Paying yourself from your business whilst still employed

[pete_esp]

I’m sure the correct answer is to speak to an accountant which I’ll be doing in due course but thought I’d ask here to get an idea of what questions to ask, pitfalls to be aware of etc.

Basically I have a business that runs quietly in the background whilst I get on with my day to day job where I work as an employee on paye.

I’m a higher level tax payer in Scotland, the business gets 10% corporate tax and so the question is dividends vs salary or is there some sweet spot between the 2?

[Eric Mc]

You need to talk to a SCOTTISH accountant.

[Simpo Two]

Eric Mc said:

You need to talk to a SCOTTISH accountant.

That would be not Eric Mc then but his cousin McEric

[pete_esp]

Eric Mc said:

You need to talk to a SCOTTISH accountant.

Well I’m not going to discriminate I’ll happily talk to an English one that knows Scottish tax laws

[Sheepshanks]

What kind of amount are you thinking of taking? Need to think about both employee and employers NI and together they could be quite significant so think about those too, and not just tax.