Also, would you consider making a video on how to file a tax return on Revenue? It can be complicated for people who aren’t aware of this sort of thing. How to declare extra income, how to claim tax credits etc… I really think a step-by-step guide would be shared widely and be very popular with new people! Up to you of course, just my opinion 🤙
On top of miserable interest rates in Ireland what kills us is the witholding Tax/ DIRT. In some countries you pay 15%-20% but here you pay 33% on savings that for the most part come from salaries that have already been taxed. I was doing some simple maths and without going too much into details, I was very disappointed to see the results: 1 - When an Irish Bank shows 2% interest after DIRT, in reality you get 1.34% net. 2 - When an Irish Bank shows 2.5%, after DIRT, you actually get 1.67% net 3 - When an Irish Bank shows 3%, after DIRT, you get 2.01% net I find it so miserable almost a rip off
@@malone_financial hey Dan, thank you so much for keeping us updated and covering different investments needs. Personally, I can't think of a EU country that charges 33% or more also on capital gains. If I remember correctly it used to be 20% in Ireland. It could be worse, 10 years ago banks offered 0.15%, but it could be even better 🙂 thanks again for sharing your expertise with us. All the best
In Canada if you hold your funds in an RRSP (retirement account) which you can open on a basis trading app (WealthSimple) I have them myself, you can withdraw at any time and just that amount becomes a taxable income! In Ireland…To me it looks like you are just making some provider rich for 6% a year! In my account, The withholding tax, capital gains and dividends earned is ZERO on all Canadian stocks/ETFs and zero on all Us stocks/ETFs in a RRSP. Than on dividends in a normal account are 15% but you can claim most of it back in your end of year returns. Ireland and Europe 30 years behind the US and Canada with this stuff!
As non-domicile in Ireland if money earned outside of Ireland and not-remitted - no Irish tax to pay. How that may affect decision of choosing a bank account? Would any of raisin bank accounts or trade republic or anything else open a door not to pay tax (with no remittance)?
Honest question here: How can Raisin guarantee your money is secure, if they are sourcing banks from other countries? What happens if the bank you choose goes bust? Isn't your money with that bank, and not directly with Raisin? I appreciate any insight and feed back. Especially if someone from Raisin is reading the comments.
Great question, there are technically two answers here. If you have cash deposited on the Raisin Bank platform which is NOT yet deposited (i.e. it's sitting idle) that cash is protected up to €100,000 in the event that Raisin Bank itself goes bankrupt. For cash that is deposited in one of the partner banks on Raisin, that deposit is protected under the Deposit Guarantee Scheme of the EU country in which the bank is based. So, for example, if you deposited €50,000 with BluOr Bank via Raisin, that deposit would be protected up to €100,000 under the Latvian Deposit Guarantee Scheme. Crucially, these guarantee schemes are not "soft promises", they are mandated, actual guarantees at the EU level i.e. 100% safe and secure
I have a term deposit account with raisin and will be looking to utilise a demand deposit account soon. Cant fault their customer service when i was setting up. Irish banks are a complete rip off.
Might like a stewpid question, but how do revenue no how much interest u get on your savings, do they have access to your account? I just find it ridiculous paying dirt on savings considering inflation goes up 2 per cent year roughly
They don't, but it's your obligation to declare the interest earned and pay the tax owed. There is a possibility that you could get caught out on an audit.
I've just watched a bunch of your videos yesterday, so this is timely. Annoyingly already locked in month saver and another long term. But I've got another lump sum I'm planning to move. How do you compare trade republic now? Trade republic seem to cover 20k, is this different to the 100k the other services tend to offer? Bunq does seem handier, tempted to just go with them?
Trade Republic offers protection under the Deposit Guarantee Scheme up to €100,000, same as Raisin Bank. While Trade Republic currently offers the best instant access deposit return, it's a variable rate and is subject to change with ECB rates. Raisin Bank allows you to lock in guaranteed rates of return even if ECB rates subsequently fall. Bunq are good as an alternative to, say, Revolut or even the traditional Irish banks for banking services (check out my video before this one to hear more about them).
