Hi
I have been contracting via my own Limited Company for over a year now and will be taking time off from April 2018 to have a baby.
I will be contracting under my Ltd company until April next year however bit stuck as to best way forward in order to be in the best financial position while I'm not working.
I am debating a couple of options but not fully sure of their viability:
1. Close down my company from April and start a claim for getting Maternity Allowance. I would live off that plus previous dividend funds gained from working.
I have been paying myself a low salary but not sure if there are any National Insurance implications and i'd have to top up?
Am I able to gain Maternity Allowance if I have saving from dividends?
2. Keep my company running and pay myself statutory maternity pay and also dividends. This seems like an expensive option as I have to pay accountancy fees each month too.
Given the further dividends tax coming into play in April 2018 too I'm leaning towards closing my company down and then once I start working again I'd just go under an Umbrella company.
As an additional query my husband works full time and we'd like to take shared parental leave. Am I entitled to do this if I am unemployed by that point?
Any advice appreciated!
I have been contracting via my own Limited Company for over a year now and will be taking time off from April 2018 to have a baby.
I will be contracting under my Ltd company until April next year however bit stuck as to best way forward in order to be in the best financial position while I'm not working.
I am debating a couple of options but not fully sure of their viability:
1. Close down my company from April and start a claim for getting Maternity Allowance. I would live off that plus previous dividend funds gained from working.
I have been paying myself a low salary but not sure if there are any National Insurance implications and i'd have to top up?
Am I able to gain Maternity Allowance if I have saving from dividends?
2. Keep my company running and pay myself statutory maternity pay and also dividends. This seems like an expensive option as I have to pay accountancy fees each month too.
Given the further dividends tax coming into play in April 2018 too I'm leaning towards closing my company down and then once I start working again I'd just go under an Umbrella company.
As an additional query my husband works full time and we'd like to take shared parental leave. Am I entitled to do this if I am unemployed by that point?
Any advice appreciated!
Comment