Employer NICs

Gill GittingsGill Gittings Well-KnownPosts: 121Registered
Hello I'm having a blonde moment again :)
In Ltd co accounts does employers national insurance on directors salaries get included in remuneration? My manager has asked me to move it into remuneration but I've always included it seperately.

Any help gratefully appreciated.


  • MonsoonMonsoon Font Of All Knowledge Posts: 4,071FMAAT, AAT Licensed Accountant
    I always include it in the employers ni account, not the directors reumeration. I dunno if that's right but its logical to me!
  • Steve CollingsSteve Collings Experienced Mentor Posts: 997Registered
    You should not include employers' NIC on directors remuneration within directors remuneration because this will distort the disclosure note that is required in the notes to the accounts (presuming you are using computerised accounts production software). Only remuneration and benefits should be included and as the director derives no benefit from employers' NICs it should not be included, but disclosed separately directly underneath directors' remuneration.

    You should therefore stick to your guns, Gill.

    Best wishes
  • burgburg Experienced Mentor GloucesterPosts: 1,440Moderator, FMAAT, AAT Licensed Accountant
    With Steve on this. It should definitely be disclosed separately as employers ni.

  • MonsoonMonsoon Font Of All Knowledge Posts: 4,071FMAAT, AAT Licensed Accountant
    Thanks Steve and Ian, glad to hear it!
  • Gill GittingsGill Gittings Well-Known Posts: 121Registered
    Awww thanks guys.

    At least I know I'm not completely thick!

    xx :)
  • deanshepherddeanshepherd Font Of All Knowledge Posts: 1,809Registered
    It's entirely up to the company where this is disclosed in the detailed profit and loss account.

    It should not be included in the statutory directors remuneration note as mentioned above.
Sign In or Register to comment.