@@malone_financial Thanks for that! Main question now is raisin vs trade republic. What new sources or blogs would you recommend to speculate ECB changing rates this year? I guess I'm wondering would ecb rates go under 3.65, which is what raisin seems to offer.. (raisin's phone call sign up is a little intense haha)
Hey new sub, I’m looking at returning to Ireland from Canada and I was looking at continuing my investment plan…but the tax system is absolutely ridiculous! What rip off. I’m wondering if any of the apps offer a retirement account or something like it to avoid the 41% on my dividends and of course Capital Gains taxes & the Deemed Disposal aka “theft tax”! It seems to be all broker managed accounts with lots of hidden fees and limited returns like 5-7% annually! I’m looking for a self managed PRSA that I can pick theETFs and stocks that I know consistently return 15-16%. Is there anything you could suggest I check out? Thanks 👍
I'll copy my response from another comment: "Correct, on a rate-versus-rate basis, Trade Republic continues to offer the best instant access return at 3.75%. However, couple of things to consider. Firstly, 3.75% on Trade Republic is only available on deposits up to €50,000. The vast majority of accounts on Raisin, including the instant access accounts, allow for interest generation up to €100,000 which, in turn, would result in higher net interest for those with larger deposit amounts. Technically, the optimal play would be to fully utilize your maximum interest-bearing deposit on Trade Republic and then divert your excess elsewhere. Secondly (and arguably most importantly), the value of Raisin Bank over Trade Republic comes from the fact that they offer fixed rate accounts. For example, while the BluOr Bank 1 year fixed account offers a slightly lower rate at 3.65%, that rate is guaranteed for a full 12 months. With the ECB set to further cut rates later this year, no such guarantee exists around Trade Republic's rate. Meaning, the net position over 12 months (or longer for longer fixed term durations) could very well work out better for those who fix at a slightly lower rate now. It's all about being proactive and anticipating future rate changes rather than being laser focused on what rates are today"
@@kilmeenabuck3134 correct, but liable to higher tax rate of 41% due to the fact that the interest is earned via a money market fund structure. Trade Republic, at least for the first €50,000 worth of deposits, remains slightly more optimal for instant access deposit returns
Have a look at the other comment responses! Trade Republic remains the most competitive option for the first €50,000 worth of deposits that are intended for an instant access environment. However, for those with longer savings horizons (i.e. >6 months), there is a real case to be made for Raisin Bank with their fixed rates, higher deposit maximums for eligible interest and deposit guarantees. For longer term savers, locking in a high fixed rate now over an X year period could very well result in a better net return. It's all about being proactive and not hyper-focusing solely on the best advertised rate in the present day. The beautiful thing about all of this is that there's no "one size fits all" solution, it totally depends on the saver and what they want to achieve.
I get the fact it’s Ireland and tax is like a way of life there! My current trading platform has zero fees!! On everything! With the exception of 10$ a month if you want to trade in a foreign currency( as many times as you like) I have a retirement account and a TRSA that I get dividends and capital gains in for zero fees! And if I withdraw my dividends is only 15% that can offset set against your income and you get a tax refund! So you see why I’m a bit bewildered at the Irish trading system. Canada wants you to succeed and Ireland just wants to tax you into the grave! Maybe I’m over reacting because I’m not educated on the system and there is a simple solution😊
No catch, biggest thing to be aware of is that these are fixed term accounts for the most part. This means that you won’t be able to access your deposit for the duration of the fixed term that you choose. But the upside of that is that your interest rate is guaranteed for that fixed term.
Stupid Q:If I put money into Raisin to save my money and earn interest I don’t have to pay CGT on it do I? Or when I withdraw after a few years do I have to go to revenue to file something?
Correct, on a rate-versus-rate basis, Trade Republic continues to offer the best instant access return at 3.75%. However, couple of things to consider. Firstly, 3.75% on Trade Republic is only available on deposits up to €50,000. The vast majority of accounts on Raisin, including the instant access accounts, allow for interest generation up to €100,000 which, in turn, would result in higher net interest for those with larger deposit amounts. Technically, the optimal play would be to fully utilize your maximum interest-bearing deposit on Trade Republic and then divert your excess elsewhere. Secondly (and arguably most importantly), the value of Raisin Bank over Trade Republic comes from the fact that they offer fixed rate accounts. For example, while the BluOr Bank 1 year fixed account offers a slightly lower rate at 3.65%, that rate is guaranteed for a full 12 months. With the ECB set to further cut rates later this year, no such guarantee exists around Trade Republic's rate. Meaning, the net position over 12 months (or longer for longer fixed term durations) could very well work out better for those who fix at a slightly lower rate now. It's all about being proactive and anticipating future rate changes rather than being laser focused on what rates are today
His brand is more important. It wouldnt be wise to go with any sponsor but smart to go with the one that you believes is smart. Besides its information. You take it as you wish.
