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Previous employer holding P45 due to overpayment of wages

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Reply 20
Original post by moonkatt
Check your current employer has the correct information form your starter checklist, once that's done there's nothing else with regards to you tax coding that can be done until your old employer issues a P45 with your YTD earnings and tax.


Will do. So if this is my uni's fault and they simply refuse to give me my P45, there's literally nothing I can do? I thought it was against the law for them to not give it to me? I can't afford to lose £120 a month! As nice as it'll be to get a small lump sum back in April, I don't know how I'll manage until then.
Original post by Rae18
Will do. So if this is my uni's fault and they simply refuse to give me my P45, there's literally nothing I can do? I thought it was against the law for them to not give it to me? I can't afford to lose £120 a month! As nice as it'll be to get a small lump sum back in April, I don't know how I'll manage until then.


Yes they have to give you one, but it has to be accurate, which it won't be as you've been overpaid. Once you've settled your overpayment, they'll be able to issue you a P45 with the correct YTD earnings and tax, this is not a bad thing, if you've been overpaid then you'll have overpaid tax, so you should get that back within your earnings, provided you settle this before the end of the tax year in April.

Speak to your current employer and check you filled out your new stater checklist correctly, if you have you should be on 1100L week 1/month 1, not 0T (which is the same as BR). Get this sorted and you'll be paying the right amount of tax until they get your P45.
Reply 22
Original post by Reality Check
I'd also suggest that it is you who is in a position of power in your negotiations with the University regarding the overpayment. In the grand scheme of things (for them), a £286 overpayment is small change, and it's certainly not an amount for which it would be worth starting any sort of legal proceedings to collect. I think they would take a pragmatic stand on this, and be willing to accept any sensible offer of repayment you were willing to make, as that is the easier and cheapest way for them to get their money back. As part of the settlement, you can insist that your P45 is released before you start repayments. If you stand your ground with it I imagine they will capitulate, again because it's simply easier in the end for them to do so.


Thanks for this. I'll try what you said and see if they'd be willing to give me my P45 if I make a repayment plan with them but as mentioned, I did ask about a repayment plan and they just said "we'd really prefer it in full as soon as". Never really thought to push it to be honest but will try this on Monday.
Original post by Rae18
Thanks for this. I'll try what you said and see if they'd be willing to give me my P45 if I make a repayment plan with them but as mentioned, I did ask about a repayment plan and they just said "we'd really prefer it in full as soon as". Never really thought to push it to be honest but will try this on Monday.


Good - do that. Of course they said 'we'd really prefer it in full', but we all want things in life we don't get! If you play hardball with them and basically say 'this is how it's going to be' you do leave them with little choice. Obviously be polite about it, but leave them in no doubt that if they want their money, they've going to have to compromise with you regarding the P45.
Reply 24
Original post by moonkatt
Yes they have to give you one, but it has to be accurate, which it won't be as you've been overpaid. Once you've settled your overpayment, they'll be able to issue you a P45 with the correct YTD earnings and tax, this is not a bad thing, if you've been overpaid then you'll have overpaid tax, so you should get that back within your earnings, provided you settle this before the end of the tax year in April.

Speak to your current employer and check you filled out your new stater checklist correctly, if you have you should be on 1100L week 1/month 1, not 0T (which is the same as BR). Get this sorted and you'll be paying the right amount of tax until they get your P45.


Ah I see! No one at the uni thought to explain to me that they needed it to calculate the correct earnings. I don't think I paid any tax at my previous job as my yearly salary was under the tax threshold, from what I remember.

And right, thanks - will check with my line manager on Monday to verify they've done the new starter correctly.
Reply 25
Original post by Reality Check
Good - do that. Of course they said 'we'd really prefer it in full', but we all want things in life we don't get! If you play hardball with them and basically say 'this is how it's going to be' you do leave them with little choice. Obviously be polite about it, but leave them in no doubt that if they want their money, they've going to have to compromise with you regarding the P45.


Yeah I'm learning a lot of lessons on how to be an adult because of this so I guess that's one silver lining to this mess. I'm terrified of debt because I saw my mother illegally run from her debts after being harassed for years by several companies before being found and forced into bankruptcy, so my first reaction to owing anyone money is to go "oh god, how much?!" and panic.

But as you said, 'this is how it's going to be', because I just cannot afford £286 in one go, so if they want this money, they will have to compromise. Cheers - never looked at it from this perspective.
Original post by Rae18
Will do. So if this is my uni's fault and they simply refuse to give me my P45, there's literally nothing I can do? I thought it was against the law for them to not give it to me? I can't afford to lose £120 a month! As nice as it'll be to get a small lump sum back in April, I don't know how I'll manage until then.


I dont think they can refuse to give you your P45, they have to send stuff to HMRC to receive the P45 themselves (your old work) and usually this is received on or after the next pay day. Im not sure how it would work if you left towards the end of the month, when was your pay day for your old job?

Also are you sure you arent on an emergency tax code at the moment which will then change once HMRC get your P45? You can reclaim any tax they took off you as well remember.

HMRC arent that great, I remember I received a random letter from them stating my tax code and they said I worked at a job I'd quit over 3 years ago... I phoned them up and they said to send them the details and dates of where I worked instead, did that, made it pretty clear and simple, then got a letter with the wrong place of work again :')

Good luck.

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