Basic limited company information

Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:

You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.

DaveB replied

11 May 2011, 15:05
Originally posted by rollonfriday View Post

Hi

I'm looking for some basic financial advice on limited companies.

If i know what i'm going to earn every month, what my expenses are and what my pension payments are, and how much i want to take home each month, is there a simple calculation that will work if the money left in the account is enough to pay all the taxes I will need to pay?

If you are operating as a Ltd it goes like this.

You get paid against your invoice.
Deduct VAT ( assuming you are registered).
Deduct your legitimate expenses.
Deduct your salary.
Deduct employers NI
Deduct any employers pension contributions.
Calculate Corporation Tax on what is left and deduct that.
Distribute whats left after CT as dividends in whatever proportion you see fit based on your share distribution.

If salary + dividends doesnt cover your living expenses either spend less or find a better paying gig.
Leave a comment:
NotAllThere replied

11 May 2011, 14:02
Moved to a marginally safer area. Though the responses so far have been pretty much spot on.
Leave a comment:
Sockpuppet replied

11 May 2011, 12:24
Originally posted by rollonfriday View Post

Hi

I'm looking for some basic financial advice on limited companies.

If i know what i'm going to earn every month, what my expenses are and what my pension payments are, and how much i want to take home each month, is there a simple calculation that will work if the money left in the account is enough to pay all the taxes I will need to pay?

You're thinking about this the wrong way.

You should be asking if there is enough left to pay your take home. Taxes come before take home, you're not PAYE now.
Leave a comment:
Old Greg replied

11 May 2011, 09:49
Originally posted by Fred Bloggs View Post

You could try a Google for "contractor calculator".

And have a look ath the contract guide links on the right of this page. Also the SJD website has excellent guides for free if you register.

If you need any detailed info on any subject at all, PM northernladuk, who is always very happy to help newbies with questions.
Leave a comment:
Fred Bloggs replied

11 May 2011, 09:46
You could try a Google for contractor calculator".

Last edited by Contractor UK; 12 May 2011, 08:19. Reason: link removed
Leave a comment:
rollonfriday started a topic Basic limited company information

11 May 2011, 09:41
Basic limited company information

Hi

I'm looking for some basic financial advice on limited companies.

If i know what i'm going to earn every month, what my expenses are and what my pension payments are, and how much i want to take home each month, is there a simple calculation that will work if the money left in the account is enough to pay all the taxes I will need to pay?
Tags: None