I appreciate that perspective. However, regular viewers of my channel know that I always provide unbiased reviews of any savings options and/or investment platforms. I never allow 3rd party influence on my videos. You could equally say that I have a conflict of interest when talking about Trade Republic, T212, Bunq, Seeking Alpha or Lightyear, with all of whom I have an affiliate partnership. In theory, I do, but in practice, this does not come to fruition. You will find through your own independent research that the options I present as being the most competitive are indeed the most competitive. There are no catches here my friend. Stick around long enough and you'll see that!
► Try out Raisin Bank and get a €50 bonus: raisin-ie.pxf.io/75jyRV
Also, would you consider making a video on how to file a tax return on Revenue? It can be complicated for people who aren’t aware of this sort of thing. How to declare extra income, how to claim tax credits etc… I really think a step-by-step guide would be shared widely and be very popular with new people! Up to you of course, just my opinion 🤙
Thanks for the suggestion, will definitely take it on board¬
I was going to ask the same thing!
On top of miserable interest rates in Ireland what kills us is the witholding Tax/ DIRT.
In some countries you pay 15%-20% but here you pay 33% on savings that for the most part come from salaries that have already been taxed. I was doing some simple maths and without going too much into details, I was very disappointed to see the results:
1 - When an Irish Bank shows 2% interest after DIRT, in reality you get 1.34% net.
2 - When an Irish Bank shows 2.5%, after DIRT, you actually get 1.67% net
3 - When an Irish Bank shows 3%, after DIRT, you get 2.01% net
I find it so miserable almost a rip off
It could be worse, they could tax the interest at marginal income tax rates (like they do for interest earned on, say, bonds)
@@malone_financial hey Dan, thank you so much for keeping us updated and covering different investments needs.
Personally, I can't think of a EU country that charges 33% or more also on capital gains.
If I remember correctly it used to be 20% in Ireland. It could be worse, 10 years ago banks offered 0.15%, but it could be even better 🙂 thanks again for sharing your expertise with us. All the best
In Canada if you hold your funds in an RRSP (retirement account) which you can open on a basis trading app (WealthSimple) I have them myself, you can withdraw at any time and just that amount becomes a taxable income!
In Ireland…To me it looks like you are just making some provider rich for 6% a year!
In my account,
The withholding tax, capital gains and dividends earned is ZERO on all Canadian stocks/ETFs and zero on all Us stocks/ETFs in a RRSP.
Than on dividends in a normal account are 15% but you can claim most of it back in your end of year returns.
Ireland and Europe 30 years behind the US and Canada with this stuff!
Been using them for over a year now, they are exactly as advertised. I’m happy out so far!
Excellent!
Gold increased 35% so far in 2024. That`s about 20 times what the banks are offering.
As non-domicile in Ireland if money earned outside of Ireland and not-remitted - no Irish tax to pay. How that may affect decision of choosing a bank account? Would any of raisin bank accounts or trade republic or anything else open a door not to pay tax (with no remittance)?
Great video. Could you do a video on saving accounts with Revolut? I think there's 2 but 1 is actually a low risk fund
Honest question here: How can Raisin guarantee your money is secure, if they are sourcing banks from other countries? What happens if the bank you choose goes bust? Isn't your money with that bank, and not directly with Raisin? I appreciate any insight and feed back. Especially if someone from Raisin is reading the comments.
Watch the video again , deposit guarantee scheme . The same as irish banks
Great question, there are technically two answers here. If you have cash deposited on the Raisin Bank platform which is NOT yet deposited (i.e. it's sitting idle) that cash is protected up to €100,000 in the event that Raisin Bank itself goes bankrupt. For cash that is deposited in one of the partner banks on Raisin, that deposit is protected under the Deposit Guarantee Scheme of the EU country in which the bank is based. So, for example, if you deposited €50,000 with BluOr Bank via Raisin, that deposit would be protected up to €100,000 under the Latvian Deposit Guarantee Scheme. Crucially, these guarantee schemes are not "soft promises", they are mandated, actual guarantees at the EU level i.e. 100% safe and secure
@@malone_financial Great answer. I appreciate the clarity.
