Accountant payroll bad advice

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BolshieBastard replied

18 January 2009, 15:26
£300 isnt even a decent day rate. I wouldnt worry about it too much. It'll cost you more in time and money to get the £300 back. And for what, to say you saved £300!?

Just change your accountant for a better one and chalk it up to experience.
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contractor79 replied

18 January 2009, 14:50
Originally posted by moorfield View Post

Yes - Do the numbers yourself - it's not hard to work out how much salary + divis you can pay yourself each year - all the tax tables etc. are freely available. IMO you should be telling your accountant how much divi you want to take, not the other way round. And TBH +/- £300 is not a bad margin of error.

I disagree
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chris79 replied

18 January 2009, 00:36
Originally posted by moorfield View Post

Yes - Do the numbers yourself - it's not hard to work out how much salary + divis you can pay yourself each year - all the tax tables etc. are freely available. IMO you should be telling your accountant how much divi you want to take, not the other way round. And TBH +/- £300 is not a bad margin of error.

Unless he asked his accountant what the figures were in the first place, only for them to screw this part up.
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moorfield replied

17 January 2009, 21:16
Originally posted by contractor79 View Post

Hi
My accountant has just done my self assessment tax return and I'm shocked to find I owe more than £300! This seems to have come about because they badly advised me of the net amount to pay myself in salary, and then badly advised me of how much to pay myself in dividend resulting in me paying myself about £1200 too much in dividends for which I'm charged 32.5% tax. I didn't want to be higher rate taxpayer.

anything I can do, except for changing my accountants (which I'm in the process of doing?)

Yes - Do the numbers yourself - it's not hard to work out how much salary + divis you can pay yourself each year - all the tax tables etc. are freely available. IMO you should be telling your accountant how much divi you want to take, not the other way round. And TBH +/- £300 is not a bad margin of error.

Last edited by moorfield; 17 January 2009, 21:21.
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jmo21 replied

17 January 2009, 20:55
can you put down the £1200 dividend as a directors loan and pay your company back?
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contractor79 started a topic Accountant payroll bad advice

17 January 2009, 20:01
Accountant payroll bad advice

Hi
My accountant has just done my self assessment tax return and I'm shocked to find I owe more than £300! This seems to have come about because they badly advised me of the net amount to pay myself in salary, and then badly advised me of how much to pay myself in dividend resulting in me paying myself about £1200 too much in dividends for which I'm charged 32.5% tax. I didn't want to be higher rate taxpayer.

anything I can do, except for changing my accountants (which I'm in the process of doing?)
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