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Why ‘The Driller Killer’ Is a Great Slasher Horror Movie

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Fans of slasher horror movies understand that there is an underappreciated variance within the genre, whether it is a darker, slow-burn with a relentless killer, or an iconic visage of terror racking up as many bodies as possible in a bid for a franchise. Indeed, the latter approach has led to a plethora of iconic killers, from the small but deadly Chucky to the unstoppable force of evil that is Michael Myers. While these slasher icons seem to take the bulk of the glory, others live on in infamy, those whose entire modus operandi is too disturbing to last more than one feature.

When considering revered slashers focused on the disturbed mental state of a character, fans tend to think of Maniac, Angst, or Henry: Portrait of a Serial Killer. However, a film from New York, Abel Ferrara’s The Driller Killer, presented the early archetype for gritty slashers with killers who are only meant to survive a single movie. The Driller Killer, nearly 50 years after its release, remains a shocking experience and one that deserves more accolades for the profound influence it has had on cinema.

‘The Driller Killer’ Came From the Underground

Still form the movie ‘The Driller Killer’ (1979)
Rochelle Films

Reno Miller is a struggling New York artist, struggling to pay the bills, at odds with his noisy punk neighbors. Reno finally finds a release from his declining mental state in the act of killing, starting with targeting the homeless population before working his way up to others. His choice of weapon: a drill. As Reno becomes more violent, the lines between reality and fiction start to blur. The Driller Killer ultimately exists as an exploration of one man’s mental decline, set against New York’s gritty underground; its slasher elements are more tenuous, but they are undoubtedly present, thanks to some gruesome kills involving a drill.

While the film was one of the first of its kind, it did not necessarily garner much acclaim upon release. It was essentially created for the New York underground crowd by someone deeply immersed within it, particularly in the city’s ‘no-wave movement,’ which led to many transgressive filmmakers and experimental, now-revered music. The Driller Killer would gain some notoriety when it was subsequently included in the infamous ‘video nasties’ list, which helped propel other now iconic films like Cannibal Holocaust, The Evil Dead, and I Spit on Your Grave into infamy.

Yet, after that period, some who found that success went back into fading into moderate obscurity, with The Driller Killer not having nearly the same notoriety as those previously mentioned. The gritty aesthetic, the punk-infused soundtrack, and the visceral violence were shocking, but for longevity, the movie rests with the cult fan base; it was never meant to become a franchise like The Evil Dead, both in execution and intent. Still, the film’s influence can certainly be felt today.

‘The Driller Killer’ Is One of the Most Influential Slasher Films

Abel Ferrara in 'The Driller Killer' (1979)
Abel Ferrara in ‘The Driller Killer’ (1979)
Rochelle Films

Existing in a landscape of urban decay, a struggling protagonist suffering a mental breakdown, and injecting music (notably punk aesthetics) into a horror-fueled story, have become somewhat familiar in many ’80s horror films. The influence of The Driller Killer, at least spiritually, can be seen as a product of the type of merging of culture, social commentary, and brutality that would lead Abel Ferrara to make the film. The feature would serve as a precursor to other cult films, such as Maniac (1980), Cruising (1980), Basket Case (1982), and Combat Shock (1984). Moreover, the movie still stands as a gritty, yet authentic, portrayal of New York life at a time when 42nd Street was less a tourist destination and more a hub for illegal activities and an emerging art scene created by outsiders.

Longtime film critic and published author Jonathan Rosenbaum was one of many to give the film a more favorable impression, stating, “I put off seeing Abel Ferrara’s second feature for years because of its title, but when I finally caught up with it I found it a lot more interesting and substantial than I’d imagined,” adding, “(The Driller Killer) not only anticipates American Psycho but offers a fascinating look at New York’s bohemian art scene circa 1979.” The Guardian, in discussing the importance of The Driller Killer in Ferrara’s career, would state, “If Ferrara is indeed a Van Gogh, then The Driller Killer is his Potato Eaters – an early work that displays, in rudimentary form, all the groundbreaking innovation of the mature works.”

