Toolsan estimate, with 2026 rates
Sole trader or company? The same profit, both ways.
Where
This year, £60,000 of profit
£9,625 less paid as a company
As a company, about £9,625 less is paid this year, with £25,000 kept in the company to spend on it. Paid out to you later, that money is taxed then.
As a sole trader
Paid this year£17,575
- Your income tax£10,075
- Social Security£7,500
- Yours, to spend£42,425
As a company
Pays less this yearPaid this year£7,950
- Your income tax£3,575
- Social Security£4,375
- Yours, to spend£27,050
- Kept in the company£25,000
- Its yearly fees£290
Good to know
- Most Jersey companies pay 0% on their profit. What you take out — pay or dividends — is taxed as your income, never above 20%.
- Since 2012 a Jersey resident is taxed on what the company actually pays out, not on profit it keeps.
- Social Security is billed on your income from two years before; it is shown here on this year’s, to compare.
- The company’s running cost here is the annual confirmation statement and the smallest data protection charge.
Rates from 
— an estimate to understand the choice, not a tax return.
Move along the chart to read any income.
The figures, as a table
| Income | Income tax | Social Security |
|---|---|---|
| £20,000 | £0 · 0.0% | £2,500 · 12.5% |
| £40,000 | £4,875 · 12.2% | £5,000 · 12.5% |
| £60,000 | £10,075 · 16.8% | £7,500 · 12.5% |
| £80,000 | £15,275 · 19.1% | £9,274 · 11.6% |
| £100,000 | £20,000 · 20.0% | £9,774 · 9.8% |
| £120,000 | £24,000 · 20.0% | £10,274 · 8.6% |
| £140,000 | £28,000 · 20.0% | £10,774 · 7.7% |
| £160,000 | £32,000 · 20.0% | £11,274 · 7.0% |
| £180,000 | £36,000 · 20.0% | £11,774 · 6.5% |
A single person with no other allowances: tax is the lower of 20% of income and 26% of income above £21,250.