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Lifetime ISA Calculator

Project your LISA savings including the 25% government bonus for first home purchase or retirement.

Your Details

Must be 18-39 to open, can contribute until 50

\u00a3

Maximum \u00a34,000 per year

The government adds 25% to your contributions, up to \u00a31,000 bonus per year.

Your LISA Projection

Projected LISA Value

£66,034

After 10 years

Your Contributions

£40,000

Gov. Bonus

£10,000

Growth

£16,034

Total Value

£66,034

Early Withdrawal Penalty

If withdrawn early (not for first home or after 60): 25% charge of £16,508 would apply, leaving you with £49,525.

Year-by-Year Breakdown

YearAgeContributedBonusBalance
126£4,000£1,000£5,250
227£8,000£2,000£10,763
328£12,000£3,000£16,551
429£16,000£4,000£22,628
530£20,000£5,000£29,010
833£32,000£8,000£50,133
934£36,000£9,000£57,889
1035£40,000£10,000£66,034

Understanding the Lifetime ISA

The Lifetime ISA was introduced in April 2017 to help younger people save for their first home or retirement. The 25% government bonus is one of the most generous savings incentives available, effectively giving you an immediate 25% return on your contributions before any investment growth.

Using Your LISA for a First Home

To use your LISA for a property purchase, the property must cost \u00a3450,000 or less, you must be a first-time buyer, and the account must have been open for at least 12 months. The funds are paid directly to your conveyancer on completion. If you are buying with a partner who also has a LISA, you can both use your accounts towards the same property.

LISA for Retirement

If you do not use your LISA for a home purchase, you can withdraw the funds penalty-free from age 60. This makes it a useful complement to a workplace pension, particularly for basic rate taxpayers who receive the same effective tax benefit from both. The flexibility to use it for either purpose makes the LISA a versatile savings tool.

Related Tools and Resources

Building a savings habit is one of the most effective ways to improve your financial wellbeing. You may also find our Compound Interest Savings Calculator useful for related calculations.

For a broader view of your finances, try the Compound Interest Calculator or the Take-Home Pay Calculator. All of our calculators are free to use and updated for the 2026/27 tax year where applicable.

Frequently Asked Questions

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