From a critical perspective, The Driller Killer has undergone reassessment and appreciation since its release, both because of how it framed a specific turn in cinema and also as the groundwork for Abel Ferrara’s early career. Yet, there is a joy in watching a slasher film with a wicked wit and a gruesome dive into madness. As the saying goes, “I don’t know much about art, but I know what I like.” The Driller Killer can be viewed as an underappreciated slasher film with something to say, or it can just be a great time for horror hounds who appreciate some extra grit with their violence.

Should You Watch ‘The Driller Killer’?

Punk band in 'The Driller Killer' (1979)
Punk band in ‘The Driller Killer’ (1979)
Rochelle Films

Slasher fans know what they enjoy best, and if the body count and sensational kills from an unstoppable force of evil are your bread and butter, you may want to skip over The Driller Killer. Yet, for those who appreciate more visceral and shocking horror, with an emphasis on psychological decline, The Driller Killer still packs a punch decades after its release. Moreover, those who have seen other cult films, like any of the ones mentioned above, particularly Maniac, should also check out Abel Ferrara’s gruesome slasher. The Driller Killer is in the public domain and is available for free online and on various streaming platforms.


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Release Date

June 15, 1979

Runtime

96 Minutes

Writers

Nicholas St. John


  • instar50004147.jpg

  • Cast Placeholder Image

    Carolyn Marz

    Carol Slaughter

  • Cast Placeholder Image

  • Cast Placeholder Image

    Harry Schultz

    Dalton Briggs




This story originally appeared on Movieweb

20 TV Drama Scenes That Are Considered Masterpieces

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The best TV dramas of all time are carried by powerful, perfectly executed scenes like Snoop buying a nail gun in The Wire’s season 4 premiere. A really well-written, well-acted scene acts as both a crucial piece of a larger narrative and a standalone masterpiece.

Shows like Breaking Bad, Succession, and The White Lotus are full of incredible scenes. From Don’s carousel speech in Mad Men to Christopher’s disastrous intervention in The Sopranos, these are the greatest scenes from TV dramas.

Vic Mackey Murders Terry Crowley

The Shield

Vic and Shane looking down in The Shield pilot

In its pilot episode, The Shield set itself apart from other cop shows right out of the gate. The episode sees Internal Affairs investigator Terry Crowley infiltrating Vic Mackey’s corrupt Strike Team to build a case against them. Initially, it seems as though Terry will be the protagonist of the show, going undercover to take down Vic.

But in the pilot’s shocking final moments, Vic murders Terry and frames a drug dealer for the killing. The undercover cop isn’t our protagonist; the corrupt one is.

Asher’s Meltdown

The Curse

Whitney looking terrified at Asher in The Curse
Whitney looking terrified at Asher in The Curse

When Nathan Fielder made his dramatic acting debut alongside one of the best performances of Emma Stone’s career, some critics opined that the Nathan for You prankster didn’t have the chops to go toe-to-toe with Stone. But those critics quickly changed their tune after The Curse aired its penultimate episode.

In the climactic moments, Fielder’s Asher confronts Stone’s Whitney about a cut of their reality show deliberately meant to humiliate him. Rather than getting angry like she wants him to, he doubles down on his worship and his obsession and his humiliation fetish. Whitney trembles in a stunned silence, mirroring the audience’s own reaction, as Asher melts down in front of her.

Discovering Laura Palmer’s Body

Twin Peaks

Truman, Doc Hayward and Laura Palmer on Twin Peaks
A still from the pilot episode of Twin Peaks as Truman watches as Doc Hayward pulls back the plastic from Laura’s face.

There were plenty of perfect scenes in David Lynch and Mark Frost’s supernatural soap opera Twin Peaks, but the one that got viewers hooked from the get-go was the discovery of Laura Palmer’s body in the pilot episode. The titular town seemed so quaint and sleepy, but this corpse hinted at its creepy underbelly.

