MyPayDirector
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MyPayDirector
Be smart with your pay.
Not financial advice
MyPayPicture

Running a limited company?
Be smart with your pay.

Find the optimal salary and dividend split for your limited company.

1Your Company
2Tax Breakdown
3Optimise Split
4Pension
5Summary
Your company details

Tell us about your limited company and how you currently pay yourself. We'll calculate the most tax-efficient approach.

£

Turnover minus business costs, before your salary or dividends.

Yes
No — multiple shareholders
£

Most directors take salary at the Personal Allowance (£12,570) or NI Secondary Threshold (£9,100).

£

Rental income, employment elsewhere, etc. Affects your dividend tax bands.

Yes
No

VAT status doesn't affect this calculation but helps us tailor guidance.

Your tax breakdown

Here's exactly what happens to your company profits under your current arrangement.

How your profit is split
Salary (take-home)
Dividends (take-home)
Tax & NI
How do you want to pay yourself?

As a director, you choose when and how much to pay yourself. Pick the goal that fits your situation.

💡 How director pay actually works
Salary — paid monthly like any employee, processed through payroll. Fixed and predictable. Small amount of NI applies above £9,100.
Dividends — paid from company profits whenever you choose. Quarterly is common, but you can take them monthly, annually, or as needed. You must have sufficient retained profits — dividends cannot exceed what the company has earned. Taxed at lower rates than salary.
Most directors take a low salary (paid monthly) plus dividends (taken quarterly or as needed). This is entirely legal and is standard practice for UK limited company directors.

£ /mo

We'll check if each approach covers your monthly needs — remember dividends can be taken anytime, so monthly salary doesn't need to cover everything.

Which situation fits you best?
Company pension contributions

Employer pension contributions from your limited company are a highly tax-efficient way to extract value — they reduce corporation tax and avoid income tax and NI entirely.

£

Paid directly from the company — fully deductible against corporation tax.

£

Any additional personal contributions on top of employer contributions.

Why company pension contributions are so powerful

  • Paid before corporation tax — saves 19–25% immediately
  • Not subject to income tax or NI — unlike salary
  • Annual allowance applies (£60,000 or 100% of earnings)
  • Unused allowance can be carried forward three years
  • Particularly valuable if profits are above the £50,000 corporation tax marginal rate threshold
Your director tax summary

Your complete illustrative picture — total tax paid, take-home, and recommended approach.

Important — always take professional advice

Director remuneration strategy is one of the most impactful financial decisions for a limited company owner. These figures are illustrative. A qualified accountant can model your full position including IR35 implications, Making Tax Digital obligations, and your specific circumstances.

📄 Download your personalised PDF report A branded summary of your director tax position to take to your accountant.
£4.99
Buy report →
Want personalised advice? Speak to a regulated financial adviser or accountant about your director strategy.
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Ask MyPayPicture Assistant
MyPayPicture Assistant
General information only · Not financial advice
What salary should I take?
How are dividends taxed?
How do company pension contributions work?
What is IR35?
What is the optimal salary level?