Overpayment of Maternity Pay

Claree__x

I started a new job on 5th April this year. My (statutory) maternity pay from my previous employer was paid weekly and was due to finish at the start of May.

I contacted them at the start of March saying that I was starting a new job so I would no longer be entitled to the maternity pay past 5th April and can they please stop it and they acknowledged and agreed.

Long story short, they paid me 2 weeks worth of maternity pay more than I should have got; £276.42 to be exact. I've got it sitting in a separate bank account.

I emailed them after the first payment saying basically hey guys, stop paying me please? They said they would. A week later we had the same conversation. I asked at the time if they wanted it returned and she told me payroll would be in touch (she cc'd the payroll woman in the email).

I've heard nothing since. Like I said, I have the money sitting there but I also have car insurance due that I was going to pay on a credit card (interest free, don't panic ). Wondering if it would be worth using this and negotiating a payment plan when they eventually realise I still owe them it? Or should I remind them it's there?

lulu_92

Definitely remind them it's there. You're doing the right thing to keep it away from your day-to-day cash because you never know when they'll decide they want it back.

Also, keep track of every effort you've made to contact them about it in the event of a dispute.

mariefab

You could get in touch with HMRC and return the SMP directly to them, instead of going through your former employer.

SeduLOUs

Yes it definitely needs sorting and keep all of your emails so that you don't end up with HMRC sniffing or accusing you of claiming SMP when you were not entitled.

As per post above, you could contact HMRC directly to make them aware. They may be able to deduct the overpaid amount gradually through your tax code allowing you to use the lump sum for your car insurance.

Keep employer informed if you do this so they don't start asking for the money aswell. They will still need to adjust at their end as they will have reclaimed some of the monies paid out to you.