I have started my limited company in June 2011 and was unaware about the process of salary and dividends till I read your post. Thanks John for these details answers.John wrote:£7072 / 12 = £589 per month could well be the ideal salary to pay the Director.
my question is I have not been paid from my Limited company for the month of July 2011 and August 2011. Can I NOW(in september) pay my self with the salary you have advised? And make a payslip accordingly.
The other question is who will sign the payslip? I have also raised a question about the PAYE requirment in a separate post before posting this in the same topic.