Directors wages

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oaky9

Registered User
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My wife and i are directors of our own company and are paid monthly by direct debit from our company account . can we pay ourselves now for october november and december and cancel the direct debits for these months thus giving us access to vital funds.
 
Advance salaries will be considered loans to directors.
In order for companies not to breach the regulations in relation to the loan to connected persons, the loan should be under 10% of the relevant assets.
 
Can they not just say it's a bonus and then just not take a salary for the coming months?
 
Hi oaky

You can pay the salaries gross and pay over the PAYE and PRSI for September in October.

You should not give yourself loans of net cash. It's too complicated and if anything happens the company, these will look very bad.

Have you by any chance given personal loans to the company? If so, these can be repaid first before payinging yourself taxable salary.

If there is any question mark over the future of the company, repaying loans could be seen as preferential treatment of creditors. And presumably overpaying salary would be frowned on too.

Brendan
 
There is adequate cash in the company to pay ourselves now for the next 3 months, paye and prsi is being paid by us by direct debit monthly this will not change. the company is well established and trading very well i just want to be sure i am doing everything above board. we have not given any personal loans to the company.
 
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