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  1. #1

    Still gathering requirements...


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    Default Best salary for 2017/18

    Last year I paid myself 11k salary and NI was about £31 a month.

    Accountant is telling me this year the same salary will be about £62 a month due to a change in NI rules.

    I found an article here that says a lower salary means no NI at all.

    Optimum Directors Salary and Dividends 2017/18 - JF Financial : Online Accountants

    Advice please?

    And northernlad, don't post in this thread unless you have something helpful to say, cheers.

  2. #2

    Should post faster

    Louisa@AardvarkAccounting's Avatar
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    If you are the sole employee through your company, I'd recommend £8,164 per annum, then dividends thereafter.

    If there are two employees through your company, I'd recommend one on a salary of £11,500 and the other on £8,170 per annum. As this way, you can take advantage of the Employment Allowance. Then take dividends thereafter.

    However it does depend on your personal circumstances; future plans, any other personal income, etc.

    The above is just general guidance.
    Last edited by Louisa@AardvarkAccounting; 12th May 2017 at 10:55.

  3. #3

    My post count is Majestic

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    What?
    'CUK forum personality of 2011' - Winner - Yes really!!!!

  4. #4

    I live on CUK

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    It's up to you what you take in salary.

    However some accountants have an idea that if you take below the minimum tax allowance or the minimum wage you are more likely to be investigated.

    In regards to the increased NI it's due to the employers NI allowance not being allowed for one director/employee limited companies.

    Finally banning NLUK was silly as he would have found you links to answer all your queries. And yes get a new accountant who know what they are doing.
    Last edited by SueEllen; 12th May 2017 at 11:01.
    "You’re just a bad memory who doesn’t know when to go away" JR

  5. #5

    I live on CUK

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    Quote Originally Posted by northernladuk View Post
    What?
    It's cos you would say "Ask your accountant."
    "You’re just a bad memory who doesn’t know when to go away" JR

  6. #6

    Still gathering requirements...


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    Ok so I will do 8164 and this means pay zero national insurance every month? Will tell my accountant. I already paid one month at 11k rate for April so I guess I have to adjust the remaining 11 payments

  7. #7

    Double Godlike!


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    Quote Originally Posted by SueEllen View Post
    It's cos you would say "Ask your accountant."
    Which would be valid as his accountant told him something and he didn't question it

    Accountant is telling me this year the same salary will be about £62 a month due to a change in NI rules.

  8. #8

    Old Greg is my bitch's bitch

    northernladyuk's Avatar
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    Quote Originally Posted by genius View Post
    Ok so I will do 8164 and this means pay zero national insurance every month? Will tell my accountant. I already paid one month at 11k rate for April so I guess I have to adjust the remaining 11 payments
    That isn't the optimal salary.
    Where there's muck there's brass.

  9. #9

    Still gathering requirements...


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    Quote Originally Posted by northernladyuk View Post
    That isn't the optimal salary.
    It is according to the link I posted

  10. #10

    My post count is Majestic

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    Quote Originally Posted by SueEllen View Post
    It's cos you would say "Ask your accountant."
    Nah. He's already spoken to his accountant. That would be silly.
    'CUK forum personality of 2011' - Winner - Yes really!!!!

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