This inciting incident didn’t just set up the plot that would bring Dale Cooper to town; it also established the show’s unique atmosphere. It’s an eerie, almost horror-like inversion of a small-town soap.

Tony Picks Up AJ From The Police Station

The Sopranos

Tony yells at AJ in The Sopranos
Tony yells at AJ in The Sopranos

We start to see the impact of Tony Soprano’s criminal lifestyle on his son when AJ tries to kill Junior to avenge his dad. After AJ is caught with a knife at Junior’s nursing home, Tony has to pick him up from the police station. The genius of James Gandolfini’s performance is encapsulated in this scene.

Gandolfini conveys disappointment and compassion simultaneously. Tony is both touched that AJ wants to honor him and heartbroken that he went down the path of violence. Tony is clearly let down, but he still deeply cares about his son.

Lalo Kills Howard

Better Call Saul

Lalo approaches Howard in Better Call Saul
Lalo approaches Howard in Better Call Saul

The first half of Better Call Saul’s final season played a lot like The Sting, with Jimmy and Kim pulling off a series of elaborate pranks to destroy Howard’s reputation and force him to settle the Sandpiper case. But it ended in a much more harrowing tragedy than the Paul Newman/Robert Redford caper.

When Howard comes to confront Jimmy and Kim, Lalo Salamanca enters the picture. This whole sequence building up to Lalo shooting Howard like it’s nothing is still one of the most intense things I’ve ever seen. The actors all play the horror of it perfectly.

Sam Rockwell’s Monologue

The White Lotus

Frank (Sam Rockwell), Rick's friend in The White Lotus Season 3 Ep 5
Frank (Sam Rockwell), Rick’s friend in The White Lotus Season 3 Ep 5

Sam Rockwell’s surprise appearance was the best part of The White Lotus’ weakest season. When Walton Goggins’ Rick stops by a fancy hotel bar to see his old friend, Rockwell’s Frank fills him in on what he’s been up to in Thailand.

Everything about this scene, from Rockwell’s delivery to Goggins’ disturbed reactions to the juxtaposition of a classy setting with Frank’s tales of debauchery, is pitch-perfect. This scene came completely out of left field and ended up being the highlight of the whole season.

Desmond’s Phone Call With Penny

Lost

Desmond on the phone looking manic in Lost
Desmond on the phone looking manic in Lost

Widely considered to be Lost’s greatest episode, “The Constant” is both a fascinating exploration of time-travel paradoxes and an ode to the power of love. Desmond spends the whole episode flashing between 1996 and 2004, desperately trying to stabilize his place in the spacetime continuum.

The emotional climax of the episode is a phone call. Desmond finally connects with his “constant,” Penny, who’s been searching for him for years. It’s both a well-earned resolution to the plot and a heartwarming romantic moment.

Walt Calls To Absolve Skyler

Breaking Bad

Walt on the phone in Breaking Bad
Walt on the phone in Breaking Bad

The third-to-last episode of Breaking Bad, “Ozymandias,” is one of the greatest hours of television ever produced. It’s the action-packed climax of the series, where Walt’s criminal empire crumbles and his two worlds come crashing together with disastrous consequences. In the episode’s most shocking scene, Walt kidnaps his baby daughter Holly to take on the lam with him.

However, when Holly cries out for mama, Walt has a change of heart. He calls Skyler, knowing the police will be listening in, and makes up a cock-and-bull story to absolve her of her involvement in his crimes. Bryan Cranston nails this performance-within-a-performance: the mix of Walt’s fake viciousness over the phone and the real heartbreak he’s holding back.

Easy Company Liberates A Concentration Camp

Band of Brothers

Easy Company at a concentration camp in Band of Brothers episode 9
Easy Company at a concentration camp in Band of Brothers episode 9

If you’re telling a story set during World War II, the quickest way to cut to the audience’s bone is to take them inside the walls of a concentration camp. In Band of Brothers’ most harrowing scene, Easy Company comes across an abandoned concentration camp, still filled with emaciated prisoners, and liberates them.

