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Overpaid by previous employer, should I have to pay it back ?

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Comments

  • lucylucky
    lucylucky Posts: 4,908 Forumite
    Austinhead wrote: »
    Interesting interpretation, and I thought that i'd asked whether I had to pay money back that i'd been paid by mistake ?!

    So you knew it was a mistake that you had received this money.

    Did you spend it by mistake as well?
  • SueC_2
    SueC_2 Posts: 1,673 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Austinhead wrote: »
    Secondly it was my opinion, that since I have been asked to pay this back to the council, that it is the council and not the school that would be "losing" this money.

    Still public money, and ultimately the taxpayer that's footing the bill. That's all of us.
  • SueC_2
    SueC_2 Posts: 1,673 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    The other thing to bear in mind is that, generally speaking, 'what goes around comes around', or 'reap as you sow'.

    I know someone who started a new job, but did a one day induction about 6 weeks before they actually started work. The company messed up and paid them as if they had been in work for that full 6 weeks. As soon as my friend realised, they went to see HR, told them that they had been overpaid, and repaid the money.

    Within a couple of days, their bosses' bosses' boss sought them out and personally thanked them for their honesty, as the nature of the mistake meant it was unlikely to ever have been discovered, and they had therefore made a significant saving for the company through their honesty.

    Within a few months they had received excellent appraisals, a payrise, promotion, and a restructuring of their working hours. And in each instance their honesty and trust-worthiness was cited as a reason for the company to do well by them.

    They could have kept quiet and pocketed the six weeks' money. But long term, honesty has paid out far more.

    And she can look herself in the mirror every night.
  • I still cannot believe how harsh some of you have been. How many of you have been overpaid through tax credits despite telling them about a change, that's public money too !!!.

    You can get down from your pedestals now, i'll not be responding anymore to this thread, feel free to find someone else to criticise.
  • vroombroom
    vroombroom Posts: 1,117 Forumite
    this happened to my OH last week, but it was unknowingly, and his employers have accepted it was their fault but he still has to pay it back.

    I've been hearing horror stories over the last few days about employees getting DCA and baliffs involved so I'd pay it back sharpish if I were you.
    :j:jOur gorgeous baby boy born 2nd May 2011 - 12 days overdue!!:j:j
  • SueC wrote: »
    Still public money, and ultimately the taxpayer that's footing the bill. That's all of us.

    I'm happy enough to lose out, couple grand to you or half a pence to me - take it and run! Personally i think there are far more important things to worry about in life
  • hermum
    hermum Posts: 7,123 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Jimavfc82 wrote: »
    I'm happy enough to lose out, couple grand to you or half a pence to me - take it and run! Personally i think there are far more important things to worry about in life
    Luckily yours & the OP's attitude has been in the minority on this one.
  • lucylucky
    lucylucky Posts: 4,908 Forumite
    Austinhead wrote: »
    I still cannot believe how harsh some of you have been. How many of you have been overpaid through tax credits despite telling them about a change, that's public money too !!!.

    You can get down from your pedestals now, i'll not be responding anymore to this thread, feel free to find someone else to criticise.


    Two wrongs do not make a right, neither does clutching at straws help.
    I hope that by now you have sorted out something with your previous employers in regard to repayment.
  • Uncertain
    Uncertain Posts: 3,901 Forumite
    lucylucky wrote: »
    Two wrongs do not make a right, neither does clutching at straws help.
    I hope that by now you have sorted out something with your previous employers in regard to repayment.


    Equally I trust you have never, ever done anything wrong....

    Never downloaded a copyright file? Never photocopied a map? Never claimed any "questionable" expenses? Never exceeded the speed limit? Declared every last penny of income?

    Mind you don't drop your halo on your foot!
  • I was overpaid almost £1000 in tax credits - their error, as I had informed them of a change in circumstances (two different changes on two different occasions). I still had to pay it back, although it wasn't all in one payment. The second change of circumstances was when my then husband left me for somebody else and I became a single parent (not through choice) to our three children. One of my sons has complex needs and I had to claim income support as well as other benefits. I used my benefits to pay back the money.

    From an employer's point of view, overpayments should be paid back if it reasonable that the employee (or ex employee) should reasonably know that an error has occurred. The person who failed to inform payroll, or the person in payroll who failed to act on information received, may face disciplinary action. As this is a school, the overpayment has come from public money. It is not unreasonable to expect it to be paid back, based on the information given in the OP. As others have said, a payment plan would the way forward if the council agree - and if there is little chance of otherwise recovering the money, it is likely that they will agree to this.

    The OP also stated that they received £500 per month in wages from their employment in a school, and once they had left, £500 from self employment per month. If the overpayment had not occurred, they would not have had an additional £500 a month to spend and would have to have managed, despite birthdays, Christmas and car expenses. Effectively, it appears that the OP has spent an additional £2000 in four months, unless I have misunderstood. If I have, I apologise.

    We all make mistakes, but the OP allowed this to go beyond a mistake and will hopefully sort this out with the council as quickly as possible.
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