Student Loans

[SueEllen]

Old style or new style?

Old style if your income is under £25,936 you don't have to pay.

Get your accountant to write a letter stating what your salary is for that year. Most of the contractor accountants are used to do it, so have a standard letter on file. They may or may not charge you for this.

New style repayments only kick in when your income is over £15,000 and it's up to you through self-assessment to calculate if your income is above this and tell HMRC what you should be paying back. Again your accountant would normally do the calculation for you.

It's an offence to mislead the loans company on your income but to be honest as they are a complete shambles you can easily, particularly if you have an old style loan, not pay it off.

[thelurker]

Hi,

Does anyone know how to avoid paying student loan contributions when working through a Ltd company?

Is there a minimum allowance to before the contributions kick in?

Cheers