Company Director Calculator
Calculate your optimal salary/dividend extraction strategy as a company director. Includes corporation tax, dividend tax, employer NI, pension savings, and take-home pay — updated for the 2026/27 tax year.
Company Profit
Director's Salary
The suggested optimal salary of £12,570 assumes no other employment income. If you have other PAYE income, adjust accordingly. HMRC: Tax on dividends →
Dividends
Pension & Benefits
EV via Company
▼Company Tax
Personal Tax (Your Extraction)
Optimal Extraction Comparison
Pension via Ltd — Tax Saving
Your Tax Calendar
Assumptions & Limitations
▼- Corporation tax: Rates of 19% (profits under £50k) and 25% (over £250k) with marginal relief apply to all UK limited companies regardless of industry. Associated companies may affect your thresholds. HMRC: Corporation Tax rates →
- Dividend allowance: £500 tax-free for 2026/27. Dividend rates are 10.75% (basic), 35.75% (higher), 39.35% (additional). HMRC: Tax on dividends →
- Employment Allowance: Single-director companies with no other employees cannot claim the £10,500 Employment Allowance. HMRC: Employment Allowance →
- Optimal salary: The comparison table assumes all remaining profit is extracted as dividends. Retaining profit in the company or making employer pension contributions may change the optimal strategy.
- Employer pension: Contributions made by the company are a deductible business expense and not subject to employer NI. They count toward the £60,000 annual allowance. HMRC: Pension Annual Allowance →
- Student loans: Only salary (not dividends) counts for student loan repayments when paid via PAYE. HMRC: Student loan repayments →
This calculator is for illustrative purposes only and does not constitute financial or tax advice. Calculations are based on announced HMRC rates for the 2026/27 tax year. Always consult a qualified accountant or tax adviser for personalised guidance. Student loan repayment thresholds and rates are subject to annual review by the Student Loans Company.