Directors Perks: Trivial Benefits
A little ray of sunshine ...
Posted by Alison Mead on 16/11/2020 @ 8:00AM
I feel that, as the director of a limited company, I don't get many benefits at the moment, but trivial benefits help greatly. We are lucky that as so many people need our services right now, we have not needed to furlough either of our two directors ...
Trivial Benefits are little known by most directors but can be very useful in these gloomy times!
copyright: clivia / 123rf
It is useful that we work from home so don't pay rates, but at the same time, there are no grants available to us because of that. However, there is one little benefit I had almost forgotten about and I'm pleased to say it can be a little ray of sunshine at such a gloomy time.
"These are called Trivial Benefits!"
As long as you keep within the rules you can issue yourself, as a director of your own company, amazon vouchers (or similar) a few times a year with no tax implications and no need to report to the HMRC.
The conditions that apply are:
it cost you £50 or less to provide
it isn't cash or a cash voucher
it isn't a reward for your work or performance
it isn't in the terms of your contract
So, in effect at Silicon Bullet, one of the directors can be 'gifted' an amazon voucher for £50 every month, if we take it in turns meaning we get 6 each, so a total of £300 each in the year.
Until next time ...
Would you like to know more?
If you'd like to discover more about trival benefits for directors, call me 01604 420057, leave a comment below or use the Messenger tool you can see in the bottom right of your screen to chat right now.
About Alison Mead ...
Alison loves bookkeeping. She has been helping clients to be better bookkeepers in Sage 50 for over 22 years and has more recently added Xero Accreditation to her list of skills.
She specialises in a very unique hand-holding method of training, helping bookkeepers and business owners to use their accounts software as and when they need support in setting up and producing their invoices, reports and financial information.
Alison combines her role at Silicon Bullet with running two network marketing businesses and is also a Regional Leader for 4Networking as she likes to keep busy.
You know what they say, if you want something done well ask a busy person!
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