Not only is this scene an accurate recreation of the real historical event, and a powerful piece of visual drama; it’s also a crucial stepping stone in the story. By this point, the soldiers have all become disillusioned with the war. But seeing the unspeakable horrors of the Nazi regime up close reminds them why they’re fighting.

Mad Men

Don pitches the carousel in Mad Men
Don pitches the carousel in Mad Men

In real life, advertising is a soulless, artless medium. But Mad Men had an uncanny ability to mix some passion and humanity into the industry. In the season 1 finale, when Don pitches Kodak a campaign for their carousel slide projector, he uses photos of his own family’s precious memories to convey the beauty and intimacy of a home-brewed slideshow.

Don is even moved by his own pitch. Seeing these touching moments from his life with his wife and kids evokes a powerful sense of nostalgia and reminds him of the importance of family.



This story originally appeared on Screenrant

Akon arrested in Atlanta on a bench warrant but tour continues

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Akon, the singer known for “Smack That” and other hits, was arrested last week in Atlanta on an outstanding warrant, according to multiple local reports.

Police were alerted to Akon’s location last Friday by a surveillance camera outside a window-tinting business in DeKalb County, according to Fox5 Atlanta. He was arrested on a bench warrant in the late morning, transferred between jails, then released just six hours later, Page Six reported. His vehicle wasn’t impounded, CBS News said.

The warrant stems from a September incident that found Akon, whose legal name is Aliaune Badara Thiam, stranded in his white Tesla Cybertruck in Fulton County. His battery was dead, Page Six said. Akon was cited at that time for driving with a suspended license that was linked to his failure to appear at an unrelated court case in 2023.

The singer’s wife, Tomeka Thiam, filed for divorce in early September, seeking joint legal custody of their 17-year-old daughter Journey, with Akon allowed visitation, according to People. The documents were filed Sept. 11, right before what would have been their 29th anniversary.

Since his arrest, the “Right Now (Na Na Na) singer has been on tour in India, hitting Delhi last Sunday. He has shows coming up in Bengalaru on Friday and Mumbai this coming Sunday.



This story originally appeared on LA Times

‘SNL’ Goes Country With ‘I Miss My Ex’s Dad’ Song Sketch

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SNL has a country hit in the making with “I Miss My Ex’s Dad,” a musical parody starring new cast members Ben Marshall and Tommy Brennan as a convincing country duo. The pair reminisce about relationships lost in a pre-taped sketch that aired Saturday night (Nov. 15) on the late-night comedy show’s latest episode, hosted by actor Glen Powell.

“You ever miss someone much you lose sight of yourself?” Brennan asks at the bar.

“You think about them all the time and you wonder if life will ever seem normal again,” adds Marshall, sitting on the hood of a pickup truck.

“Haven’t felt the same since you’ve been gone/ Everyone else just feels so wrong/ By now I thought I’d be over you/ At the bottom of this bottle, I’ll know what to do/ I don’t know what else to say/ I just wanna hear about your day/ I can’t stop thinking ‘bout what we had,” they sing, and then comes the kicker comes in: “Oh man, I miss my ex’s dad.”

Glen Powell and Kenan Thompson play the beloved dads who’ve inspired the country duet.

“Your socks, your Crocs/ You’re the ideal male with your ponytail,” vocalists Marshall and Brennan lament on the chorus, which has the guys admitting, “I don’t miss his daughter at all, which I know is bad/ I just miss my ex’s dad.”

“Your grill, your Buick/ You’re the ideal man with your cardigans,” they sing later on. “Don’t remember his daughter’s name, which I know is bad/ I just miss my ex’s dad.”

As it turns out, the feeling is mutual. “I wish her new boyfriend was dead,” the dads (Powell and Thompson) sing.

