GDPR Cookie Consent by SimpleServe Privacy Script HMRC/Student loan - AAD Consumer Forum

Announcement

Collapse
No announcement yet.

HMRC/Student loan

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • HMRC/Student loan

    I am writing on behalf of a friend who's son have recently gone back into employment after being on Job seekers for about 10 months.

    He attended university for 2 years prior to that.

    Her son received his P45 and taken it into the employer who is a car Manager/salesman and in charge of the place, but he is more away then there, and he then has others working for him, obviously car sales man, MOT/Service guy and her son who started a few weeks back a valeter.

    She panicked the other day because a letter arrived from the HMRC, they require details of his pay ref number (as shown on payslip) and amount earned to date (ok this is normal) but her son have been working there for about 4 maybe 5 weeks now and his boss does not issue payslips and pays his pay into the bank every Friday but he is just earning £140 to £150 a week. This is mainly require to check the salary and if eligible yet to start repaying the student loan.

    Unfortunately the HMRC require these details by 28 days of the date of the letter which was 20 June 2011, and if these details are not issued by the 28 days from that date then there will be a penalty fine of £150, and if they have to get the info themselves more fines will be to come.
    And the boss is away to their knowledge for a few weeks again.

    So basically what can her son do?
    He has no pay ref number, does not know what is coming off for NI or basically what is pay should be with no contract as such given yet, I assume that amount is not taxable as such but still.
    He has no pay ref number to give, and the form states this MUST be completed.
    I have heard this guy hides behind doors and lags, but her son desperately needed a job.

    Her son is age 22, the same age as mine, but I do not know what to suggest in these cases, so said I will try to find out.
    Any advice will be helpful, thanks folks.
    Last edited by di30; 26 June 2011, 23:32.

  • #2
    Re: HMRC/Student loan

    How repayments are worked out

    Most people pay back their ‘income contingent’ student loans in the same way as they pay their Income Tax. If you are employed in the UK, your student loan repayments will be collected through the Pay As You Earn (PAYE) system.
    You don’t start paying back your loans until you reach the repayment threshold. This means that you will begin making repayments when your gross earnings are more than either:
    I'm an official AAD Moderator and also a volunteer, here to help make the forum run smoothly. Any views or opinions are mine and not the official line of AAD. Similarly, any advice I have offered you is done so on an informal basis, without prejudice or liability. If in doubt seek advice from a qualified insured professional - Find a Solicitor or go to the National Probono Centre.

    If you spot an abusive or libellous post then please report it by Clicking Here. If you need to contact me, for instance if I've issued you a warning, moved, edited or deleted your post, please send me a message by clicking my username.

    Comment


    • #3
      Re: HMRC/Student loan

      Thank you In2Deep.

      Its like my son as well, he have not hit the limit of repaying his yet, but with my son's friend, it seems then they require the pay ref number and need to know the gross earnings so they can add this to the records perhaps.

      I think she is concerned of her son not being able to get hold of the details because the one who deals with it is never there or spends a lot of time in Portugal. So if the details are not sent in time there will be a £150 penalty fine and more on top if it ends up being the HMRC chasing the guy for the details.

      Cheers hon x

      Crikey my spelling is getting worse..........LOL
      Last edited by di30; 27 June 2011, 08:01.

      Comment


      • #4
        Re: HMRC/Student loan

        Might be an idear to ring HMRC to put them in the picture Good luck
        I'm an official AAD Moderator and also a volunteer, here to help make the forum run smoothly. Any views or opinions are mine and not the official line of AAD. Similarly, any advice I have offered you is done so on an informal basis, without prejudice or liability. If in doubt seek advice from a qualified insured professional - Find a Solicitor or go to the National Probono Centre.

        If you spot an abusive or libellous post then please report it by Clicking Here. If you need to contact me, for instance if I've issued you a warning, moved, edited or deleted your post, please send me a message by clicking my username.

