PRSA For Wife through my Ltd Company

[stickman1019]

So just looking for your guys opinions.

I have a Ltd company the wife does look after dealings with my accounts invoicing and admin the like.

I am wondering if it possible to add my wife as a company director to pay her a salary of 1000 a month.

She would then use this money to pay 1000 a month into a PRSA pension fund.


Note my wife has a full time job as well.



Is the above OK and all above board to do ?

 

[T McGibney]

It's impossible to answer this properly without knowing what she exactly does, what the company does, and the wider circumstances.

Have you an accountant you can ask to give you a considered opinion based on those circumstances?

There's a strong chance that Revenue could have issues with the company claiming a tax deduction for the cost of her salary.

I'm not sure how a salary of €1,000 a month could translate into a pension contribution of €1,000 given the effects of taxes.