UK Wages v Dividents

[EugeneMc]

Hi,

I am trying to calculate amounts for best combination between wages and dividends for small companies.
I have 2 types of companies:
1. One persons company
2. Two people company (family business)
Could anyone please tell me what would be the best combination for two types of companies for the year 2016-2017

Thank you

 

[Idrees]

Well since dividends tax rate changed from this financial year, you can withdraw £11,000 salary tax free and further £5,000 dividends tax free.

The important question is how much money you want to withdraw from your companies.