Salary & dividends
Take the most home, legally, every cycle.
Finn models salary against dividends across income tax, NI and corporation tax, so you know the after-tax answer before you decide.
Free for 14 days, no credit card
In short
The Salary & Dividend Optimiser calculates the most tax-efficient mix of salary and dividends for one or more directors, factoring in income tax, NI (Class 1 + employer's), dividend tax (8.75% / 33.75% / 39.35%), the £500 dividend allowance, the personal allowance, and corporation tax saved by salary as an expense. Outputs net take-home and total tax paid for each scenario.
Everything it does
Scenario modelling
- Set total target take-home
- Vary salary and dividend split
- See income tax, NI, dividend tax, CT impact for each
- Compare side by side
- Shows the optimal mix
Multi-director
- Per-director optimisation
- Different shareholdings
- Different personal allowances (joint income)
- Different tax bands
Tax facts current
- Personal allowance (£12,570)
- Dividend allowance (£500)
- Higher rate threshold (£50,270)
- Additional rate threshold (£125,140)
- All UK 2025/26 numbers in sync
Capabilities at a glance
Combined income tax + NI + dividend tax + CT view
What-if modelling (vary salary / dividend split)
Multi-director support
Personal allowance taper handling
Dividend allowance optimal use
Side-by-side scenario comparison
Shows optimal mix automatically
Tax-year-aware (current rates always live)
How It Works
Set target take-home
E.g. £80k after tax across all directors.
Optimiser models scenarios
All-salary, all-dividend and balanced scenarios, modelled against all four taxes.
Pick the optimum
We highlight the lowest-total-tax option. You can override.
Apply
Schedule the payroll change and the dividend declaration with one click.
By the numbers
Real-world Use Cases
New tax year planning
On 6 April set the year's optimal salary at £12,570 (personal allowance) and plan dividends quarterly.
Two-director couple
Maximise both personal allowances + both dividend allowances for joint take-home.
Mid-year bonus question
'I want £10k extra this month: bonus or dividend?' Optimiser answers in seconds with the maths.
Why founders pick this over the spreadsheet
Stop guessing at salary vs dividend
Combined view: most calculators only show one or two taxes
Multi-director scenarios handled
Always current with HMRC rates
Frequently Asked Questions
Why not just pay all-dividend?
Salary uses your personal allowance and reduces corporation tax (it's an expense). Below the secondary NI threshold it's basically free money. The optimal mix usually has some salary.
Does it handle the £100k personal allowance taper?
Yes. For income over £100k personal allowance reduces by £1 for every £2 over, fully removed at £125,140. We model this.
Multi-director?
Yes. Model two or more directors with different shareholdings, allowances and existing income (e.g. one with a part-time job elsewhere).
What about pension contributions?
Employer pension contributions are factored as a tax-efficient route: modelled as part of the scenarios.
Are the rates current?
Yes: UK 2025/26 thresholds are baked in and refresh as HMRC publishes new rates.
Explore more of AccountsOS
Dividends
Declare, document, pay: compliantly.
Payroll
Run payroll, send payslips, and get an HMRC-ready RTI file every time. No payroll bureau needed.
Corporation Tax
See your tax bill in real time, so it's never a surprise. Filing-ready numbers when you need them.
Director's Loan Account
Borrowing from your company gets taxed if you get it wrong. Finn watches the balance so you never do.
Ready to try Salary & Dividend Optimiser?
Set up in minutes. Finn works in the background on your books, wherever you're based.
Free for 14 days, no credit card, cancel anytime