evidencestatistical
A director's salary of £12,570 per annum is a common benchmark for tax efficiency.
95% confidence
Setting a salary at this level ensures the individual remains within the personal allowance threshold, thereby incurring no income tax. Crucially, this level is sufficient to qualify for National Insurance credits, which preserves the individual's entitlement to the State Pension, while simultaneously acting as a deductible expense that reduces the company's Corporation Tax liability.
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