These nudges are designed to help business set aside reserves for future liabilities such as VAT and Corporation tax, although they can be used for any future liability you like.
Please note, all reserve calculations are simplified representations designed to help you manage reserves for tax liabilities. They shouldn't be relied on for precise tax planning.
By setting aside reserves for future liabilities business owners can feel more secure the business is adequately covering its future liabilities, and help the business to get greater clarity over the true cash position of the business in it's business current account.
This nudge is deliberately simplified to make it easy for the business owner/operator to understand how the 'reserve amounts' are calculated, so that they know whether their parameters are overly cautious, or not, when it comes to cashflow planning.