@@malone_financial thank you.
Bunq seems like a good option also now offering 3.36% AER.
I have a term deposit account with raisin and will be looking to utilise a demand deposit account soon. Cant fault their customer service when i was setting up. Irish banks are a complete rip off.
Glad to hear it!
Raisen don't offer fixed term joint accounts. What's the best offering on the market for people looking for 5yr+ fixed term joint?
Currently getting 4% from N26 but that's set to change to 3% in October
For sure, with changing ECB rates, no variable rate accounts are safe!
Any recommendations for where to open a current account with no fees? Thinking of getting my salary put into my N26 app, good idea or bad idea?
Might like a stewpid question, but how do revenue no how much interest u get on your savings, do they have access to your account? I just find it ridiculous paying dirt on savings considering inflation goes up 2 per cent year roughly
They don't, but it's your obligation to declare the interest earned and pay the tax owed. There is a possibility that you could get caught out on an audit.
I've just watched a bunch of your videos yesterday, so this is timely.
Annoyingly already locked in month saver and another long term. But I've got another lump sum I'm planning to move.
How do you compare trade republic now? Trade republic seem to cover 20k, is this different to the 100k the other services tend to offer?
Bunq does seem handier, tempted to just go with them?
Trade Republic offers protection under the Deposit Guarantee Scheme up to €100,000, same as Raisin Bank. While Trade Republic currently offers the best instant access deposit return, it's a variable rate and is subject to change with ECB rates. Raisin Bank allows you to lock in guaranteed rates of return even if ECB rates subsequently fall. Bunq are good as an alternative to, say, Revolut or even the traditional Irish banks for banking services (check out my video before this one to hear more about them).
@@malone_financial Thanks for that! Main question now is raisin vs trade republic. What new sources or blogs would you recommend to speculate ECB changing rates this year?
I guess I'm wondering would ecb rates go under 3.65, which is what raisin seems to offer..
(raisin's phone call sign up is a little intense haha)
Hey new sub,
I’m looking at returning to Ireland from Canada and I was looking at continuing my investment plan…but the tax system is absolutely ridiculous! What rip off.
I’m wondering if any of the apps offer a retirement account or something like it to avoid the 41% on my dividends and of course Capital Gains taxes & the Deemed Disposal aka “theft tax”!
It seems to be all broker managed accounts with lots of hidden fees and limited returns like 5-7% annually!
I’m looking for a self managed PRSA that I can pick theETFs and stocks that I know consistently return 15-16%.
Is there anything you could suggest I check out?
Thanks 👍
How long does it take to get referral funds. Is there anything else besides invest a certain amount?
Once the referred account completes the necessary steps to qualify for the bonus then the bonus will be paid!
Why is raisin the best ? Trade Republic paying 3.75%
Trading 212 is 4.2%
@@kilmeenabuck3134 that is not the same, its a money market account
@@kilmeenabuck3134your tax is higher with T212. TR is DIRT tax at 33%. T212 use money funds so are taxed at 41% for any interest.
I'll copy my response from another comment: "Correct, on a rate-versus-rate basis, Trade Republic continues to offer the best instant access return at 3.75%. However, couple of things to consider. Firstly, 3.75% on Trade Republic is only available on deposits up to €50,000. The vast majority of accounts on Raisin, including the instant access accounts, allow for interest generation up to €100,000 which, in turn, would result in higher net interest for those with larger deposit amounts. Technically, the optimal play would be to fully utilize your maximum interest-bearing deposit on Trade Republic and then divert your excess elsewhere. Secondly (and arguably most importantly), the value of Raisin Bank over Trade Republic comes from the fact that they offer fixed rate accounts. For example, while the BluOr Bank 1 year fixed account offers a slightly lower rate at 3.65%, that rate is guaranteed for a full 12 months. With the ECB set to further cut rates later this year, no such guarantee exists around Trade Republic's rate. Meaning, the net position over 12 months (or longer for longer fixed term durations) could very well work out better for those who fix at a slightly lower rate now. It's all about being proactive and anticipating future rate changes rather than being laser focused on what rates are today"
@@kilmeenabuck3134 correct, but liable to higher tax rate of 41% due to the fact that the interest is earned via a money market fund structure. Trade Republic, at least for the first €50,000 worth of deposits, remains slightly more optimal for instant access deposit returns
Are you now advising this over Trade Republic? I thought you were a TR man? 3.75% and you can access it anytime.
