Financemattersuk
Browsing 9 posts
Showing 1–9 of 9
Browsing 9 posts
Showing 1–9 of 9
Get the most out of your Accountant! Ltd Co Directors and Sole Traders, you want to make sure your Accountant is helping you navigate business in the most optimal way. 3 questions to take to your next meeting
You have a limited company and you're paying for an accountant, you absolutely should be trying to get the best out of them every single year. Now it does depend on what you've entrusted your accountant to do and therefore the services you pay for, but a very good accountant should be able to help you understand the following things. First off is the most tax efficient way to extract money from your company. Depending on the nature of your business and your current setup, your personal allowances, and so forth, they should be able to tell you the best way to extract pay from your company as an limited company director to ensure that you are remaining as tax tax efficient as possible. Second is actually understanding the allowable expenses that relate to your business. Every company will have specific allowable expenses that make sense for what they do, and this is so effective in reducing your corporation tax bill. And a good accountant should help you understand that so that you can go away and run your business effectively, understand your allowable expenses, and bringing down that corporation tax legitimately. Another lens is to actually understand what you can do with the excess profits that are sitting in your business. That might be just sitting there as retained profits. Maybe it's best that you're invested into the business, into something new. But your accountant helping you understand how you can make the most of the money sitting in your business is also very beneficial for you and your business long term. So if you're not already having these conversations with your accountant, definitely worth bringing those up in your next meeting, and hopefully that is helpful.