Paying Dividends
CJW
Registered Posts: 10 New contributor 🐸
Hello all,
Please can anyone briefly explain the monthly procedure for a director of his/her own Ltd company on how they can pay themselves a low / minimum wage and also a dividend each month.
I expect the payroll to be run as normall and then to complete the yellow payment slip / book accordingly to be issued with a payment for any tax/nic due.
Although, how do you record the dividends, and what paper work should be issued etc?
Thanks in advance.:confused1:
CJ
Please can anyone briefly explain the monthly procedure for a director of his/her own Ltd company on how they can pay themselves a low / minimum wage and also a dividend each month.
I expect the payroll to be run as normall and then to complete the yellow payment slip / book accordingly to be issued with a payment for any tax/nic due.
Although, how do you record the dividends, and what paper work should be issued etc?
Thanks in advance.:confused1:
CJ
0
Comments
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You should record the decision to declare a dividend as a board minute and provide each shareholder with a dividend voucher.0
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Hi Dean,
Thanks for the reply. I appreciate your time. I know you are a valued contributor to the forum.
Does the dividend voucher have to be of any specific format? Is there a formal template?
Any other pointers or potential pitfalls you can think off?
Thanks,
CJ.0 -
I use a spreasheet which calculates the amount due to the various shareholders that's linked to an individual voucher which goes off to their respective accountants each tax year.
I designed it myself and it does the job.0 -
CJ
I have sent a PM on this
Poodle0
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