Example cash flow

[TheFaQQer]

Expenses of £800pm seems a bit high. Even when I was commuting into London I wasn't taking that much out for expenses.

Expenses of £800pm seems a bit low. When I was working on a project in London I was taking that much out for rent each month.

[jgy6000]

Thanks for the feedback everyone

The 50 working weeks was just and axample for the sake of the calculation and simplicity, and so was the expenses. I understand i will probably work less and my expenses will fluctuate month to month. Same again for the banking, if its free then thats fine.

What i wanted to gain from my first post was if the methodology of the cashflow was correct and i hadnt missed anything

Thanks

[VectraMan]

Pay myself a salary of £891.04 (£10692 for year)

So out of the £40,000 I’m drawing £20,292 as a salary

Which is it?

So my net gain from salary/expenses/ dividends is £33,945.25 into my personal bank account

Surprised nobody picked that up. Expenses aren't a net gain. They're neutral (although in reality you can gain a bit). So your net gain is whichever figure you decide on for you salary, plus the dividends, minus any tax you have to pay on the dividends if you go into the upper rate (which you won't on those numbers).

[jgy6000]

Thanks, original post edited for acuracy!