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Get help with savings if you’re on a low income


You can save between £1 and £50 each calendar month. You do not have to pay money in every month.


You can pay money into your Help to Save account by debit card, standing order or bank transfer.


Read more https://www.hiclassaccounting.co.uk/tips-and-tricks


Your limited company can contribute pre-taxed company income to your pension. Because an employer contribution counts as an allowable business expense, your company receives tax relief against corporation tax, so the company could save up to 19% in corporation tax.


Your employer pension contributions must abide by the rules for allowable deductions. The rules state that the pension contributions should be ‘wholly and exclusively’ for the purposes of business. To figure out whether this is the case, HMRC looks for certain evidence, for example whether other employees are receiving comparable remuneration packages.


Another benefit is that employers don’t have to pay National Insurance on pension contributions. The National Insurance rate for 2020/21 is 13.8%, so by contributing directly into your pension rather than paying the equivalent in salary, you save up to 13.8%.


This means that in total, your company can save up to 32.8% by paying money directly into your pension rather than paying money in the form of a salary.


Depending on your circumstances, this may or may not be more beneficial to you than paying personal pension contributions.


Talk to a financial adviser to find out what is best for you!



https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme


The scheme has been extended.


If you were eligible for the first grant and can confirm to HMRC that your business has been adversely affected on or after 14 July 2020, you’ll be able to make a claim for a second and final grant from 17 August 2020.


The scheme allows you to claim a second and final taxable grant worth 70% of your average monthly trading profits, paid out in a single instalment covering 3 months’ worth of profits, and capped at £6,570 in total.


As with the first grant HMRC will contact you if you’re eligible.


They will work out your eligibility for the second grant in the same way as the first grant.


You can make a claim for the second grant if you’re eligible, even if you did not make a claim for the first grant.


How the grant works:


If you receive the grant you can continue to work, start a new trade or take on other employment including voluntary work, or duties as a military reservist.


The grant does not need to be repaid but will be subject to Income Tax and self-employed National Insurance.

Useful Links

Ⓒ Hiclass Accounting 2020

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