduce the chances of you losing money. And until then, see you soon. Bye bye.