Most directors are paid the way their first accountant set it up, and nobody has looked at it since.
Nasir Rasheed, Director
Salary and dividend planning for directors who want the pay structure checked
Salary and dividend planning for established limited company directors in Milton Keynes and across the UK, so the money you take out is decided on your numbers rather than left on the setting someone chose at incorporation.
There are eight questions below about how you are paid. Most directors answer no to at least three of them. The ones you answer no to are usually where the money is going quietly, year after year.
Nexus Tax and Accounting Solutions is a Milton Keynes accountancy practice for established limited companies, run by Nasir Rasheed MAAT AATQB. Salary and dividend planning is included in one monthly fee alongside accounts, corporation tax, VAT, payroll and the director’s self assessment, with a corporation tax and dividend forecast given a month before the bill lands.
Accredited and certified
- Nasir Rasheed MAAT AATQB
- Established 2024
- Three new clients a month
- Milton Keynes · UK-wide remote
What you get with Nexus
A pay structure decided on your figures
Your salary and dividend split is set against your actual profit, other income and payroll position, then reviewed as the year moves.
Your dividend headroom before you take it
You know what reserves will carry before you draw, so a dividend is never declared against profit that is not there.
Corporation tax forecast a month early
The bill is flagged before it lands, so the cash is set aside and the drawing decision is yours to make.
Three ways a director pay structure quietly costs money
Each of these started with a decision made without advice the owner could act on.
- Dividends
I took dividends all year the way I always have, then found out at the year end that the reserves did not cover them.
The overdrawn balance became a loan to repay and a tax charge nobody had mentioned. A forecast before the year end would have caught it.
- Tax bill
My corporation tax bill arrived the week it was due, and I had already taken most of the cash out as dividends.
The money had to come back in or be borrowed. The tax was never the problem; the timing of the information was.
- Switch
My salary has been the same since incorporation. Four account managers later, not one of them has asked me about it.
Nothing was checked because nobody owned the relationship. A pay structure set once and never revisited stops matching the business.
- Day 90
What changes once the advice is in the room
Your salary and dividend split gets looked at against this year’s profit, not the year you incorporated. You are told what your corporation tax will be and what reserves will carry before you draw. When the answer is that nothing needs changing, you get told that too, with the reasoning.
Quick check · no email
If your accountant cannot tell you whether your salary and dividend split is right, what your tax bill will be before it lands, and get back to you this week, you have the wrong accountant
Three questions about your current accountant, answered yes or no.
Question 1 of 3
Could they tell you this week whether your current salary and dividend split still suits your profit?
Could they tell you your corporation tax and dividend headroom before your year end rather than after it?
Could they get back to you on a drawing decision within the same week you asked?
Nothing about how you are paid is being reviewed, and that is a real gap rather than a preference. The set-up review is where it gets checked properly.
You are in a reasonable position, but one part of the picture is unowned. Every new Nexus client gets structure, VAT scheme, salary and dividends and software reviewed on joining, so the unowned part stops being unowned.
You are well served and there is no reason to move. Read the guides if you want a second view on the pay decision.
A filing accountant and an accountant who plans your pay
Both file. Only one tells you what to do before the year closes.
Filing only
Salary set at incorporation and carried forward.
Dividends recorded after they have been taken.
Corporation tax confirmed once the accounts are done.
Advice quoted as an extra when you ask.
Nexus
Salary and dividend split reviewed against this year’s profit.
Dividend headroom confirmed before you draw.
Corporation tax forecast a month before the bill lands.
Advice included in the monthly fee on a fair-use basis.
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Entry 01
What a full review of the set-up actually turns up
Every new client gets the same review on joining, whatever their answers to the checklist.
Clients described by type. Names withheld.
What clients say
How the pay decision gets owned in the first ninety days
Four steps from handover to a forecast you can act on.
Your old accountant is dealt with
Professional clearance and records collection are handled, so you are not chasing anyone yourself.
Your pay structure is reviewed and explained
Structure, VAT scheme, salary and dividends and software are checked, with a written list of what to change and why.
The books support the drawing decision
Bookkeeping gets a routine so reserves and profit are current when you ask what you can take.
You know the tax bill before it lands
Corporation tax and dividend headroom are forecast ahead of the year end, so the money is there.
Three ways to take the next step
Book the set-up review
Nasir checks your structure, VAT scheme, salary and dividends and software, then gives you a written list of what to change and why.
See if Nexus is the right fit 02 · A question firstNot sure your split is wrong?
Ask Nasir the one question you have about how you are paid and get a straight answer back.
Ask Nasir a question 03 · Still decidingStill deciding
The guides explain how dividend headroom and the corporation tax forecast work before you speak to anyone.
Read the guides →