Help with P45

MrsManson

Hi I wonder if someone can help.

My husband finished employment on the 1 June 2013, however his P45 appears to be incorrect.

The tax year runs from 6 April and if he left on the 1 June, that would be 8weeks, yet the week number shows week 12. How is that?

Also the pay to date appears to be incorrect.

Unfortunately we don't have the payslips to check, but his p60 from the previous year for 2012/13 shows a salary of £16228. His salary didn't change up to him leaving on the 1 June 2013.

However, the pay to date shows a figure of £5298 which covers 8 weeks. There's no way he earned this amount in the short space of time.

He did receive redundancy payment, but this isn't taxable and isn't included on the P45, so I am unsure as to why the 'pay to date' section is so high.

So the week number appears to be wrong and the 'pay to date'.

As we don't have the original payslips, we cannot check for sure if it matches, but it was just standard hours up to him leaving.

Do you think the employer has made an error and how can the error be made? I thought the info would be generated automatically from earnings throughout the year? Is the P45 manually completed by an individual, so human input error could be the cause?

We are baffled. This has of course affected our tax credits which I started claiming in March this year. I put down the figure as much less on the HMRC Tax credits form, but since the issue of the P60 at the end of the tax year, the HMRC of course gets this information and has now amended the tax credit claim accordingly.

I know I need to get in touch with the employer to try and rectify this but any information on how this could have occurred or why the 'pay to date' is so high, would be gratefully received.

Thanks in advance.

chrisbur

What was his pay interval?
Can you give the full P45 details?
Can you give dates and net payment figures for all payments recieved from 6/4/13 onwards?
Can you get copies of payslips?

Pennywise

MrsManson wrote: »

My husband finished employment on the 1 June 2013, however his P45 appears to be incorrect.

What is the leaving date shown on the P45?

How often he is normally paid? Weekly? 4 Weekly? Calendar Monthly?

When was his final pay actually paid, i.e. exact date money went into your bank?

getmore4less

Did he work notice?


Was there PILON or garden leave.


Holiday pay.


as above what has been paid this tax year you should have those details


looks like round 4month pay which would tie in with the notice being on top.


Why have you not got the final payslip


What was in the redundancy letter this should have covered the payments

MrsManson

Firstly thanks for all the replies.

The details on the P45 are:

Leaving Date: 1 June 2013
Pay to Date: £5298
Week No: 12

His salary was paid calendar monthly, so the last payment date was 31 May 2013. Their working week started on a Sunday and ended on a Saturday, so his leaving date was the 1 June 2013 as stated on the P45.

He wouldn't have had much holiday pay, as their holidays started in April (20 days pa), earned at 1.66 days per month, so even if he was paid the holiday pay, it would only have been 3.3 days worth owed.

As mentioned, his annual salary was only £16,228 per annum, so we've worked out the P45 should show a 'pay to date' sum of half what is showing.

There has been no pay in lieu of notice, or garden leave entitlement

We no longer have the final redundancy letters or payslips because these were mistakenly put out with the recycling (by my husband) when they got mixed up with some other papers. We only realised after the recycling had been collected, so we have no details on payments other than the P45, and from memory.

It does seem rather high though.

chrisbur

MrsManson wrote: »

Firstly thanks for all the replies.

The details on the P45 are:

Leaving Date: 1 June 2013
Pay to Date: £5298
Week No: 12

His salary was paid calendar monthly, so the last payment date was 31 May 2013. Their working week started on a Sunday and ended on a Saturday, so his leaving date was the 1 June 2013 as stated on the P45.

He wouldn't have had much holiday pay, as their holidays started in April (20 days pa), earned at 1.66 days per month, so even if he was paid the holiday pay, it would only have been 3.3 days worth owed.

As mentioned, his annual salary was only £16,228 per annum, so we've worked out the P45 should show a 'pay to date' sum of half what is showing.

There has been no pay in lieu of notice, or garden leave entitlement

We no longer have the final redundancy letters or payslips because these were mistakenly put out with the recycling (by my husband) when they got mixed up with some other papers. We only realised after the recycling had been collected, so we have no details on payments other than the P45, and from memory.

It does seem rather high though.

You say paid monthly but P45 gives a week number not month no.
No tax figure given in P45 details can you give the full details including the section number that relates to them eg 4 Leaving date 6 tax code details 7 Last entries p11 8 This employment pay and tax. If any boxes are blank please confirm this.
Did you query the details at all when the P45 was issues last year?

