When does a limited company pay off?
Umbrella employment is the simplest option when you start. As you invoice more, your own limited company may leave you with more – but it also costs more in time and administration.
A rule of thumb
A limited company often starts to pay off when you invoice around 30 000 kr a month or more, regularly. It depends on your costs, how much salary you want to take and how much you can leave in the company.
Reasons to choose a limited company
Dividends are taxed less than salary within certain limits, you can deduct costs in the company and you can keep profits in the company for leaner times.
Reasons against
Share capital, bookkeeping, annual accounts and a company tax return. You are also responsible for ensuring the company is run in accordance with the law.
How we help you
We let you know when it starts to pay off for you, help you set up the company and then handle bookkeeping, payroll and year-end accounts. The same people, the same overview of your finances. See also the comparison of umbrella employment, sole trading and a limited company.