Have a look at the other comment responses! Trade Republic remains the most competitive option for the first €50,000 worth of deposits that are intended for an instant access environment. However, for those with longer savings horizons (i.e. >6 months), there is a real case to be made for Raisin Bank with their fixed rates, higher deposit maximums for eligible interest and deposit guarantees. For longer term savers, locking in a high fixed rate now over an X year period could very well result in a better net return. It's all about being proactive and not hyper-focusing solely on the best advertised rate in the present day. The beautiful thing about all of this is that there's no "one size fits all" solution, it totally depends on the saver and what they want to achieve.
I get the fact it’s Ireland and tax is like a way of life there!
My current trading platform has zero fees!! On everything!
With the exception of 10$ a month if you want to trade in a foreign currency( as many times as you like)
I have a retirement account and a TRSA that I get dividends and capital gains in for zero fees!
And if I withdraw my dividends is only 15% that can offset set against your income and you get a tax refund!
So you see why I’m a bit bewildered at the Irish trading system.
Canada wants you to succeed and Ireland just wants to tax you into the grave!
Maybe I’m over reacting because I’m not educated on the system and there is a simple solution😊
What’s the catch?
No catch, biggest thing to be aware of is that these are fixed term accounts for the most part. This means that you won’t be able to access your deposit for the duration of the fixed term that you choose. But the upside of that is that your interest rate is guaranteed for that fixed term.
it's a pity your channel has decreased in content quality. you are basically promoting your referral links.
4.2% in a trading 212 money market fund
Correct, but liable to 41% tax as opposed to 33% DIRT
Stupid Q:If I put money into Raisin to save my money and earn interest I don’t have to pay CGT on it do I?
Or when I withdraw after a few years do I have to go to revenue to file something?
You have to pay DIRT
You will need to pay DIRT on the interest earned and declare that interest to Revenue
Not as good as Trade Republic rate.
Correct, on a rate-versus-rate basis, Trade Republic continues to offer the best instant access return at 3.75%. However, couple of things to consider. Firstly, 3.75% on Trade Republic is only available on deposits up to €50,000. The vast majority of accounts on Raisin, including the instant access accounts, allow for interest generation up to €100,000 which, in turn, would result in higher net interest for those with larger deposit amounts. Technically, the optimal play would be to fully utilize your maximum interest-bearing deposit on Trade Republic and then divert your excess elsewhere. Secondly (and arguably most importantly), the value of Raisin Bank over Trade Republic comes from the fact that they offer fixed rate accounts. For example, while the BluOr Bank 1 year fixed account offers a slightly lower rate at 3.65%, that rate is guaranteed for a full 12 months. With the ECB set to further cut rates later this year, no such guarantee exists around Trade Republic's rate. Meaning, the net position over 12 months (or longer for longer fixed term durations) could very well work out better for those who fix at a slightly lower rate now. It's all about being proactive and anticipating future rate changes rather than being laser focused on what rates are today
@@malone_financial Thanks for your reply.👍
Are you taking the pi$$? You have a conflict of interest in recommending the sponsor of your video.
His brand is more important. It wouldnt be wise to go with any sponsor but smart to go with the one that you believes is smart. Besides its information. You take it as you wish.
I appreciate that perspective. However, regular viewers of my channel know that I always provide unbiased reviews of any savings options and/or investment platforms. I never allow 3rd party influence on my videos. You could equally say that I have a conflict of interest when talking about Trade Republic, T212, Bunq, Seeking Alpha or Lightyear, with all of whom I have an affiliate partnership. In theory, I do, but in practice, this does not come to fruition. You will find through your own independent research that the options I present as being the most competitive are indeed the most competitive. There are no catches here my friend. Stick around long enough and you'll see that!