From April 2018, we recommend directors take a monthly salary of £702. 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 £11,850 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 on 01273 739 592 and ask to speak to the Payroll team.