budgeting / 1 posts found

Remuneration strategy – Salary vs Dividends

by M Tombs
Comments are off for this post.
As an owner-manager, your chief concern will be making your business profitable and building up cash reserves in the company. But you’ll also want to be able to extract funds from the business too – whether this is via a regular monthly salary, or ad-hoc dividend payments. Salary vs dividends is the most common split, but there are a number of different ways of extracting funds from your business, all of which can have different tax and capital impacts – both for you personally and for the company as a whole. Because of this, it’s important to have a clear [...]