One of my clients runs a consultancy business and is director of a close company. He wishes to pay into a personal pension from the company directly as he has no need for salary. There is NOT a PAYE scheme set up for the company as he has chosen to keep things simple in his first year of business and will probably take a dividend before 19/20 tax year end.
Does he need to set up a PAYE scheme for the company to pay this director an amount into his personal pension? He is likely to retire in a year or two so we had concluded not to set up PAYE until his plans were more known...now it seems we might have to set up PAYE scheme just for the company to pay into a personal pension..? All the references online do refer to EMPLOYER payments to a director's personal pension scheme can be made...so I assume that PAYE scheme is required,. Welcome your thoughts.