Lifetime ISA Calculator & Guide
Maximise your 25% government bonus. Estimate your Lifetime ISA growth for a first home or retirement, and understand the £4,000 annual contribution rules.
Calculate Your LISA Bonus
See how much the government will add to your savings and project your total balance over time. Adjust the inputs to match your financial goals.
LISA Growth Calculator
Estimate your total balance including the 25% government bonus
LISA Quick Facts Checklist
Essential rules to remember before you open an account
How the Lifetime ISA Works
Understanding the mechanics of the LISA ensures you make the most of the government bonus while avoiding costly withdrawal penalties.
Open Your Account
Choose a Cash LISA or Stocks & Shares LISA provider. You must be aged 18–39 and a UK resident to open one. You can only open one LISA per tax year.
Contribute Up to £4,000
Deposit funds up to the £4,000 annual limit. This can be done as a lump sum or regular monthly payments. The limit resets every 6 April.
Receive the 25% Bonus
The government calculates your bonus based on contributions and adds it to your account, usually within a few weeks. The maximum bonus is £1,000 per year.
Withdraw for Qualifying Reasons
Use the funds tax-free for a qualifying first home purchase (property value up to £450,000) or wait until age 60 to withdraw for retirement without penalty.
LISA vs Other ISA Types
A side-by-side summary to help you decide if a Lifetime ISA is the right choice for your financial goals.
| Feature | Lifetime ISA (LISA) | Standard Stocks & Shares ISA | Help to Buy ISA (Legacy) |
|---|---|---|---|
| Annual Limit | £4,000 (counts towards £20k total) | Up to £20,000 | Closed to new accounts (2019) |
| Government Bonus | Yes, 25% (max £1,000/yr) | No | Yes, 25% (max £3,000 total) |
| Age Restrictions | Open at 18–39, contribute until 50 | 18+ (or 16+ for Cash ISA) | 16+ |
| Withdrawal Flexibility | Restricted (25% penalty if non-qualifying) | Fully flexible at any time | Flexible, but bonus lost if not for home |
| Best For | First-time buyers & retirement planning | General medium/long-term investing | N/A (No longer available) |
Lifetime ISA FAQ
Answers to the most frequently asked questions about the Lifetime ISA in the UK.
The Lifetime ISA allowance for the 2026/2027 tax year is £4,000 per person. This counts towards your overall £20,000 annual ISA allowance. The government adds a 25% bonus on your contributions, up to a maximum of £1,000 per year.
If you withdraw funds from a Lifetime ISA for a non-qualifying reason before age 60, you will typically face a 25% withdrawal charge. This effectively recovers the government bonus and applies a small penalty on your original contribution.
You must be aged 18 to 39 to open a Lifetime ISA. You can continue contributing to it until you turn 50, and the funds can be used tax-free for a first home purchase (up to £450,000) or withdrawn from age 60 for retirement.
Yes. You can hold a Lifetime ISA alongside other types of ISAs (like a Stocks & Shares ISA or Cash ISA). However, the total amount you contribute across all ISAs in a single tax year must not exceed the overall £20,000 limit.