Money Lesson Single

LISA or pension for your first home?

You are saving for a first flat and the advice splits two ways: a Lifetime ISA for the government bonus, or the pension for the relief. The same money saved each way hands you the keys years apart and leaves you somewhere very different at ninety.

Employment Expenses Property ISA Savings Account

Save into a Lifetime ISA

2 Goals

Keep the pay, and let the flat money fill a Lifetime ISA and collect the 25% bonus.

Try this plan

Employment Expenses Property ISA Savings Account

Put it in the pension

2 Goals

Sacrifice the same slice of pay into the workplace pension instead, and wait for the deposit.

Try this plan

Save into a Lifetime ISA Put it in the pension

The Lifetime ISA hands you the keys ~1 year sooner, and the pension ends ~£287.6k ahead by the end: that is the whole trade, because pension money is the better retirement pound and the only one that can never buy you a home.