Sometimes, and less often than people assume. The headline comparison — corporation tax plus dividend tax versus income tax plus National Insurance — usually favours incorporation once profits are comfortably above what you need to live on, because you can leave money in the company and control when you extract it. That is the real benefit: timing, not rate. Against it, run the costs: annual accounts, a confirmation statement, payroll, a separate bank account, public filing of your figures, and our fees going up. There are consequences people forget too — mortgage applications get harder, the money genuinely is not yours to spend, and getting assets back out later can be expensive. Below roughly the point where you draw everything you earn, incorporating often costs more than it saves.