Have we done the 2019/2020 version of.....

[SimonMac]

How much of a salary are we paying ourselves this year?

[SimonMac]

If I have done my sums right....

£12,500 salary = £12,035.84 in your pocket and £997.94 to the tax man for a total of £13,033.78

£13,033.78 = £8632 salary + £4041.78 to be taxed for CT (£836.43) gives a dividend of £3,565.44 (minus 7.5% dividend tax of £267.41) = £11,930.03 in your pocket

[northernladuk]

If I have done my sums right....

£12,500 salary = £12,035.84 in your pocket and £997.94 to the tax man for a total of £13,033.78

£13,033.78 = £8632 salary + £4041.78 to be taxed for CT (£836.43) gives a dividend of £3,565.44 (minus 7.5% dividend tax of £267.41) = £11,930.03 in your pocket

Nice little page here which discusses the different strategies and numbers.

Best combination for salary and dividends in 2019/20 - The Friendly Accountants

[Lance]

according to my accountant I shall pay myself £8,632 (£719.33 per month).
And take dividends up to £41,368 to be below the 32.5% tax rate.

Which is the same as strategy 1 in the link NLUK posted.



/thread

[GhostofTarbera]

Inside or outside IR35?


Sent from my iPhone using Contractor UK Forum

[BrilloPad]

There will not be a 20/21 version. You will all be permies by then.