Logique d'Salary vs Dividend Optimizer - Societe Anglaise Engineering
Personal income extraction arbitrage calculator comparing UK dividend distribution efficiency against French SASU salary structure. Computes required gross dividend to achieve target net income after UK dividend tax (8.75% on first £1,000, 33.75% thereafter) and quantifies savings versus French SASU salary cost (approximately 1.8× ratio for equivalent net).
Pillar 1: Pillar 1: UK Dividend Requirement - Calculates gross dividend needed: targetNet / (1 - dividendTaxRate), accounting for £1,000 tax-free allowance and progressive rates (8.75%, 33.75%, 39.35%)
Pillar 2: Pillar 2: French SASU Cost Benchmark - Estimates equivalent French salary cost using 1.8× multiplier reflecting employer + employee social charges on net salary target
Formula of Risk: savings = (targetNet × 1.8) - (targetNet / (1 - dividendTaxRate))
Constraint: SASU multiplier (1.8×) is approximate; actual French cost varies by income level, sector-specific rates, and optional regime selections. UK rates subject to annual budget changes.
This tool implements a comparative tax efficiency analysis between UK Limited dividend extraction and French SASU salary structures. The algorithm reverse-calculates the gross dividend required to achieve a target net income after UK dividend tax (accounting for the £1,000 allowance and tiered rates), then benchmarks this against the approximate French SASU salary cost (1.8× multiplier reflecting combined employer and employee social charges). The savings delta represents the tax arbitrage advantage available through UK structuring. Note that the SASU multiplier is simplified; actual French costs vary significantly based on income level, industry-specific contribution rates, and optional regime choices (ACRE, retirement regimes).