Dividends................timing

[NorthWestPerm2Contr]

Only downside I can see to taking a large dividend at the start of the year is if you end up going permie* in that year, you won't be able to control your income in quite the same way and will probably end up paying upper rate tax on it. At the end of the year you know exactly where you stand with tax.

*I say this as someone who's going permie at the start of May.

*Why on earth would you do that to yourself?

[VectraMan]

Only downside I can see to taking a large dividend at the start of the year is if you end up going permie* in that year, you won't be able to control your income in quite the same way and will probably end up paying upper rate tax on it. At the end of the year you know exactly where you stand with tax.

*I say this as someone who's going permie at the start of May.

[Danielsjdaccountancy]

How about taking it monthly? If you keep records of your company profits on a monthly basis then there is nothing to stop you voting this, that way helping you to keep better control on your cash flow.

[Mehmeh]

yea, totally... I have a fair amount retained from previous years which I plan on withdrawing.

So no downside to rewarding my shareholders with another dividend? (Even after issuing a rather large one about a week ago)

[Fred Bloggs]

Just remember that dividends must be paid from profits.

[Mehmeh]

Boys and girls,

Just a quick and simple question really.

How do you guys take out your dividends? Last 2 years I've paid myself minimum and then taken a massive dividend at the end of year.

But must be better to get it all out at the start of the tax year to start getting that interest?

Any downsides to maxing out your dividend on day 1 of the new tax year?

:-) It's sunny!