Free Tool • 2025/26 Rates

Salary vs Dividend Calculator

Compare how much you keep when paying yourself via salary, dividends, or a combination as a limited company director.

Company Details

Company Profit (before salary)

Annual Salary to Director

Common: £12,570 (NI threshold)

Other Income (outside company)

Salary + Dividend

£46,831

24.0% effective rate

All as Salary

£37,107

38.2% effective rate

You save £9,724 per year with the salary + dividend strategy.

Company Gross Profit£60,000

Director Salary−£12,570

Employer's NI−£1,136

Taxable Company Profit£46,295

Corporation Tax−£8,796

Available for Dividends£37,499

Income Tax on Salary−£0

Employee NI on Salary−£0

Dividend Tax−£3,237

Your Take-Home Pay£46,831

The optimal salary/dividend split depends on your full circumstances. Speak with a specialist.