I run a limited company and I don't actually pay myself regularly. I maintain a director's loan account and at the end of the year split this between a salary and dividends. I pretty much live of funds transferred from the business throughout the whole year i.e. if I buy groceries/all personal expenses.
I am confused though how payroll would work for me when an FPS is meant to be submitted for the salary paid?
I am thinking that because I maintain a director's loan account it is as such a loan until I "decide" it is the salary at year end even though it has already been spent by me?
So at the moment, it is like this
1. Using debit card for personal transactions
2. Maintaining the director's loan account
3. Near year-end, decide on the salary and send through the FPS for this amount. So would really be only once a year.
4. Then update the director's loan account
I guess the way I pay and draw from the business is not ideal but it an FPS is meant to be submitted for every payment that