Sole Trader vs Limited Company

'Should I go limited?' is one of the most common questions small business owners ask. The answer depends on your profit, how much of it you need to take out, your other income and the extra cost of running a company. This workbook takes your profit as a sole trader and works out, using the tax rates for the year you choose, exactly what you'd take home if you stayed self-employed and what you'd take home if you traded through a limited company paying yourself the most tax-efficient salary and dividends. It shows the difference each year, how long the set-up cost takes to recover, every profit level from £10,000 to £250,000 and the non-tax pros and cons that matter just as much.