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Dividends: How to payout via Ember
Dividends: How to payout via Ember

Paying yourself a dividend via Ember

Steven Moore avatar
Written by Steven Moore
Updated over a week ago

Business owners who are also shareholders can pay themselves dividends as a way to distribute profits from their company.

If there are multiple shareholders in your company, for example yourself and your spouse, the dividends will be distributed per the share arrangement.

It's important to note that if your business is not currently profitable, you will not be able to pay yourself a dividend.

Paying out a dividend in Ember

To pay yourself a dividend via Ember, use the following steps

  1. Check the dividends available - You can check how much you have available in dividends via the Dashboard in Ember. This will be displayed at the very top of the page on the right hand side. Be advised this figure will only be accurate if your transactions are fully categorised & up to date in Ember.

  2. Transfer Funds to Your Personal Account: If you have profit available, you can transfer funds from your business account to your personal account via bank transfer. This will generate a transaction in Ember.

  3. Categorize the Transaction: In your Ember account, please categorise the dividend as "Dividends paid". This categorization helps you track dividends separately from other business expenses in the balance sheet & generates a dividend certificate.

It's as simple as that! You've now paid yourself a dividend.

Monitor Your Reports

After paying yourself a dividend, regularly review your financial statements and reports in Ember via the "Report" tab on the left hand side. The Personal Tax report and the Dividends Available to Withdraw report will help you track whether you have dividends available to withdraw & help you stay tax efficient.

The "Dividends" Tab

It's worth noting that the dividends tab in Ember is currently only compatible with one bank (Starling). We recommend all clients use the method above to payout dividends until the dividends tab has full functionality.

Please reach out to our dedicated support team if you need any further advice on paying yourself dividends.

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