Roughly what money do you get back when renting accomodation?

[TykeMerc]

Nope.

It comes out of his income before he is taxed.

Or it's subtracted from his gross income then he's taxed on what is left.

To avoid living in sh*tholes I suggest you work out what rate you would like then add the accommodation expense on it for reasonable accommodation. Life is too short to stay in sh*tholes for long...........

Even if you are in London you should be able to find somewhere decent where you can be someone's Monday-Friday lodger for a reasonable amount.

That's how I look at it.

The company pays for my accommodation when I'm on site, that reduces the amount of profit that I can draw on as dividends. It's a cost of doing business just like other business expenses.

[Wanderer]

Technically, no it does not come out of YOUR pocket. It comes out of your companies "pocket".

This in turn reduces the amount of money that you can extract from your company into your pocket.

Yes, technically correct but I see my company's money as my money because ultimately I am the sole director/shareholder.

I think the only time to really rip it on company expenses is when you aren't a major shareholder.

[SueEllen]

Yes, technically correct but I see my company's money as my money because ultimately I am the sole director/shareholder.

I think the only time to really rip it on company expenses is when you aren't a major shareholder.

The guy living it up may "live" at his parents' home therefore getting his company to pay his rent is a bonus for him.

Remember not everyone is in the same situation.

[Ignis Fatuus]

Yes, technically correct but I see my company's money as my money because ultimately I am the sole director/shareholder.

Wrong I'm afraid. Some of it is Hector's money.

[moomoo]

Thanks all!

I am right then to have always thought its my money Im spending on accomodation. I would say some contractors Ive worked with def don't realise that.

I always wonder why when I earn pretty good money (but move around a bit) I end up living in horrible flats.

Anyhow, I just need to think that what ever the rent is I could get roughly 20% discount (I 'live' somewhere else see) meaning if Im happy to spend £480 for a place out of my own money (my Ltd company money is my money) then I could get a place for £600.

re: guy in caravan: Ive actually considered living in a big touring caravan cos I live in a lovely big static between contracts. No camps sites near where Im working at the mo tho - I know cos I looked into it!