Watch SNL‘s “I Miss My Ex’s Dad” music sketch below. Making her Saturday Night Live debut, Olivia Dean appeared as the actual musical guest on this weekend’s episode, performing “Man I Need” and “Let Alone the One You Love.”



This story originally appeared on Billboard

Was Robert In Love With Debra? All the Scenes and Evidence

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Everybody Loves Raymond will celebrate the 30th anniversary of its series premiere in 2026, and the cast is getting a head start. The ensemble will reunite for a new special airing on November 24. Over the sitcom’s nine seasons, viewers shared many laughs (and even a few tears) with the Barone family.

Debra (Patricia Heaton) was married to Ray Barone (Ray Romano), but their relationship was far from perfect. The couple got into countless fights, mainly over Ray being a lazy husband — and that’s an understatement. One topic of discussion that is continually debated to this day is whether Robert (Brad Garrett), Ray’s older brother, was in love with Debra.




This story originally appeared on TV Insider

OpenAI rolls out GPT-5.1 to refine ChatGPT with adaptive reasoning and personalization – Computerworld

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In a separate Substack post, OpenAI CEO for Applications, Fidji Simo, said these chat models are “trained using the same stack as our reasoning models,” adding that they “score higher on factuality and complex problem-solving than GPT-5, while also introducing a more natural, conversational tone.”

The update expands ChatGPT’s personalization controls with presets such as professional, friendly, candid, quirky, efficient, cynical, and nerdy, and aims to improve the reliability of custom instructions so they persist across multi-turn conversations.

Implications for enterprises

Analysts point out that the real story with GPT-5.1 is not the headline features but the subtle behavioral shifts that remove a lot of the friction enterprises quietly learned to live with this past year.



This story originally appeared on Computerworld

Get one year of Headspace for only $35 in this Black Friday deal

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Meditation app Headspace is bringing back one of its biggest annual deals this Black Friday. Through December 4, you’ll be able to get 50 percent off the regular annual subscription price, bringing a full year of guided meditations, sleep sounds and mindfulness tools down to $35 per year. If you’ve been looking to build a better daily routine, this discount makes it easier to start.

Headspace has become one of the most recognizable names in digital mindfulness. The app blends practical meditation guidance with structured courses and calming soundscapes designed to make everyday stress easier to manage. Its programs cover everything from beginner-friendly introductions to mindfulness to focused content on topics like anxiety, productivity and sleep.

Headspace

Subscribers get access to hundreds of guided sessions led by the Headspace team, including short daily practices that can be completed in a few spare minutes, plus longer courses that help build consistency. The app’s Sleepcasts and soundscapes are unique, designed to create a steady nighttime routine that promotes better rest. For mornings, there are breathing exercises and motivational mini-sessions that can help set focus for the day ahead.

Headspace also includes personalized progress tracking, mood check-ins and optional reminders that make it easier to stay consistent with your new mindfulness habits. For anyone new to meditation, the app’s clear structure is a major strength. You don’t have to know where to start, since it suggests sessions based on your goals or current mood.

This annual deal is ideal for users who want to stick with mindfulness practice over time, or anyone interested in incorporating a new habit into their lives. Paying for the year upfront typically saves money compared with the monthly plan, and the discount brings that cost down even further. Whether you’re learning the basics of meditation or refining an existing routine, the full library provides enough variety to keep things engaging throughout the year.

If you’re still comparing wellness apps, check out our guide to the best meditation apps to see how Headspace stacks up against other options. But for those ready to commit to a calmer routine, this annual offer is one of the simplest ways to start the habit at a lower cost.



This story originally appeared on Engadget

LaToya Forever Reveals Her Secret To Reversing Heat Damage And Loving Natural Hair

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Instagram/@latoyaforever

LaToya Forever, the well-known and popular lifestyle influencer, has really specified a great reason behind the transformation in her natural hair journey and at the same time, she has also tagged the Shea Moisture Bond Repair Leave-In Conditioner, as the ‘hero’ responsible for the rebirth of her heat-damaged curls and for giving her hair that ‘bouncy, cute, and cooperating’ look.

