Youtuber with Business account - How to get my money?

Reason123

Hello


I work full time and am in the 40% tax bracket
My wife works part time and is in the 0% tax bracket


I have a YouTube channel that does well and was suggested that I set up a LTD company (50/50 with my wife and I shareholders) / Business account to handle the monies.


The money I earn from YouTube is 100% profit as I have no costs/outlay other than use on my home/laptop/electric etc.


Before I set up the LTD Co/ Biz account I was paid direct into my personal current account and have been using the money as bonus for everydays items etc.


Now that the money is being paid into the Business account / as a company it seems a lot harder to get hold of my money.


I believe both my wife and I can withdraw up to £5000 each as dividends tax free. But how do I do this? Can I set up a monthly standing order of £400 to each of our personal accounts? (As long as the profit/balance allows of course)


Thanks

Aquamania

Reason123 wrote: »

Hello


I work full time and am in the 40% tax bracket
My wife works part time and is in the 0% tax bracket


I have a YouTube channel that does well and was suggested that I set up a LTD company (50/50 with my wife and I shareholders) / Business account to handle the monies.


The money I earn from YouTube is 100% profit as I have no costs/outlay other than use on my home/laptop/electric etc.


Before I set up the LTD Co/ Biz account I was paid direct into my personal current account and have been using the money as bonus for everydays items etc.


Now that the money is being paid into the Business account / as a company it seems a lot harder to get hold of my money.


I believe both my wife and I can withdraw up to £5000 each as dividends tax free. But how do I do this? Can I set up a monthly standing order of £400 to each of our personal accounts? (As long as the profit/balance allows of course)


Thanks

A limited company can declare interim dividends as and when it likes (assuiming sufficient profit allows), so yes your company can do this every month.

Don't forget your company will be liable to corporation tax

At the end of your tax year you must ensure that the total of all your dividends taken have been covered by profits earned by the company after all expenditure (including corporation tax).

bengalknights

as Aquamania states you must ensure you have enough to cover the corporation tax (and any VAT if eligibile) prior to taking the dividends