Moving to Cyprus: mere business owner + medical insurance vs BO & employee + public healthcare

[AndyAresa]

My advice would be to pay yourself the minimum salary and that way you get the health insurance included.
You could pay yourself EUR 1k/month salary and contributions would cost you just extra 130. Take the rest as dividends and that's about it.

Calculator
https://taxapp.cy/income-tax-calculator/

generally, yes, but the accountants shall also take their fees for additional payroll processing

 

[JimBeam]

Well, then it's up to you to do the math:

Salary cost (social contributions + GESY) + additional accountant costs --- VS --- dividends only + private insurance costs

 

[Houdini]

You can issue interim dividends without any restriction. If after the audit it shows that these dividends were not out of profits then the difference becomes a debt to the company.

And when does that debt have to be repaid? Will it be taxed as personal income if you live in Cyprus, or would that be illegal?

 

[CyprusLaw]

And when does that debt have to be repaid? Will it be taxed as personal income if you live in Cyprus, or would that be illegal?

Why would it be taxed as personal income? This is dividend income. If you have a non-dom status you pay no tax/SDC on dividend distribution.

 

[A Rebours]

My advice would be to pay yourself the minimum salary and that way you get the health insurance included.
You could pay yourself EUR 1k/month salary and contributions would cost you just extra 130. Take the rest as dividends and that's about it.

Calculator
https://taxapp.cy/income-tax-calculator/

I've done my maths on Excel and if the overall company revenue is low (which could be for this year), salary give you a much lower overall payout.

 

[cuno]

Get a private health insurance for a few thousand EUR/year.

do you have any recommendation also does it cover entire Europe or Cyprus only ?