How we saved an Epping company director £13,800 through proper structure
Client B runs a successful Epping consultancy through a Ltd company, taking a high salary out of habit which triggered significant employer and employee NIC, with no dividend planning and no pension contributions. His previous accountant hadn't reviewed the remuneration structure as the company grew.
We restructured the remuneration. We moved him to salary at the NIC-optimal level with the balance as dividends using his allowances and basic-rate band, set up substantial employer pension contributions (tax-deductible for the company, using carry-forward of unused allowance), and reviewed bringing his spouse, who did genuine part-time administrative work, in as a shareholder to use her unused allowances.