As far as I know, fee is a periodical payment (maybe once a year), whereas salary is a monthly payment.

Hey guys, could somebody explain to me what's the difference between director fee and normal salary ?

How to determine the fee? And who should determine it? Haha thanks for the reply man !

if let say i am a not working director, can i get a director fee too? or how to determine how much is my director fee? 
Thanks for the help guys !

if let say i am a not working director, can i get a director fee too? or how to determine how much is my director fee? 
Thanks for the help guys !

You will get the fees based on the nett profit yearly.

Based on your statement, I assume you are only shareholder not director. There will be no fees nor salary to be paid to silent shareholder unless it's only yearly profit.

You only eligible to take the nett profit based on the % or aka fees aka whatsoever terms.

Hey guys, could somebody explain to me what's the difference between director fee and normal salary ?

if let say i am a not working director, can i get a director fee too? or how to determine how much is my director fee? 
Thanks for the help guys !

1) paid for being a director
2) paid for coming to work everyday

There are two types of directors - exec and non-exec. One comes to work everyday like an employee. The other do not. Non-exec directors only attend board meetings.

HOWEVER, for the financial accounts, all salaries paid to all directors are reclassified as directors fees. I am not an accountant. Don't know if this is a IRB or MIA rule. But our auditors do this every year.

FYI: director fees are not paid from nett profit.  Director fees are usually declares during the company's AGM by the board. It can be any amount or nil as long as the board agreed it is a reasonable amount.

Also, legally, nett profit is the company's profit and money...and it should not be taken by anyone. When a company makes profit and also paid tax, the profit after tax is then transfered to retained profit. Should the shareholders wants to get money from their investment, they can declare dividend from the retained profit accoubt to the shareholders.

Director fee can be paid to any director of the company regardless they are executive or non-exexutive of the company.

The amount is to be determined by the board... No basis to determine the amount..

so any amount will do? As long as everyone in the board agree that fee. right?

Thanks for all the help man

Now this is correct. People cannot differentiate between dividend and directors fees. Lemme explain further from viewpoint of SME and PLC.

SME:-

Directors are paid directors fees when the company declares it during agm. Yes it doesn't has anythg to do with company's net profits. Directors fees are more affected by company's chargeable income. For simplicity purpose, directors' fee are legally used to reduce the chargeable income because a director is only taxed on the fees upon payment by the company. As such, legally, SMEs announces directors fees once they know their chargeable income is too high. In truth this is also a legal way to delay tax payments since directors fee can be paid out slowly for a few years. As long as there is payment made to directors, IRB cannot rule that you are evading taxes. Just payment is slow because of bad cash flow. Some ppl pays themselves dividend instead of directors' fees because SME has the same persons as shareholders and directors.

However dividends are different from directors fees because dividends are affected by a company's profits. You cannot declare dividend payout UNLESS you have profits to be distributed to shareholders.

PLC:-
In a listed company, yes INEDS are not paid salaries, only directors fees. Different from SME, it's harder to pass a resolution for directors fees since it has to be discussed in AGM where AC will always scrutinize the directors fees (theoretically). However a shareholder will only be paid dividend and not directors fees, UNLESS the director is also a shareholder (usually very little %).

Conclusion
Dividend manner is always the same. SME or listed, must see net profit. Directors fees are usually due to tax implications.