Intoodeep

A lot of Payroll Programming will see June 1st as Month 3 hence the 12 weeks on the paperwork.

ie. April, May & June x 4 weeks = 12

chrisbur

Intoodeep wrote: »

A lot of Payroll Programming will see June 1st as Month 3 hence the 12 weeks on the paperwork.

ie. April, May & June x 4 weeks = 12

No payroll program should see things like this.If you are paid monthly then the payroll program and from that the P45 should be recording the month number from 1 to 12 (ie January to December) there should under no circumstances be a conversion to weeks. It should never ever be converted to weeks but if it was then it would have to be converted to 13 not 12, otherwise the tax figure will not agree when the new employer checks it. But as I said it should not happen anyway.

My guess is that the employee was not monthly paid but paid every four weeks which would account for the P45 having week 12, but to confirm this I need the full P45 details from the OP.

MrsManson

Hi

Hmmmm, maybe he was paid 4 weekly then if the 'Week No' is highlighted, not sure, however I am just about to dig out some other payslips to see if they tally with a 4 weekly payment, so I will confirm this later.

In the meantime, here are the details from the P45:

Section 4: Leaving Date: 1 June 2013
Section 5: Student Loan Deds: N
Section 6: Tax Code: 944L / Week 1/Month 1 box BLANK
Section 7: Last entries on P11 etc; Week No 12 / Month No BLANK
Total Pay to date: £5298.73
Total tax to date: £623.60

He didn't really look at the P45 when it came. Probably just saw it was his P45 and filed it away. It's only now that the query with Tax Credits has come up that made me question the P45.

Come to think of it, he hasn't received a P60 from them this year either.

Thanks in advance.

chrisbur

MrsManson wrote: »

Hi

Hmmmm, maybe he was paid 4 weekly then if the 'Week No' is highlighted, not sure, however I am just about to dig out some other payslips to see if they tally with a 4 weekly payment, so I will confirm this later.

In the meantime, here are the details from the P45:

Section 4: Leaving Date: 1 June 2013
Section 5: Student Loan Deds: N
Section 6: Tax Code: 944L / Week 1/Month 1 box BLANK
Section 7: Last entries on P11 etc; Week No 12 / Month No BLANK
Total Pay to date: £5298.73
Total tax to date: £623.60

He didn't really look at the P45 when it came. Probably just saw it was his P45 and filed it away. It's only now that the query with Tax Credits has come up that made me question the P45.

Come to think of it, he hasn't received a P60 from them this year either.

Thanks in advance.

Tax paid is spot on for £5298.73 as at week 12. If payment was every four weeks then Week 12 would cover any payment made from June 1st to June 28th so that would be the correct week number. So the P45 is correct assuming that the £5298.73 is correct, which is the important question. To sort this part you need more information. Payslips would be best but failing that can you advise net payments into bank account, from this we can back-calculate to the gross roughly.
Not sure who you are expecting a P60 from; who was the employer on 5 April 2014?

MrsManson

Ok, I've been online and checked the bank account (why I didn't think of this earlier doh!). Here is what I have come up with.

The working weeks for the tax period in question is 8 weeks. However, I can see how they would come to 12 weeks if they count up to the end of the month.

He was paid every 4 weeks on a Thursday around the 16th of the month.

I have worked from March to June 2013 to provide the figures:

Working Weeks
Sun 17 March - Sat 23 March
Sun 24 March - Sat 30 March
Sun 31 March - Sat 6 April

New Tax Year Starts
Sun 7 April - Sat 13 April
Paydate for these weeks: Thursday 18th April @ £1096.40

Working Weeks
Sun 14 April - Sat 20 April
Sun 21 April - Sat 27 April
Sun 28 April - Sat 4 May
Sun 5 May - Sat 11 May
Paydate for these weeks: Thursday 16 May @ £1075.40

Working Weeks
Sun 12 May - Sat 18 May
Sun 19 May - Sat 25 May
Sun 26 May - Sat 1 June (leaving date)
Paydate for these weeks: Thursday 13 June
This payment included his redundancy pay as well as his 4 weekly salary.

However, we can see that he worked one new tax week in Aprils payment and 3 weeks in Junes payment, so if we assume that as a complete 4 weeks, and use the full figure from Aprils payment of £1096.40, then add this to Mays payment of £1075.40, the total for the 8 weeks worked would be £2171.80. That means there is £3126.93 not accounted for if we are to believe the 'Pay to Date' figure on the P45 of £5298.73. (Hope this all make sense).

As mentioned, there would have been very little holiday pay due either.

Hope this helps and thanks :-)