Employer has decided to change pay date for wages!

Girlarty

My husband has received a letter from his employer stating that starting new year instead of being paid 20th of the month it will be paid the 1st, however after being paid 20th Dec he will not receive any wages until the 1st Feb....how can they justify this when January payments for mortgages etc have to be paid when no monies are comming in. Surely they should of waited until the new financial year, April, to impliiment this change plus give more notice. My husband is the only wage earner and a low one at that so this is really hiting us and worrying us silly.....any advise?.
Regards.

getmore4less

They have given a fair amount of notice so there is time to sort this out.

What period does the current pay day(20th) cover and will the new pay date cover the same period?

if they are just moving from 10/11days in advance to 1-2 days after then there will be no need for adjustments to actual pay.


Anyway how do you budget for this.

You need to know your finances inside out so you can make a plan.

If you are living wage to wage then that is something you need to sort out anyway so this is a good time to do that, you should be trying to build in a minimum of one months buffer.

You need to look at debtfreewanabbe board for ideas on making your money go further.

If you don't have one allready start with a SOA to see the big picture for the year, this is a good one
http://www.makesenseofcards.co.uk/soacalc.html

Then do a cash flow analysis forward to Feb, track money in/out on a calender.

This will show you the impact of the change of income date Dec/Jan so you can start to move spends around to try to not make this go negative.
with the detail you should now have, you will know how much you need to change.

If you move any automated payments make sure they are not too close to the actual pay day.

Look for spends over the next three months that can be delayed till Jan
Look for regular spends that can be reduced or cut out completely,
Check utilites, are these in credit yoiu can get back
Run down your food stock if you have them to reduce the food bills,
go out a little less

One option that can help would be 0% spends CC this can help with the cash flow ove a 12month period.

If you need ideas post the SOA and the cash flow analysis on the debtfreewanabee board for feedback and drop a note here so people know to go look.

If you do the analysis it might not be that bad once you see the numbers.
Don't panic and start changing things analyse first.

Don't forget that Feb/march are the no council tax months so there is a buffer coming.

Girlarty

Hmm debateable on the fairness of amount of time given with Christmas being Dec and all funds tend to go in that pot!! Basically I think the works idea of doing this at this time of year stinks and they know it is hiting hard. Our normal pay date is the 20th of each month and all DD etcs are tailored around that, we dont have any monies left in the pot after paying mortgage to be able to put aside, as mentioned we just survive we dont really live, so going out!!! what is that lol we are low low wages any HGV driver wil confirm average of 1100 a month take home is pittance both in our 50s.

Googlewhacker

Girlarty wrote: »

Hmm debateable on the fairness of amount of time given with Christmas being Dec and all funds tend to go in that pot!! Basically I think the works idea of doing this at this time of year stinks and they know it is hiting hard. Our normal pay date is the 20th of each month and all DD etcs are tailored around that, we dont have any monies left in the pot after paying mortgage to be able to put aside, as mentioned we just survive we dont really live, so going out!!! what is that lol we are low low wages any HGV driver wil confirm average of 1100 a month take home is pittance both in our 50s.

You've been given over 3 months notice of when this change is happening....that is ample notice. You would still have to live until the 20th Jan so you are only having to stretch it by another 11 days.

If that is still hard then get your OH to ask the employer for an advance on the 11 days pay and then pay it back on the 1st Feb.

peachyprice

Don't you just move your DD's due on the 20th Jan to the 1st Feb?

getmore4less

You might not like it but I think they can do it and you have a lot of notice.

Xmas does not have to be any more expensive than any other month and should not put a strain on dec finnaces if budgeted for properly.

Any way you can rant as much as you like, but that won't help ifthey do change what you need is a plan.

Do you have SOA?

Any reason why you don't work?

getmore4less

peachyprice wrote: »

Don't you just move your DD's due on the 20th Jan to the 1st Feb?

That won't work for all companies, sometimes mortgage payments need to be made in the calender month.

Council tax can sometimes be moved/delayed depends on the council
Some if you stop the DD it takes a while to catch up but they will reschedule othere insist on full payment.

A proper plan is needed to see what can be done before jumping in and changing things.

david39

My employer did a similar thing some years ago and so did my wife's (civil service).

Both employers offered to alleviate any hardship by paying extra money to bridge the gap over a two month period and then claw it back by deducting in the following two months, thereby giving a seven month adjustment period (with the three month's notice they also gave).

Maybe if enough of the employees raise it as an issue, then the employer may offer a similar arrangement.

Girlarty

I cannot work due to being physically disabled..... in answer to Googlewhacker----
"You would still have to live until the 20th Jan so you are only having to stretch it by another 11 days." obviously you pick up more than a 1k month yes its only 11 days but when you only pick up a small amount, less the 600+ mortgage, gas is budgeted each month as with elect.... we dont go out we survive so Im not ranting just simply asking advice. Cannot afford the advancement either, we are basically left with just over 40 quid a month if we lucky. The DD's we approached the firms but they want some form of overpayment in Dec and Feb which we simply cannot afford to do. Cannot pay what we dont have.( hubby took loan out to pay for ADI training which takes up a lot of our cashflow...we did this to hopefully change his career move to a better job with better pay ). I am sorting out my jewellery to at least find some of the mortgage monies,not happy but we will do what we can. As I say we are in our late 50s and this is hard.

Googlewhacker

Girlarty wrote: »

I cannot work due to being physically disabled..... in answer to Googlewhacker----
"You would still have to live until the 20th Jan so you are only having to stretch it by another 11 days." obviously you pick up more than a 1k month yes its only 11 days but when you only pick up a small amount, less the 600+ mortgage, gas is budgeted each month as with elect.... we dont go out we survive so Im not ranting just simply asking advice. Cannot afford the advancement either, we are basically left with just over 40 quid a month if we lucky. The DD's we approached the firms but they want some form of overpayment in Dec and Feb which we simply cannot afford to do. Cannot pay what we dont have.( hubby took loan out to pay for ADI training which takes up a lot of our cashflow...we did this to hopefully change his career move to a better job with better pay ). I am sorting out my jewellery to at least find some of the mortgage monies,not happy but we will do what we can. As I say we are in our late 50s and this is hard.

So your just going to ignore the advice of asking for an advance from the employer to cover the extra 11 days?

Girlarty

Where do you come from Google!!!! we are not ignoring the advice in relation to the advance but as previously stated we are on LOW incomes with hardly any monies to play with at the end of each month....IE we dont EARN ENOUGH TO REPAY BACK IF WE DO TAKE ADVANCE.... what we aint got we cannot pay back SIMPLES !!! so basically your advice is to go into debt just for the sake of getting a advancement and having less then in February,occur interest which then = more debt, pay off interest to incurr even more debt lol ...well that really makes sense! Good advice eh? Definatley not having a advance. Too many peeps get into trouble by taking out advancements they cannot afford and on here they encourage it lol