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It is an uphill task to go through the natural hair journey. Nothing less than patience and lots of trials and errors were needed by LaToya Forever. But now she claims to have an amazing product that took her by surprise from her very first use. In her long video, LaToya showed her strict wash day routine which she humorously refers to as ‘time sheet.’ She portrays herself as punching in for a procedure that has consuming vitamins, applying hair oils, and scalp massages as the main activities. The Shea Moisture Bond Repair Leave-In Conditioner is the lavender-scented newest addition to the family of products that live together. The first result was so impressive that LaToya did not think twice before running back for the entire four-step Bond Repair System. Her intention is not concealed; she is not only growing hair but also making it very strong, soft, and flourishing.

LaToya brought to light the hardships she faced during her hair journey, especially the bad heat damage in the front area of her head. She humorously states that her hair at that point was ‘giving, pray for me’ and required ‘holy water’ to reclaim its old glory. But now, the contrast is drastic. On her right side, the previously ‘struggling’ curls have been transformed into lovely spirals now. She believes that she has accomplished the reversal of damage. The leave-in conditioner is potent because it strengthens the internal bonds of the hair, thereby, letting the curls bounce back. The result is hair that is fine, soft, and juicy—not crunchy or crispy. LaToya is very adamant that while length may be good, healthy hair is the ‘real flex’.

The reactions from her followers were supportive and immediately expressed. One of them, for instance, remarked the difference with his own eyes and said, ‘That’s why your hairs been looking so good! 👏👏👏’ This feedback perfectly illustrates how the change in LaToya’s hair has been noticed and even rewarded by her audience.

Another person admitted being charmed by LaToya’s pretty words, ‘Omg 😆 this is soooooooo cute and engaging!!!! I absolutely love ur content sis. 🔥’ LaToya’s relatable and humorous storytelling about hair care problems and wins has certainly resonated with the people, making the often tedious and draining natural hair care routine seem like one shared and celebrated. Her reply was a concise and appreciative ‘thank you!!’

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LaToya not only endorsed the product but also gave her followers very doable and useful advice. She highlights the company’s being at Walmart and furthermore, tells about a special offer of a money-back guarantee on the purchase. The change from being in a heat-damaged hair disaster to having defined, easy-going curls is a powerful confirmation of the message. It shows a truth that naturally encountered by many in the natural hair community: the right product can transform a struggle into success. LaToya Forever has discovered not only the product that works for her, but also that she has encouraged others to trust their hair’s amazing comeback story. In a recent candid video, she revealed a dramatic transformation of her own. Her popular family Halloween costume was also a huge hit with fans. She often shares wisdom from her family, including advice from her niece Samia. Recently, she has also declared war on her multiplying grays.




This story originally appeared on Celebrityinsider

UC nurses cancel strike plans after reaching deal with university

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A planned labor strike by University of California nurses has been called off after the university system and the nurses’ union reached a tentative deal on pay and benefits, both groups announced Sunday.

The four-year deal, between UC and the California Nurses Assn., covers some 25,000 registered nurses working across 19 UC facilities. The two groups had been bargaining over a new contract since June.

The deal follows another one announced on Nov. 8 between UC and the University Professional and Technical Employees union, which represents 21,000 healthcare, research and technical professionals across the UC system. Those groups had been negotiating a new contract for 17 months.

The nurses’ union had planned to strike Monday and Tuesday in solidarity with a third union, AFSCME 3299, which represents patient care technical workers, custodians, food service employees, security guards, secretaries and other workers at UC hospitals and campuses.

Kristan Delmarty, a registered nurse at UCLA Santa Monica and member of the nurses association’s board of directors and bargaining team, said the union “organized for and won important patient protections” in the deal — which she said nurses will vote to approve this week.

