Lifetime ISA Calculator
How big your Lifetime ISA could be by the time you buy your first home or reach 60, with the government's 25% bonus added every year until you're 50. See whether your withdrawal would be free, and what the 25% withdrawal charge would take if not. Results update instantly, with the sums shown. No sign-up.
Payments and the bonus are added once a year; growth is applied to the balance at the start of each year. Growth is an assumption, not a promise.
- Pot before any charge£0
- You pay in£0
- Government bonus (25%)£0
- Growth (assumed)£0
- Withdrawal charge£0
- You receive£0
What the 25% withdrawal charge does
The same pot, taken out for a qualifying reason or for any other reason. "Versus your money" compares what you receive with your starting balance plus what you paid in. Your case is highlighted.
| Withdrawal | Charge | You receive | Versus your money |
|---|
Quick answer
Saving £3,000 a year into a Lifetime ISA from age 28, the government adds £750 a year until you're 50. By 33 that is £3,750 of bonus in a pot of about £19,909. Withdrawn to buy your first home, you keep all of it. Growth is an assumption, not a promise. Rules from GOV.UK, checked 18 October 2026; they can change.
Year by year
Using your inputs. Long periods show selected years; the year you turn 50 (last bonus year) is highlighted.
| Age | You pay in | Bonus | Growth | Pot at the end |
|---|
The Lifetime ISA rules (GOV.UK)
- Limit: up to £4,000 each year, until you're 50. It counts towards your annual ISA limit of £20,000 for the 2026 to 2027 tax year.
- Bonus: the government adds 25% to your savings, up to £1,000 a year.
- Opening: you must be 18 or over but under 40, and make your first payment before you're 40. You must be UK resident (or armed forces or crown servant, or their spouse or civil partner, if you live abroad).
- At 50: you can't pay in or earn the bonus any more. The account stays open and keeps earning interest or returns.
- What it can hold: cash, stocks and shares, or a mix.
When you can take the money out without a charge
- Buying your first home, if the property costs £450,000 or less, you buy at least 12 months after your first payment, you use a conveyancer or solicitor (the provider pays them directly) and you're buying with a mortgage. Two first-time buyers can both use their Lifetime ISA and bonus.
- Aged 60 or over.
- Terminally ill, with less than 12 months to live.
If you die, the Lifetime ISA ends on the date of death and there's no charge to withdraw the funds.
The 25% withdrawal charge
For any other withdrawal you pay 25%. GOV.UK: “This recovers the government bonus you received on your original savings.” The charge applies to everything you take out, including the bonus and growth, so with no growth you end up with less than you paid in: you pay in £100, the bonus makes it £125, and 25% of £125 is £31.25, leaving £93.75. Moving a Lifetime ISA to another type of ISA before 60, or to a Help to Buy ISA, also costs the 25% charge.
The GOV.UK examples, reproduced
“Assuming no growth, initial savings of £800 will earn a 25% government bonus of £200 and give you a pot of £1,000. If you wish to withdraw the entire pot, a 25% charge will apply to the full £1,000. You'll have to pay a government withdrawal charge of £250. This will leave you with £750.”
“If you need enough cash to cover a £120 bill, you'll have to withdraw more than you actually require. Withdrawing £160 means you pay a 25% withdrawal charge of £40 and receive £120 in cash to meet the bill.”
The “Need a set amount of cash early?” box above starts at £120 and shows the £160 withdrawal. Both examples are checked by an automated test that runs before every update.
How the projection works
- Your yearly payment is your monthly payment × 12, capped at £4,000. The bonus is 25% of it (at most £1,000).
- Payments and bonus are added at the end of each year of age, for every year that starts before you turn 50.
- Growth is applied to the balance at the start of each year at the rate you choose. In reality the bonus is paid by your provider during the year and returns vary.
- A new account can only take payments if you open it between 18 and 39. Rules are held at today's values.
What this calculator does not cover
- Help to Buy ISA interaction (you can only use the bonus from one of them for your first home), transfers and partial withdrawals other than the cash box above.
- Eligibility checks beyond age, price and timing: the mortgage, conveyancer and relative-lender rules are shown as reminders only.
- Fees, tax on other investments, and the effect on means-tested benefits.
The formula
- C — what you pay in that year, at most £4,000, and £0 from age 50
- g — your assumed growth or interest rate
- Unauthorised withdrawal — you receive 75% of the amount withdrawn; to receive £X, withdraw £X ÷ 0.75
See the formula with your own numbers
These update live from the calculator inputs above.
Frequently asked questions
How much can I put in a Lifetime ISA?
GOV.UK: you can put in up to £4,000 each year, until you're 50. The £4,000 counts towards your annual ISA limit, which is £20,000 for the 2026 to 2027 tax year.
How much is the Lifetime ISA bonus?
The government adds a 25% bonus to your savings, up to a maximum of £1,000 a year. When you turn 50 you can no longer pay in or earn the bonus, but the account stays open and your savings still earn interest or investment returns.
Who can open a Lifetime ISA?
You must be 18 or over but under 40 to open one, and make your first payment before you're 40. You must also be resident in the UK, or a member of the armed forces or a crown servant (or their spouse or civil partner) if you don't live in the UK.
What are the rules for using a Lifetime ISA to buy a first home?
The property must cost £450,000 or less, you must buy it at least 12 months after your first payment into the Lifetime ISA, you must use a conveyancer or solicitor (the provider pays them directly) and you must be buying with a mortgage. You can't use it with a private mortgage from a relative or your spouse or civil partner.
What is the Lifetime ISA withdrawal charge?
If you withdraw for any reason other than buying your first home, being 60 or over, or being terminally ill with less than 12 months to live, you pay a 25% charge on the amount withdrawn, including the bonus. GOV.UK's example: £800 saved plus a £200 bonus is £1,000; taking it all out costs £250, leaving £750 — less than the £800 you put in.
Method & sources
- Calculation: yearly payment capped at £4,000; 25% bonus up to £1,000 a year for years starting before age 50; growth on the opening balance; withdrawal free for a first home (price £450,000 or less, at least 12 months after the first payment) or at 60 or over, otherwise 25% of the whole amount withdrawn.
- £4,000 limit, 25% bonus up to £1,000, age 18 to 39 to open, payments until 50, £20,000 ISA limit 2026 to 2027, first-home conditions, £450,000 cap, 25% withdrawal charge and both examples: GOV.UK — gov.uk/lifetime-isa (all three pages).
- All sources checked 18 October 2026. Verification: automated tests, run before every update, including both GOV.UK examples.
- Reviewed: .
Educational estimate only, not personal financial advice. Investments can fall as well as rise and growth is not guaranteed. Rules can change and depend on your circumstances; check with GOV.UK or your Lifetime ISA provider before you withdraw.
Run your own numbers
Enter your age, what you can save and when you'll use it, and see the bonus you'd collect and whether a charge applies.
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