Money Acronyms: An ABC Guide

Acronyms can occasionally get us in a spin. So many things that we might think don’t need condensing get given an acronym and it leaves us fumbling over a number of letters. What do they mean? What exactly is an 'ISA' for example?

For your convenience here are a list of finance-related acronyms that we use regularly at LGBT Money. (You know what 'LGBT' stands for).

APR: Annual Percentage Rate; applies to loans and takes into account the cost, as well as interest and fees for the year.

ATM: Perhaps more commonly called a cashpoint in the UK, ATM stands for Automated Teller Machine.

BTL: Buy-to-let mortgages allow buyers to take out a mortgage with the intention to let.

HMRC: Her Majesty’s Revenue and Customs; Government department responsible for taxes, benefits and National Insurance.

ISA: Individual Savings Account; A savings account that allows you to put money aside, tax-free.

NI: National Insurance; a means of contributing money to the Government to aid you long-term through benefits and pension.

PAYE: Pay As You Earn; system used to monitor your earnings, income tax and National Insurance contributions.

SIPP: Self-Invested Personal Pension; a way of saving for your retirement allowing contributions from yourself, tax relief and your employer if you’re employed and they wish to contribute to your SIPP.

YTD: Year-to-date; often found on payslips, it simply totals pay, and other factors, for the current year – usually tax year (April onwards).

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