The Employment Allowance reduces the amount of National Insurance employers have to pay by up to £3,000 per year. So, can your limited company benefit from this tax incentive? … [more]
Employment Allowance – is your limited company eligible?
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Very few contractors regret their decision to break with traditional employment and start out on their own. Our site provides all the information you'll need to operate a successful professional contracting business - whether you're thinking of taking the plunge, or if you're a seasoned pro.
Latest Articles
National Insurance for limited company contractors
In addition to your personal income tax liability, if your contracting salary is above the prevailing thresholds, both you and your company (limited or umbrella) will need to pay National Insurance Contributions to HMRC. … [more]
Dividend tax – limited company guide and examples
The retained profits generated by UK companies of all sizes can be distributed to shareholders. For professional workers (such as contractors, consultants, and freelancers), dividends make up the bulk of income drawn down from small limited … [more]
The optimum salary and dividend levels for 2019/20
Working out the most tax-efficient way to draw down income from your company should be a priority for limited company owners. In this article, we explain how to establish your optimum salary level in 2019/20, what dividends are, and how they are … [more]
How to understand your umbrella company payslip
Contractors receiving their first umbrella company payslip can sometimes find it challenging to understand exactly how their pay has been calculated and what deductions have been made. However, the actual payslip is fairly straightforward to … [more]
What is an Employer PAYE Reference Number (ERN)?
When you first register your company with HMRC as an employer, you’ll receive all sorts of information and reference numbers in your official welcome pack. One to look out for – and keep safe – is your Employer Reference Number (ERN). … [more]
CEST – HMRC’s IR35 status tool – what it does, and why it is flawed
Nothing makes critics of the IR35 'off-payroll' legislation (and there are many) more irate than the mention of CEST - the official online tool which is meant to help determine employment status. … [more]
What expenses can you claim when contracting abroad?
If you're thinking of taking up a job offer overseas, or you're already contracting abroad, one potentially confusing aspect of record-keeping relates to expenses claims. … [more]
Shutting down your company – cessation accounts
There may come a time when you decide that you no longer need your limited company. Here, a leading accountant explains the procedures you must follow when shutting down your business. … [more]
Limited company directors and working from home expenses
As a limited company owner, you may well carry out your trade from home - occasionally, or on a regular basis. Which (if any) household expenses can you legitimately claim against your company's tax bill? … [more]
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