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Marc Stock

Going Ltd in April
« on: January 23, 2017, 05:55:47 pm »
Well then, it's finally happened. I am officially becoming a ltd company in April 2017.   ;D

mark coates

  • Posts: 91
Re: Going Ltd in April
« Reply #1 on: January 23, 2017, 09:17:42 pm »
Cool. What are the benefits?

Shrek

  • Posts: 3931
Re: Going Ltd in April
« Reply #2 on: January 23, 2017, 09:21:45 pm »
Low wages and tax free dividends!

8weekly

Re: Going Ltd in April
« Reply #3 on: January 23, 2017, 09:53:02 pm »
Low wages and tax free dividends!
Not any more.

Tom-01

  • Posts: 1349
Re: Going Ltd in April
« Reply #4 on: January 23, 2017, 10:38:10 pm »
Its just slightly, ever so slightly better than being PAYE.. soon there won't be any difference.

steve rix

  • Posts: 816
Re: Going Ltd in April
« Reply #5 on: January 23, 2017, 11:46:49 pm »
Be careful, your accountant no lomger works for you but hmrc!

deeege

  • Posts: 5116
Re: Going Ltd in April
« Reply #6 on: January 24, 2017, 07:32:59 am »
Low wages and tax free dividends!

Don't forget your corporation tax!
"....and it's lend me ten pounds, I'll buy you a drink, and mother wake me early in the morning."

Og

Re: Going Ltd in April
« Reply #7 on: January 24, 2017, 08:45:41 am »
We've just done it too. Gonna be a headache for first few months I reckon.

Marc Stock

Re: Going Ltd in April
« Reply #8 on: January 24, 2017, 09:48:07 am »
Its more of a case of needing to go Ltd. I have simplified my life a bit, reduced my outgoings and sold off work that isn't profitable for me anymore thus taking my turnover down to around £48k, will be looking to build it up now without it directly affecting my personal tax liability, and i can grow the business easier. Me and my wife can take 11k a year each out of the company on payrol and thats enough for our bills and living costs (just) and all profits are being folded back into the business to grow it.

Plus there are other business activities i am persuing, and the Ltd company i have formed will be the company that drives that along with the window cleaning business together. Bramar Ltd  will own and trade as StockClean, and other business ventures will be directly as Bramar Ltd. 

Shrek

  • Posts: 3931
Re: Going Ltd in April
« Reply #9 on: January 24, 2017, 01:38:08 pm »
Low wages and tax free dividends!

Don't forget your corporation tax!

Isn't it 20%? Going down to 17%??  ;D

Og

Re: Going Ltd in April
« Reply #10 on: January 24, 2017, 05:48:14 pm »
Tax free dividends of five grand?
Not bad if two of you can do it.

Re: Going Ltd in April
« Reply #11 on: January 24, 2017, 05:55:22 pm »
Being Ltd is fantastic. If you can afford a decent accountant, they are worth every penny. You get a low wage, dividends, low NI and of course, just give yourself a 0% loan every now and again.

Stoots

  • Posts: 6374
Re: Going Ltd in April
« Reply #12 on: January 24, 2017, 05:56:40 pm »
At what point is going Ltd worth it?

Im guessing its when you hit the higher rate tax threshold?

Lakes and Pennine

  • Posts: 272
Re: Going Ltd in April
« Reply #13 on: January 24, 2017, 09:11:40 pm »
Thinking of this as well. Was Ltd in another business 13 years ago. Got to think of bank charges as well