Your Essential Guide to 2024 Financial Dates

Financial planning is all about creating a road map to help you achieve your goals and prepare you for any bumps along the way. With so much to remember in your every day life, we’re here to keep your finances organised, read on for your essential guide to 2024 financial dates.

1st April – National Living Wage and Minimum Wage Rise Take Effect

The hourly rate for people aged 21 and over will go up by 9.8% in April, from £10.42 to £11.44.

Those aged 18 to 20 will also see pay rise to £8.60 per hour – up £1.11. The minimum hourly wage for apprentices will increase too.

5th April – End of the 2023/24 tax year

You have until midnight to use as much of you tax-efficient allowances as possible. If you’re planning to utilise your entire annual ISA allowance, the full £20,000 will need to have been paid into your accounts by this date.

Anyone wanting to pay extra into their pension should also try and do this before 5th April. Most people can contribute up to £60,000 to their pension pot each tax year and benefit from tax relief. However, those with an annual income – including salary, and income from savings and investments – of more than £260,000, or those who earn less than £60,000 a year, have a lower pension allowance.

Read our latest blog for must-know tips on how to maximise your tax allowances before 5th April.

6th March – Spring Budget

Every year we have at least one big Budget statement delivered by the chancellor. It outlines how well the economy is performing, the financial forecasts for the year ahead as well as any proposed changes to the tax system.

Rishi Sunak recently announced that the general election is likely to be in the second half of the year, this could be the last budget before a general election.

Keep an eye out for our updated insights following the Spring Budget and how it could affect you.

6th April – New 2024/25 Tax Year 

You can start making use of your tax allowances straight away. Remember, the longer you invest for the more time you are giving your investments to grow.

You can learn more about the power of compounding here. 

6th April – State Pension Rises

The 2024-25 tax year begins on 6 April, and this is a date when increases to various state benefits will kick in.

6th April – Tax Changes

There are a few tax changes that will occur at the start of the new tax year.

  • The dividend tax-free allowance will be halved from £1,000 to £500. The tax rates on dividend income remain unchanged.
  • The threshold for paying capital gains tax will also be halved, from £6,000 to £3,000.
  • Class 2 National Insurance contributions (NICs) for the self-employed are set to be abolished, while the rate of class 4 NICs will drop from 9% to 8% in April. Both these reforms aim to save around two million self-employed workers an average of £350 a year.
  • ISA savers will be given some more flexibility from 6 April, thanks to ISA reforms announced in the Autumn Statement. They will be able to pay into multiple ISAs of the same type in a tax year – and will be able to transfer slices of ISA money paid in during the current tax year too.
  • The minimum age to open a cash ISA will rise to 18, closing the loophole that allows 16 and 17-year-olds to have a junior ISA and a cash ISA allowance in the same tax year.
  • In years gone by the tax-free personal allowance often increased each April, but in 2024 it will again be frozen at £12,570. It’s due to be held at this level until April 2028. Income tax thresholds will also remain at their current levels.

15th April – 15 Hours Free Childcare for Two-Year-Olds

The government’s policy of 15 free hours childcare available for working parents of two-year-olds will kick in this month.

It is part of a wider reform to provide 30 hours free childcare to all under 5s for eligible working parents – rather than just three and four-year-olds, as it is currently. The Treasury said in this year’s spring Budget that this would “help with the cost of living, support education for the youngest children, and remove one of the biggest barriers to parents working”.

The policy is being phased in gradually, with the full reform (30 free hours from nine months to the start of school) in place from September 2025.

July – New Banknotes Featuring King Charles

New banknotes featuring King Charles III’s portrait will enter circulation by mid-2024. he King’s portrait will appear on all four polymer banknotes (£5, £10, £20 and £50).

September – 15 Hours Free Childcare from 9 Months Old

This is the second stage of the government’s roll-out of free childcare from the age of nine months. In September, the 15 free hours childcare scheme will be extended to working parents with babies aged nine months and over.

5th October - Deadline to Register for Self-Assessment

If you are new to self-assessment, this is the deadline to register with HMRC. This applies if you are self-employed or a sole trader, a trustee or a partner in a partnership business.

31st October – Deadline for Postal Self-Assessment

Postal self-assessment tax returns must be returned by midnight.

November – Autumn Statement

Effectively a mini-Budget, the Autumn Statement is another big statement from the chancellor. It is usually delivered in November.

30th December - Online Tax Return

Submit your online tax return by this date if you want HMRC to automatically collect tax you owe from your wages and pension.

Getting in Touch

Staying abreast of these key dates in the financial calendar for 2024 will help you to make informed decisions and navigate your personal finances with confidence. Whether it’s tax planning, investment strategy, or staying updated on policy changes, being proactive is the key to financial success in the year ahead.

If you have any questions and would like to speak to an Independent Adviser we provide a free, no obligation initial meeting. It’s a great opportunity for you to have a personal conversation and to understand if financial planning is right for you.

We provide face to face or video call meetings to fit to your lifestyle.

Call 01244 347 583 or email info@innesreid.co.uk to speak to our team today.

 

Your essential guide to 2024 financial dates – PLEASE NOTE: This article is not personal advice. The content should not be relied upon in its entirety and shall not be deemed to be or constitute advice.

While we believe this interpretation to be correct, it cannot be guaranteed and we cannot accept any responsibility for any action taken or refrained from being taken as a result of the information contained within this summary. Please obtain professional advice before entering into or altering any new arrangement.

Source: Money Week

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