[jimnotgym]

Please take care with this advice

1) This may not be true. In most countries you would get a capital allowance that means you could make this saving even if you buy the car outright. There are also different kinds of lease that have different tax effects. In the UK VAT on a contract hire is 50% disallowed if you use the car personally for instance. Another reason this might be a bad idea, driving the companies car for personal use may be a 'benefit in kind' and taxable at a high rate. In many situations it is better to buy the car personally and record business miles and claim it on expenses at a government approved rate per mile. Talk to an accountant, it depends on several factors.

2) Many countries have minimum wage legislation. Don't pay less than that!

3) This is far too general to be true. If you can afford it and are planning an exit then leaving profits in a company can be great. This presumes that there is no better user for the money, which is not something you can generalize about.

Disclosure: I'm in Finance, but not a tax specialist.

[ownagefool]

You can pay yourself less than minimum wage as a director/office holder.

https://www.gov.uk/hmrc-internal-manuals/national-minimum-wa...

Still, you're right. Talk to an accountant. I use these guys: https://www.maslins.co.uk/

[jimnotgym]

And from the first paragraph

> The national minimum wage does not apply to company directors unless they have contracts that make them workers as defined in section 54(3) of the act.

I suggest if you are a single freelancer in the UK you may easily fall foul of that. Remember employment contracts can form without you writing them down. I know of cases where this has happened. If you only come into work for board meetings then sure, avoid minimum wage.

But then if you are a single freelancer in the UK you will already be talking to an accountant to discuss IR35...

[ownagefool]

Yeah, I've read it.

I'm not overly worried about an implied contract between myself and the company I own and direct. It's also generally the advice of accountants and legal professionals that it is fine to operate this way.

Also, snark aside, I get my contracts reviewed by QDOS, act outside and have an accountant. Anyone considering being a freelancer or contractor in the UK needs to be aware of IR35 and should get an accountant. Mines is https://www.maslins.co.uk/

[csomar]

Jim, I think specific advice will be useless and potentially hazardous since different countries/state/years will have different legislation.

I guess I get it now when some here comment: Check a lawyer. Check an accountant.

Better advice (or what I'm doing):

1- Check the laws/rules yourself. Just get a rough idea.

2- Suggest your creative ideas to your accountant and see if he agrees.

3- If your accountant is not aggressive in saving you taxes, maybe it is time to shop for a new accountant.