Tax Calculator for Limited Company Directors

Directors of Limited Companies

Directors of limited companies have increased flexibility in how they choose to pay themselves, dividing their income between a salary and dividends. Our tax calculator for limited company directors lets you estimate your potential tax liability given various pay structures.

As a director of a limited company, you will potentially pay the following taxes:

• Corporation tax
• Employers national insurance contributions
• Employee national insurance contributions
• PAYE
• Dividend tax

To use the calculator, you will need your business income, expenses and director’s salary. Enter these amounts to calculate the profits or reserves after corporation tax, which is the amount available for dividend withdrawal. Enter the amount of dividends you want to pay yourself and the calculator will work out your full tax liability.

The tax calculator for limited company directors assumes a personal tax code of 1257L (personal allowance of £12,570). It is not suitable for individuals who are subject to the Scottish tax bands and rates. The calculator allows for a director’s salary up to £50,270 and a combined salary and dividend income up to £100,000.