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Tide Logo
Tide Logo
Tide Logo

DIVIDENDS

Dividend payments made simple

Take the stress out of director pay. Generate HMRC-ready documentation and execute payments in one seamless workflow –  all within the Tide app. 

Open a Tide account today in minutes and start paying yourself dividends.

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SMEs trust Tide

+2 million

SMEs trust Tide

Trustpilot rating

4.4/5

Trustpilot rating

UK app downloads

+3 million

UK app downloads

HMRC-ready dividends in a few taps

Forget manual spreadsheets and fragmented bank transfers. Tide brings the full director workflow into one platform.

Automated dividends

Generate HMRC-ready vouchers and board resolutions.

Seamless payments

Execute transfers directly within the app without switching tools.

Total clarity

Maintain one single source of truth for your pay history and audit trail.

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How Tide Dividends work

Pay yourself with confidence in three simple steps.

  1. Choose your payee Select an existing payee or add a new one instantly within the app.

  2. Set your amount Enter your dividend amount and select the account you want to pay from.

  3. Generate and save Tide generates your dividend voucher and board resolution automatically. All documents are securely saved as PDFs in your history.

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Compliance made easier

Keep your dividend paperwork aligned with HMRC requirements.

Effortless dividend payments

Save time and reduce human error. By combining documentation and execution in an all-in-one workflow, you ensure your legal records always match your bank balance.

Full visibility & record keeping

Reduce audit stress with a clear picture of your financial history. Track past dividends, review payout dates, and tally up your total payments at a glance through your dividend 'hub'.

Calculate dividend tax and explore pay options

Estimating your take-home pay shouldn’t have to be complicated. Use the Tide app to estimate dividend tax and see how you might manage your tax liabilities as a limited company director. 

Simulate your income

Use interactive sliders to adjust your salary and dividend mix, seeing your estimated total income update in real-time.

Visual tax breakdown

Get a clear summary of your estimated Income Tax, National Insurance, and Dividend Tax.

Compare scenarios

Model the impact of different balances, including the use of the £12,570 Personal Allowance.

Track your estimated tax rate

Understand your potential tax burden at a glance to help you stay informed.

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Choose the right path for your pay

Whatever your objective, Tide helps you pay yourself compliantly and efficiently. Compare our options to find the best fit for your business.

Your Goal

Recommended Product

Price

Your Journey

Structure director pay more efficiently

Payroll + Dividends boost

£17 + VAT /mo (+£2 per extra seat)

Sign up for Payroll, then add Dividends boost

Pay a salary only (no dividends)

Payroll

£12 + VAT /mo (+£2 per extra seat)

Sign up for Tide Payroll

Pay dividends only (no salary)

Dividends

£10+VAT /mo

Sign up for Tide Dividends

One platform with your finances in sync

Explore our additional tools and run your business entirely from one platform – to save time and grow with ease.

Tide Payroll

Simple, reliable, HMRC-recognised payroll software that allows you to pay yourself and your team in minutes.

 Learn more

Tide Accounting

Stay compliant for free. File your tax returns with Tide’s HMRC-recognised, Making Tax Digital-ready tools.

Learn more

Business loans

Fuel your growth with tailored funding. Compare offers from 80+ trusted lenders and borrow up to £20 million with no impact on your credit score.

Learn more

Invoicing

Send 3 free invoices per month, or upgrade to Invoice Assistant for £5.99+VAT for unlimited invoices and automated payment reminders.

 Learn more

Join over 2 million small business owners worldwide

What members say about Tide

Charlotte Davitt-Mills
Shotley Vineyard

"Tide works in harmony with your business. It's really user friendly and it's there alongside you kind of every step of the way, helping you grow your business."

Matt Herd
Beaucroft Watches

"Everything became digital, and Tide just made it so easy. Everything was easy to set up. We didn't need tremendous amounts of paperwork or history to set up an account."

Aaron Mo
Ong Ong Buns

"With the help of Tide and their team of business finance experts, I was able to navigate the complexities of business finance, and secure the necessary funds to grow my business."

Ismail Uddin
NYAS Studio

"We were just in Portugal last week where we were having to make some payments and pay invoices, and I was just doing it from my phone on the beach...that was good."

Learn more about payroll and dividends

Dividends FAQs

For the 2026/27 tax year, dividend tax rates in the UK depend on your income tax band: 

Basic rate: 10.75% 

Higher rate: 35.75% 

Additional rate: 39.35% 

You only pay these rates on dividend income that exceeds your annual dividend allowance.

The tax-free dividend allowance for the 2025/26 and 2026/27 tax years is £500. This means you do not pay any tax on the first £500 of dividend income you receive, regardless of your other earnings.

To pay a dividend legally, you must follow three steps:

  1. Check profits: Ensure the company has sufficient "distributable profits" after tax.

  2. Hold a meeting: Declare the dividend at a directors' meeting and record it in the board minutes.

  3. Issue a voucher: Create a dividend voucher for every shareholder receiving a payment.

A dividend voucher is a formal document that acts as a receipt for a dividend payment. It must include the company name, payment date, shareholder names, and the dividend amount. HMRC requires these records to prove that payments were dividends rather than a salary.

We understand businesses, it's all we do

Tide is built by business owners for business owners. That’s why we’re trusted by over 2 million sole traders, freelancers, and limited companies worldwide.

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