Whats the benefit of paying yourself small monthly wage

[roadster198]

and not everything you have invoiced for minus your Corp Tax and VAT?

[NotAllThere]

If you pay all the company's potential profit out as salary you'll pay significantly more tax, than if you pay a small salary, and pay dividends on your company profit.

I still have new contractoritis even though I have been doing it now for three years

You've been contracting three years and you don't know this? What drugs are you on? (and where can I get them?)

[roadster198]

If you pay all the company's potential profit out as salary you'll pay significantly more tax, than if you pay a small salary, and pay dividends on your company profit.



You've been contracting three years and you don't know this? What drugs are you on? (and where can I get them?)

Don't think I could survive on a small salary or wait till the end of the year to get my divi. I just pay an accountant to make sure I pay the right money when it's due.

No drugs just R E A L L Y!!! bad with money

[NotAllThere]

You can pay a divvy monthly if you want. So long as it comes out of profit.

"There are no stupid questions. - But there are a lot of inquisitive idiots."

[roadster198]

I have no idea how to run a business.... thats clearly obvious

I assume you can take the remaining money as a divy after corp tax? only that I'll be paying higher corp tax on this?

[malvolio]

If you pay all the company's potential profit out as salary you'll pay significantly more tax, than if you pay a small salary, and pay dividends on your company profit.



You've been contracting three years and you don't know this? What drugs are you on? (and where can I get them?)

Come on, after three years he doesn't know the basics and clearly has no idea how to run a busines so why should he get the tax breaks?

The correct answer, Roadster, is that you are doing exactly the right thing by taking all your income as salary. Well done.

[tim123]

Come on, after three years he doesn't know the basics and clearly has no idea how to run a busines so why should he get the tax breaks?

The correct answer, Roadster, is that you are doing exactly the right thing by taking all your income as salary. Well done.

Except that when he is out of work, he'll have no money to live on, will expect the rock and roll and will be knocking on the door at the social asking them to give him some of my money.

tim

[NotAllThere]

Except that when he is out of work, he'll have no money to live on, will expect the rock and roll and will be knocking on the door at the social asking them to give him some of my money.

tim

See - we're offering a social service. We should get paid for this.

[roadster198]

I'll no be stuck.... Trust me

thats where Daddy will come in (even though I'm 33) being an only child has it's advantages even at this age.

[roadster198]

Except that when he is out of work, he'll have no money to live on, will expect the rock and roll and will be knocking on the door at the social asking them to give him some of my money.

tim

the day I ever have to do that is the day it's all over. Anyway I'm hoping to be dead by 60 as I've no pension to speak of either (well I do but my Dad's still living in it )