Advice on Business Savings A/c instant access

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ninak

Registered User
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Hi, I am wondering what to do about the balances that are sitting in our business a/c from time to time. They are there to pay the wages for the next few months, but I am sure they could be earning us some interest somewhere in the mean time. I am with BOI for our business and personal accounts. Does anyone know of an instant access or at least, very little notice a/c that has a decent return. They money could be there for anything from 2 to 4, possible 6 months at a time before it is needed.
Also, would interest earned on this then have to be declared as earnings for our company returns?
Thanks.
 
With DIRT and close company surcharges on investment income, I wouldn't get too carried away with the return. Better off paying your suppliers early and seeking a discount.
 
If you can go with a longer term, Permanent TSB pay 3.75% for a one year business term deposit. Other good PTSB Signature rates, here, see non personal section at the bottom.

You seem to want a shorter term, NIB pay 2.5% for business deposits with instant access but with interest penalties in the month of withdrawal.
 
Hi Paddy199, we don't have suppliers to deal with. Our only outgoings are revenue and wages other than day to day small stuff, so cash sums are built up to keep the wages paid when there is less cash coming in. I will look into the NIB deposit a/c, thanks CiaranT.
I presume DIRT is taken off at source by the bank so what is the story with the company surcharges you mentioned Paddy199? Do I include the extra interest earned in the annual return and it would then go towards any bal on which corp tax would be owing?
Also, would it be worth while calling in to the local Bank Manager in our BOI branch and see if I could negotiate a more favourable interest rate in some way? Has anyone tried something like this before?
Sorry for all the questions.
 
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