I've been contracting through my Ltd for 13 years.
When the Ltd was setup, I started with nothing in the company account, work performed, invoices sent and paid etc.
Since I've been inside IR35, 95% of revenue was paid as salary/pension. 5% profit, some expenses etc, small amount of corp tax paid on the remainder.
Now I'm in a position that the company has more retained profit than I have cash in the bank. The difference is around 15k.
I've just switched accountant for the first time, and have asked the new accountant to look into it, but my question; is this normal?
My simple understanding of a typical year; 100K revenue, Salary/Pension: 95k, Corp tax: 950 = 4k retained profit.
What am I missing? (besides 15k! )
When the Ltd was setup, I started with nothing in the company account, work performed, invoices sent and paid etc.
Since I've been inside IR35, 95% of revenue was paid as salary/pension. 5% profit, some expenses etc, small amount of corp tax paid on the remainder.
Now I'm in a position that the company has more retained profit than I have cash in the bank. The difference is around 15k.
I've just switched accountant for the first time, and have asked the new accountant to look into it, but my question; is this normal?
My simple understanding of a typical year; 100K revenue, Salary/Pension: 95k, Corp tax: 950 = 4k retained profit.
What am I missing? (besides 15k! )
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