        Comment


        • #5
          Re: HMRC/Student loan

          How many hours a week does he earn as that pay looks low if he is fulltime

          Has he check that his earnings are at or above the NMW.

          This guy sounds a bit shady, so tread carfully and if he is with regards to paying his staff and the HMRC I would have no hessitation in reporting him.

          I would do that anyway if he does not get what he requires within the 28 days.

          Comment


          • #6
            Re: HMRC/Student loan

            Originally posted by in 2 deep View Post
            Might be an idear to ring HMRC to put them in the picture Good luck
            Thank you once again, your input is appreciated.

            I will tell her to get her son to ring, I assume there will be a tel number they can ring on the letter.

            I think she asked me because my son was a student, but he never had these issues.
            I just hope her son is working for a good reputable company, seems dodgy to me, but we shall see, again thank you. x

            Comment


            • #7
              Re: HMRC/Student loan

              Originally posted by pompeyfaith View Post
              How many hours a week does he earn as that pay looks low if he is fulltime

              Has he check that his earnings are at or above the NMW.

              This guy sounds a bit shady, so tread carfully and if he is with regards to paying his staff and the HMRC I would have no hessitation in reporting him.

              I would do that anyway if he does not get what he requires within the 28 days.
              Thanks for your input as well PF.

              From what I know of its 3 days a week, roundabouts 26 hours.

              I can understand her worrying.

              Comment


              • #8
                Re: HMRC/Student loan

                Just checked now and the min wage for over 21's currently stand at this below.....

                £5.93 - the main rate for workers aged 21 and over
                So if he was doing 26 hours a week this would total = £154.18.

                But NI should come out of that at least.
                What about tax?

                I will check with her, but I think she said he brings home around either £130 or £140, so this maybe after, yet his P45 is still sitting in the office!!
                I would be very angry, there is something not right about this.

                Comment


                • #9
                  Re: HMRC/Student loan

                  Found some useful info on the link posted below as well, looks like about £6 a week should be taxed from his wages if £150, then there will be stamp.

                  http://www.hmrc.gov.uk/helpsheets/e12.pdf

                  However, if the boss-man is paying wages into his bank once a week wouldn't that mean he have set up a bacs system and a pay ref number would have been set up? and would this be shown on a bank statement?

                  Comment


                  • #10
                    Re: HMRC/Student loan

                    An little update.

                    The boss is away until Saturday, so the one on the car sales (salesman did take a look but didn't have a clue on what to do, and with no accountant that doesn't help either).

                    Anyway her son will have to make a journey on his day off on Saturday in hope he will do something about this.

                    She have though shown me the form, its a Confirmation of Customer details - Complete if your a resident in the UK.

                    Customer number & Student Support Number:

                    Nat Ins.

                    DOB

                    If employed tick the box

                    Pay Reference Must be provided.

                    Employment start date

                    Gross Earnings - Weekly/Monthly

                    Employers Name

                    Works/Payroll No or Branch no

                    Employer Address (Head office)

                    Just a thought, her son have made a start on completing what he does know but when the payment is made into the bank, is that anything to do with the payroll number perhaps?

                    Comment


                    • #11
                      Re: HMRC/Student loan

                      Here is the tax calculation

                      http://listentotaxman.com/index.php
                      Attached Files
                      Last edited by pompeyfaith; 28 June 2011, 22:18.

                      Comment


                      • #12
                        Re: HMRC/Student loan

                        Thank you for that PF.

                        Comment


                        • #13
                          Re: HMRC/Student loan

                          An update

                          My friends son, his boss arrived back from his getaway in Portugal early this week and have confirmed he have now emailed the dept to get the details, so her son can have the branch number etc, so he have been working there was something like 7 weeks and its only due to this letter that his boss has moved his butt!!
                          I really don't think he would have bothered otherwise, seems pretty dodgy to me.

                          Comment

                          Working...
                          X