Required MRR
Enter your target take-home and find the MRR you actually need to hit it. Or see what you take home from a given MRR.
£
400 paying customers
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GBP
%
Stripe Fees £477
Standard (1.5%)
£327
Transaction fees (GBP 0.2/txn)
£150
VAT (Value Added Tax) £3,628
VAT collected at 20% Revenue exceeds £90,000 threshold. Prices assumed VAT-inclusive.
£3,628
Business Expenses (Monthly) £65
Server Hosting
£50
Domain & SSL
£15
Separate legal entity with limited liability. More tax-efficient at higher profits through salary/dividend split.
Taxes & National Insurance £7,597
Employer National Insurance £10,500 Employment Allowance reduces the liability. Secondary threshold lowered to £5,000 from April 2025.
£0
Corporation Tax Marginal relief applies between £50,000 and £250,000
£4,073
Director Salary Income Tax
£0
Employee National Insurance
£0
Dividend Tax Dividend bands are shared with income tax bands. Salary income uses up part of the basic rate band before dividends are taxed.
£3,524
Optimization:
Consider a Merchant of Record for VAT
Your revenue exceeds the VAT threshold. A Merchant of Record like Paddle handles VAT collection and remittance, simplifying compliance.
Fees 2% Expenses Tax 52% Take-Home 46%
Required MRR £21,768 /mo
Net Take-Home £10,001 /mo £120,008 /yr