How do I pay a Supplier?

Jordan Macey

April 21, 2021

No items found.
Download Now ↓
Small Business Accounting

There are various ways to pay your suppliers. Common payment methods include bank transfers, credit card payments and Letters of Credit.

Download our Ultimate Expenses Guide

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
No items found.
No items found.

Download our Ultimate Expenses Guide

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
No items found.
No items found.

What's Inside:

No items found.

Read More Guides below:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay myself when Self Employed? Guide

How do I pay myself when Self Employed?

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I hire a new employee? Guide

How do I hire a new employee?

To hire a new employee, you need to:

If you're hiring staff for the first time, refer to HMRC's guide on the steps you need to take.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How should I pay overseas supplier? Guide

How should I pay overseas supplier?

To pay an overseas supplier, you need to:

  • Decide on a payment currency
  • Select a payment method: There are various payment methods and payment service providers available, including bank transfers, credit card payments, PayPal and TransferWise. When you're choosing a payment method or provider, you need to think about the currencies available, fees, exchange rates, speed of international transfers and payment reconciliation capabilities.
  • Obtain the information you need to process the payment: You may need to obtain different types of information from your supplier, depending on the payment method you agree on. These may include their full name and address, bank account number, routing number and branch number and address.
Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Contractors - should I be paying myself salary and dividends? Guide

Contractors - should I be paying myself salary and dividends?

As a contractor, how you pay yourself will vary depending on whether your contract is subject to IR35.

  • Contract subject to IR35 (inside): Salary
  • Contract not subject to IR35 (outside): Salary, dividends + reimbursing any expenses you have paid for out of your own pocket

We've provided a more detailed explanation in our Forma Help Center resource.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay Dividends to other Shareholders? Guide

How do I pay Dividends to other Shareholders?

To pay a dividend, you need to:

  • Hold a directors' meeting to ‚Äòdeclare' the dividend.
  • Keep minutes of the meeting, even if you're the only director. For smaller companies, this may often be just a case of getting the paperwork completed.
  • Issue dividend vouchers


Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay a Supplier? Guide

How do I pay a Supplier?

There are various ways to pay your suppliers. Common payment methods include bank transfers, credit card payments and Letters of Credit.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
What are Unallocated Payments? Guide

What are Unallocated Payments?

Unallocated payments are where the client has given you more money than they owe.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How/ when do I pay myself Dividends? Guide

How/ when do I pay myself Dividends?

NA

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
What do I need to do to pay a dividend? Guide

What do I need to do to pay a dividend?

To pay a dividend, you need to:

  • Hold a directors' meeting to ‚Äòdeclare' the dividend.
  • Keep minutes of the meeting, even if you're the only director. For smaller companies, this may often be just a case of getting the paperwork completed.
  • Issue dividend vouchers.
Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Do I need to be set up as an Employee in my new Company? Guide

Do I need to be set up as an Employee in my new Company?

As a limited company director, you're classed as an office holder. You aren't automatically an employee at your company-even if you're the sole director and only person working in the business.

It's isn't mandatory to be set up as an employee at your new company. However, there are benefits to doing so if you aren't employed elsewhere, as you'll be able to take advantage of your tax free allowances.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay a Contractor? Guide

How do I pay a Contractor?

You can pay an independent contractor by an hourly or daily rate, or by the project through the contractor's preferred payment method. You won't need to withhold taxes, as they are responsible for paying their own income and National Insurance contributions.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I change my salary? Guide

How do I change my salary?

NA

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay an employee? Guide

How do I pay an employee?

If you're paying an employee for the first time, you'll need to set up payroll. You need to take the following steps:

  1. Register as an employer with HM Revenue and Customs (HMRC) and get a login for PAYE Online.
  2. Choose payroll software to record employee's details, calculate pay and deductions, and report to HMRC.
  3. Collect and keep records.
  4. Tell HMRC about your employees.
  5. Record pay, make deductions and report to HMRC on or before the first payday.
  6. Pay HMRC the tax and National Insurance you owe.
Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
What is a directors loan account? Guide

What is a directors loan account?

As a limited company director, you can access the money in your company bank account through a facility known as a director's loan.

This can come in handy in instances when your personal finances are in need of a boost, yet taking out a director's loan is a decision that requires careful consideration. That's because there are tax and accounting implications, and it's best to speak to an accountant so that you fully understand the consequences.

But before you dive into the details, you'll need to have an understanding of the basics-such as what a director's loan account is, what the loan can be used for, tax rules you need to be aware of and more.

Here's where our guide comes in:

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How to calculate holiday pay for overtime and commission payments Guide

How to calculate holiday pay for overtime and commission payments

"What are the rules around holiday pay?" is a common question often asked by employers.

It can be confusing, as regulatory changes mean that employers now need to consider additional elements when working out an employee's holiday pay.

Simply put, employers now need to include regular commission and regular overtime payments when calculating an employee's or worker's holiday pay.

This is explained in further detail below:

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay myself through a Limited Company? Guide

How do I pay myself through a Limited Company?

As a limited company director, you can pay yourself through:

1. Taking a salary

As the director of a limited company, you're also considered an employee. As such, any salary you draw will be paid through the PAYE scheme-similar to how other employees of the company will receive their pay.

You'll run a payroll, report to HMRC and receive your salary (after taxes have been deducted at source).

2. Dividends

A dividend is a payment of profit that a limited company distributes to its shareholders.

While dividends can be drawn at any frequency across the year-as long as there are sufficient distributable profits-payments are typically made on a monthly or quarterly basis.

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
What are Director's withdrawals? Guide

What are Director's withdrawals?

As a limited company director, there are three ways in which you can withdraw money from your company:

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
How do I pay myself dividends? Guide

How do I pay myself dividends?

To pay a dividend, you need to:

  • Hold a directors' meeting to ‚Äòdeclare' the dividend.
  • Keep minutes of the meeting, even if you're the only director. For smaller companies, this may often be just a case of getting the paperwork completed.
  • Issue dividend vouchers.
Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Can I pay myself on an ad-hoc basis? Guide

Can I pay myself on an ad-hoc basis?

NA

Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
What are Directors Loans? Guide

What are Directors Loans?

A director's loan is defined as money taken from your company that isn't either of the following:

  • A salary, dividend or expense treatment
  • Money that you've previously paid into or loaned the company

A Director's Loan Account (DLA) is a record of all transactions between the company and its directors. It records not just the money owed by the directors, but also the money owed to them.

Director's loans can be used:

  • when you need to access money in your company-apart from what you take out as a salary, dividend or expense treatment-for personal reasons.
  • for a variety of purposes, such as covering the costs of a home repair bill, travel plans or any unforeseen personal expenses that may arise.
Read Full GuideRead Full GuideCalculate Now

Download Now:

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.