“Going into this round of bargaining, it was our priority to ensure UC nurses were given the resources to care for our patients and ourselves after years of short-staffing and under-resourcing,” she said. “We achieved our goal and now we stand together with our AFSCME colleagues, whose essential work demands the same resources guaranteed by a fair contract.”

The nurses association said thousands of its members still planned to join AFSCME picket lines “while not on work time.”

UC officials also lauded the deal. Missy Matella, associate vice president for systemwide employee and labor relations, said it “reflects the tireless work and collaboration of UC’s bargaining team, medical center leaders, and systemwide leadership working hand in hand with our dedicated nurses.”

“We’re grateful to the nurses and the CNA bargaining team for their partnership and shared commitment to what matters most: our patients and the UC community,” Matella said. “This strong, forward-looking deal honors the vital role nurses play in delivering exceptional care and advancing UC’s public service mission.”

AFSCME 3299 was still planning to strike. On Sunday morning, it posted a video to social media of members readying strike signs.

“When we show up together, we win together. This is for our families, our patients, and for the future we deserve!” the group wrote on X. “Members and allies, bring your energy, see you on the line!”



This story originally appeared on LA Times

How a Stocks and Shares ISA could supercharge your passive income

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Image source: Getty Images

A Stocks and Shares ISA allows investors to collect tax-free dividend income. And with the UK Budget rapidly approaching, thinking about this might be more important than ever.

There are reports that the Chancellor is considering increasing dividend tax. Investors won’t know for sure for another 10 days, but it’s worth being prepared in any event.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

Dividend taxes

Since 2023, the dividend allowance – the amount investors can receive without having to pay tax has fallen from £2,000 to £1,000 to £500. That means higher taxes for those who qualify.

Dividends received from investments held in a Stocks and Shares ISA however, aren’t eligible for tax. So investors get to keep more of the income generated by their investments. 

Basic rate taxpayers currently pay 8.75% on dividends eligible for tax. But the Resolution Foundation – an influential think tank – is pushing for this to increase to at least 16.5%.

This is something that investors looking to build a passive income portfolio need to think carefully about. Over time, the difference between investing in an ISA and not could be huge.

Passive income

As an example, consider Admiral (LSE:ADM) – a FTSE 100 stock with a dividend yield of 5.5%. That means an investment worth £18,182 generates £1,000 a year in passive income.

Reinvesting dividends at this rate for 30 years turns that into a portfolio worth £94,317. But the result of doing this while paying 16.5% tax on dividends over £500 is just £71,668.

In terms of passive income, the difference after 30 years is huge. The investor who uses an ISA earns annual dividends worth £5,036, while the investor who doesn’t gets only £3,374 a year. 

The potential for an increase in dividend tax means the case for investing using a Stocks and Shares ISA has never been stronger. But the question for investors is which stocks to buy in it.

Insurance

Despite their high dividend yields, I usually think insurance stocks are too risky from an investment perspective. But Admiral’s a rare example of one that I think is worth serious consideration.

Inflation pushing up the cost of car repairs is a constant threat to profit margins and Admiral isn’t exempt from this. That’s something investors need to keep an eye on in the near term.

Car insurance though, is non-optional for people if they want to drive. And contracts don’t last long, which allows carriers to offset inflation with price increases relatively quickly.

Admiral’s technology and telematics data give it a clear advantage over competitors. As a result, it consistently achieves better underwriting margins than other insurers. 

Long-term investing

A durable competitive advantage in an indispensable industry is a powerful long-term combination. But investors also need to think about how to keep their returns. 

With those reports circulating that dividend tax increases might be on the cards, figuring out how to protect investment returns is more important than ever. 

We’ll find out soon enough whether any changes are on the cards. But even if things stay the same, a Stocks and Shares ISA can give investors a valuable boost to their passive income.



This story originally appeared on Motley Fool