With the employers allowance coming in, I've seen discussions talking about whether to take £7,956 or £10,000 as a salary. But was thinking, for a one band incorporated company, what about a salary of £22,449?
Way I see it, it would make full use of the £2,000 allowance and would reduce the CT liability (assuming small company) by £4,490. There would be income tax of £2,490 and employees NI of £1,739 but this would be offset by the CT saving.
I know the usual would be to take dividends but as they arent tax deductible and if only one employee (the director) then overal between the individual and the company this to me sounds like the most tax efficient option.
What do fellow AWeb members think?