As a director of a limited company in the UK, you have flexibility in how you pay yourself. The most tax-efficient approach is often a blend of salary and dividends. In this blog, we will explore the optimum director’s salary for 2025/26, helping you stay...
As a company director, your Director’s National Insurance Contributions work slightly differently compared to regular employees. What is Director’s National Insurance? The National Insurance system requires individuals to make contributions to qualify for...
Owner’s Equity Owner’s equity, also know as shareholders’ equity, represents the residual interest in the assets of a company after deducting it’s liabilities. In real words, it is the portion of a company’s assets that belongs to the...
Happy New Tax Year! As of today, the new UK tax year has officially started. It’s time to get your finances in order, review your tax code and start planning for the year ahead. Whether you’re self-employed, employed or a business owner, this is the...
Key Tax Changes for the 2023/24 Tax Year We’re here to inform you about the Key Tax Changes for the 2023/24 Tax year and how these changes will affect companies, as well as sole traders. National Insurance The introduction of the new “Health and Social...
The Payroll Year will End on the 5th of April 2023 This year’s Payroll Year will end on the 5h of April 2023 and we’re here to help you get prepared for the next Payroll Year, with the dates you need to be aware of and tips to help you get ready. The Dates...
Budget Highlights 2023 The Chancellor presented his Spring Budget on the 15th of March 2023 and we’re here to discuss some of the highlights. The Economy: The OBR expects inflation to fall from 10.7% to 2.9% by the end of 2023. UK economy will shrink by 0.2%...
Married Couple’s Allowance can be transferred between spouses and civil partners, and while 2m couples have claimed this since it was introduced back in 2015, there are many more people who are entitled to claim it. Go back four years The allowance, which is worth up...
Christmas is a time of giving, and you may wish to give your employees a small token of your appreciation for their work during the year. To prevent the gift being accompanied by an unwanted tax liability, you can take advantage of the trivial benefits exemption to...
The Chancellor presented his Autumn Budget and Spending Review on 27 October 2021 and we’re here to discuss some of the highlights. Income tax rates and thresholds The rates and thresholds applying for 2022/23 were confirmed. Personal allowance As...
As part of the Government’s funding strategy for health and social care, the dividend tax rates are to be increased from April 2022, alongside the temporary increases in National Insurance, and, from April 2023, the introduction of the Health and Social Care Levy. The...
The recent ‘pingdemic’ has resulted in large numbers of employees self-isolating. Where an employee meets the qualifying conditions, you must pay them SSP while they are self-isolating. As qualifying periods of self-isolation count as a Coronavirus-absence, if you are...
Unique Taxpayers Reference A UTR is your Unique Taxpayers Reference Number, is what identifies you personally with HMRC. It’s 10 digits in length and is quoted on any correspondence you receive from HMRC, including: Your tax return A Welcome to Self-Assessment letter...
Shareholder disputes often arise on matters such as company strategy, salaries and dividends. Disputes amongst shareholders can cause particular difficulties in smaller businesses where shareholders are also directors and therefore need to make all board level...
If you run your business as a personal or family company, you will need to decide how best to extract profits for your personal use. A typical tax-efficient strategy is to pay yourself a small salary and then extract any further profits as dividends. Where this...
