From April 2017, we recommend directors take a monthly salary of £680. This salary ensures you receive a ‘qualifying year’ of National Insurance Contributions towards your State Pension, but without the need to pay any contributions. This salary is also below your Personal Allowance of £11,500 for tax purposes.
If you are taking a directors salary you will need to submit ‘Real Time information’ (RTI) to HMRC. We can help you with this, just give us a call 01273 739592.