How much government bonus does a LISA give?

25% on up to £4,000 per year — worth up to £1,000/year. The maximum total bonus over a lifetime (32 years of contributions from 18 to 50) is £33,000.

What is the property price limit for using a LISA?

£450,000. Your first home must cost £450,000 or less for the LISA bonus to be used. The property must be in the UK and bought with a mortgage.

Can I use a LISA and Help to Buy ISA?

Help to Buy ISAs are closed to new applicants. If you already have one, you can transfer it to a LISA. You can only use one of them — not both — for the bonus on a home purchase.

Tax Law

Lifetime ISA (LISA) Calculator 2025 — Government Bonus for First Home & Retirement

A Lifetime ISA gives you a 25% government bonus on up to £4,000 you save each year — worth up to £1,000/year. You can use it to buy your first home (up to £450,000) or as retirement savings. Check how much your LISA will be worth.

🏠 Lifetime ISA (LISA) Calculator — 2025

25% government bonus on up to £4,000/year. Must be opened before age 40. Available until age 50.

Your current ageMust be 18–39 to open. Can contribute until age 50.

How are you using the LISA?

Annual contribution (£, up to £4,000)

Expected annual growth rate (%)

LISA Rules — Key Facts

Must be 18–39 to open a Lifetime ISA
Can contribute up to £4,000/year and receive a 25% bonus (up to £1,000/year) until age 50
Maximum total government bonus: £33,000 (32 years of full contributions)
For home purchases: the property must cost £450,000 or less, you must be a first-time buyer, and you must have held the LISA for at least 12 months
For retirement: you can access the money from age 60 — fully tax-free
Unauthorised withdrawals incur a 25% penalty charge
The £4,000 LISA limit counts towards your overall annual ISA allowance (£20,000)

Can I use a LISA if my partner already owns a home?+

No. Both buyers must be first-time buyers to use the LISA bonus for a property purchase. If your partner already owns or has owned a home, you cannot use your LISA for that joint purchase. You could still use your LISA for retirement savings, but the home purchase bonus would not be available.

Is a LISA better than a pension?+

It depends. A LISA bonus is 25% (effectively tax-relief at 20%). A pension gives tax relief at your marginal rate (20%, 40%, or 45%), plus employer contributions through auto-enrolment. For basic rate taxpayers with employer matching, a workplace pension is usually better. The LISA is most valuable as a supplement for first-time buyers, or for the self-employed without employer pension contributions.

What happens to my LISA if I never buy a home and I die before 60?+

On death, the LISA can be closed without the withdrawal penalty — the full balance including the government bonus is paid to your estate. This is an exemption to the usual penalty for unauthorised withdrawals.