Seven Tax Effective Remuneration Strategies for Business Owners

Relevant For:

Business owners seeking tax-effective remuneration strategies.

Key Points:

  • Prefer fully franked dividends over cash salary for tax efficiency and reduced employment costs.
  • Utilise fringe benefits like vehicles, home computers, and mobile phones for tax relief.
  • Opt for superannuation contributions over salary to reduce tax liability and protect assets.
  • Legitimately employ family members and provide them with salary and superannuation benefits.
  • Distribute income to family members via trusts or dividends to defer or reduce tax liability.
  • Consider lending business funds to family members for asset acquisition outside the business.
  • Purchase business premises personally or through a family structure to gain tax benefits.

Full Article:

Maximising income from a business, effectively, remains a challenge for many business owners.

Here are seven practical strategies to help optimise remuneration:

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