Compare salary and dividend options
Compare salary, dividends, Corporation Tax and National Insurance for a single owner-director in either supported UK Income Tax region.
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How the salary and dividend calculator works
Tax Shrink compares possible director salaries from £0 to the amount the company can afford. For each salary it deducts employer National Insurance and Corporation Tax, treats the remaining current-period distributable profit as a dividend, adds any chosen dividend from confirmed prior-year reserves, then estimates personal Income Tax and employee National Insurance on the combined income.
The model covers a full-year owner-director with a 12-month accounting period, no associated companies and no Employment Allowance. It is illustrative and does not cover every relief or personal circumstance.
How to choose a salary and dividend split
There is no single salary-to-dividend ratio that works at every profit level. Tax thresholds change the result, so the calculator compares the full affordable salary range and shows both the highest and lowest estimated take-home options for the figures entered.
The 2026/27 salary and dividend guide shows how the highest-tested result changes at £50,000, £100,000 and £250,000 of profit. Read the full methodology, assumptions and official sources before applying an estimate.