SJD Advice on RTI Changes to payroll

[unixman]

Hi Baffle the suggested annual salary fro 2013-14 was £9,350, net.


TBH I don't know whether to go with the SJD recommendation of a single annual salary payment, or continue regular monthly salary. What do you think ?

A single annual salary and monthly dividends does not look great in your tax records IMO. Nothing dodgy about it, it just stands out from the crowd, and you don't want to stand out with HMRC.

Jim

[eek]

Hi Baffle the suggested annual salary fro 2013-14 was £9,350, net.


TBH I don't know whether to go with the SJD recommendation of a single annual salary payment, or continue regular monthly salary. What do you think ?

A single annual salary and monthly dividends does not look great in your tax records IMO. Nothing dodgy about it, it just stands out from the crowd, and you don't want to stand out with HMRC.

Jim

Why do you need monthly dividends? Just change your dividend schedule to something else.

[Baffle]

Hi Baffle the suggested annual salary fro 2013-14 was £9,350, net.


TBH I don't know whether to go with the SJD recommendation of a single annual salary payment, or continue regular monthly salary. What do you think ?

A single annual salary and monthly dividends does not look great in your tax records IMO. Nothing dodgy about it, it just stands out from the crowd, and you don't want to stand out with HMRC.

Jim

Hi Jim,

As far as I am aware HMRC would not see the frequency of your dividend payments, unless you we're investigated anyway.

As far as salary is concerned, I personally opt for monthly. The pure reason being I see no benefit to a single payment as opposed to monthly payments. Despite saving admin time for accountants.

Regards,
Baffle

[northernladuk]

Hi Baffle the suggested annual salary fro 2013-14 was £9,350, net.


TBH I don't know whether to go with the SJD recommendation of a single annual salary payment, or continue regular monthly salary. What do you think ?

A single annual salary and monthly dividends does not look great in your tax records IMO. Nothing dodgy about it, it just stands out from the crowd, and you don't want to stand out with HMRC.

Jim

If you want to be that anal about it the monthly dividends look much worse so you are alreadys standing out from the crowd. What company besides people using a loophole to pay themselves in dividends issues them monthly?

Change them to quarterly or even better yearly to reduce the non existant risk you are worrying about... after all, why pay yourself monthly and leave the rest in a business that is earning no interest whatsoever. Take everything you possibly can as soon as possible, stick it in high interest/offset or whatever and then trickle it out of that makes much more sense.