Tax efficient pocket money for your children

Why not get your businesses to pay your children’s pocket money and claim it as a business expense. If they are 14 years or older your children are allowed to work a small number of hours for you which you will obviously pay them for and then claim a tax deduction for.

Remember to keep a note of their job responsibilities and hours worked. If they do not have any other jobs then they are unlikely to have to pay any tax and you will have a smaller tax bill at the end of the year!