I
itcontractor
Guest
Hi everyone,
I am thinking about setting up a limited company and I am wondering what is the best way to pay myself?
I should explain I am going to be working as an IT Contractor - some people may recommend setting up as a sole trader but I have been told by a few recruitment agencies that they cannot (I think its their policy) hire sole traders to do contracts for them, I need to be either a Limited Company or work under an umbrella company. I have decided to got with the Limited Company option but I am not sure how to pay myself. Needless to say I will be a director of this company and my dad has agreed to be the other director (without a wage).
Should I make myself an employee of the company and pay myself with PAYE and PRSI or is there a way to pay a director without me having to do a personal tax return - ie I want the money I get from the company to be all sorted for tax so I cannot get into a trouble from the tax man thats why i thought PAYE employee would be easier...
Anyone got some suggestions???
Thanks
I am thinking about setting up a limited company and I am wondering what is the best way to pay myself?
I should explain I am going to be working as an IT Contractor - some people may recommend setting up as a sole trader but I have been told by a few recruitment agencies that they cannot (I think its their policy) hire sole traders to do contracts for them, I need to be either a Limited Company or work under an umbrella company. I have decided to got with the Limited Company option but I am not sure how to pay myself. Needless to say I will be a director of this company and my dad has agreed to be the other director (without a wage).
Should I make myself an employee of the company and pay myself with PAYE and PRSI or is there a way to pay a director without me having to do a personal tax return - ie I want the money I get from the company to be all sorted for tax so I cannot get into a trouble from the tax man thats why i thought PAYE employee would be easier...
Anyone got some suggestions???
Thanks