Director and/or employee and others

[bkiyer]

Hi

I have just started a limited company with myself as a director and my wife as company secretary.

I will also be working as an employee for the company. Do I have to give director ME a salary and employee ME a salary?.

Is it legal to rent a house at my work location and declare it as a (temporary) branch office?.

Are there any limitation on the % of profit that can be declared as dividend?. Should there be any minimum reserve/surplus be in the company's bank account?.

what happens to the surplus if the company is wound up?.

Should there be any separate PAYE for the director ME and employee ME?.

What reimbursements are applicable to the directors?.

Finally, is it possible to work for myself without a limited company and without the help of umbrella companies or sole company?. does agencies engage and award contract to individuals without a company name?.

I know its too much of questions...but i guess they are all valid questions.

Cheers

[Underscore]

Ask an acountant.

If you don't have one - get one quickly. Try SJD Accountancy.

[silicondale]

Don't be an employee!

If it's not too late, don't give yourself an employment contract or a directors service contract !!

If you do, then you'll be subject to the minimum wage regulations and employers liability insurance will be compulsory. You don't need these contracts.

DO make your wife a director as well. This was one of the key factors in Arctic Systems losing their s660A case. But again, don't give her a service contract.

There are no rules about how much you can pay as dividends, and you can pay interim divis through the year, but you do need to do it properly: if unsure how to do this, then get an accountant to advise you.

Do keep enough cash in the company's bank accounts to cover expected tax bills. Beyond this, it's up to you, but interest rates tend to be higher in personal savings accounts than in business accounts !

Hope that helps !

- Steve

[freshblue]

Trading

And in my experience few if any agencies will accept you as sole trader, way too risky for them and client. Get a ltd co sorted and an accountant.