Rental application - what salary to enter

[kaidaguerre]

Hi

I'm filling in a rental application form and need to enter my gross salary.

As a contractor paying myself through a limited company, what should I use here - my total expected yearly contract income? The amount I'm paying myself?

Also, can I expect to run into credit checking issues as I have not yet had my first year accounts done?

Thanks,
Kai

[northernladuk]

Put your income down. Divi plus wage.

[psychocandy]

Always a funny one because people just don't understand how it works.

Like NLUK said put entire income down or they wont have a clue.

I've had some funny looks when buying a sofa, for example when they see employer address is same as mine.

(On similar vein, last time I claimed jsa jobcentre sent letter to director of myco at "my address" asking if mr p candy of "my address" had been made redundant).

[BrilloPad]

Who gave you the form? Have you explained your situation to them?

Put dividend plus salary.

When they understand your situation they should be fine with it.

Why aren't you buying? House prices can only go up you know.

[Michael at BI Accountancy]

Put your income down. Divi plus wage.

+1

Also it can help to have your accountant produce an income reference letter, this will allow them to state what reserves you have in the company (which in theory you could take at anytime as dividends).

[Milkyway]

@OP - First check if your new landlord will accept you to register your home address as VAT address
By registering the home address as VAT address, that home address is legally speaking a "Principal place of business".
It may turn out that the landlord may not care about this, so it may be OK, but ensure you have a chat about it this time rather than leaving to later - and if possible get it writing too.

If you don't yet qualify for VAT registration, then you may be ok

[LondonManc]

Who gave you the form? Have you explained your situation to them?

Put dividend plus salary.

When they understand your situation they should be fine with it.

Why aren't you buying? House prices can only go up you know.

Could be working away on a long project - works out cheaper and far more convenient than hotels.

[dynamicsaxcontractor]

I always state the salary that would get me the same net cash as I get from my salary/dividends. So for a £10K salary + 30K Dividend I put in £70K. No one has ever asked any questions and it has always worked fine for me.

[MrWebDev]

+1

Also it can help to have your accountant produce an income reference letter, this will allow them to state what reserves you have in the company (which in theory you could take at anytime as dividends).

I've done the above twice now, makes the process a whole lot easier.

I'd also suggest that you have your company address registered to somewhere such as your accountants otherwise that could also land you in trouble.

[SueEllen]

@OP - First check if your new landlord will accept you to register your home address as VAT address
By registering the home address as VAT address, that home address is legally speaking a "Principal place of business".

Companies House requires you to list your address as the director so it makes no difference as any person or government agency can send letters to you about the company.

However you should use another address as the registered address to keep the landlord happy and to avoid issues when you move.

Also if you do your VAT online and have your accountant down as your agent, you will get about 2 letters a year.