Recalculation of overpayment

Vikkig

Hi guys,

Just wondering if i could have your advice.
I finished working at the end of august 2016 but they paid me September wages. In november i paid it back in full but since then I received another letter in march saying the balance was still outstanding. I phoned them and they said it was an accident and i already paid it.
Today I received another letter saying i still owe them, phoned up and they said they'd recalculated it and the original amount wasnt enough.
Now, theres only £60 left to pay but how is it possible that nearly a year later they can just decide i didnt pay back enough? The guy on the phone wasnt willing to give me more information other than the higher ups authorised it and i need to repay. Im willing to repay it if i have to, but i havent started working yet so atm theres no money spare, other than that its really pee'd me off!

sangie595

No - you have to repay IF YOU OWE IT!. An opinion from some "higher ups" isn't enough. I suggest that you write to them - keeping all evidence, saying what you received in error and what you paid back; and insisting that they fully explain how they calculate that you owe more money back. If you actually paid back the same amount that you were overpaid by, the error is possibly theirs, not yours.

TBagpuss

I agree with Sangie,

write back, state that you paid £xx on [date] in full and final settlement of the overpayment and that you relied upon their fuigiures as being correct. Check the letter they sent you - does it mention the words 'full settlement' or anything similar? If it does, then this may make it very difficult for them to claim more even if they did make an error, particularly if the error wasn't one you could easily have spotted.
State that you relied on their statement that the amount requested in November (or October, or whenever you were asked for it) was the full amount owing, and that if they are now asserting that the information given to you at the time was incorrect, they need to set out, in writing:
1. A full, detailed calculation showing exactly how they have reached the new figure, and
2. An explanation of what they assert the error was in their original calculations, and
3. Why they did not advise you immediately of their mistake.

Do you still have your original pay slip to show what you were paid in September and what you paid back? Do you know if the error was corrected with HMRC to ensure that you didn't over pay tax?

Was the amount you paid back different to the amount they originally paid you, and if so, did you ask about it at the time?

Keep a copy of any letter you send them and if you speak to them on the phone, ask for, and write down, the name and role of the person you speak to, and make notes of what is said. (If necessary, ask them to repeat themself, or repeat back what they say to make sure you get it right)

If you have a phonecall in which anything is agreed (for instance if they agree that you don't owe them anything) write to them to confirm it immediately and keep a copy of the letter and proof of postage.

agrinnall

The difference may be down to paying back the gross amount rather then the net amount that you received. It's a complicated calculation that I don't fully understand myself, and the fact that it was in a previous tax year can't help. So a complete explanation from your ex-employer is the absolute minimum you should expect, and I would pay nothing more until you have it and understand it.

Vikkig

Thanks guys. Just spent over an hour on the phone, they said the figure in the first letter was a typo! How is 423 instead of 478 or something a typo? In the end they just kept passing me to around to different people when i asked how theyd made a mistake and realised it only a year later... anyway, theyre sending me a letter with a breakdown of what i was overpaid and why the figures differed (hopefully!). Though i did notice my wageslip says my basic pay is 421 ish. So i assume ill be back here in a few days with an update when i get my next letter hahah.
Edit: i dont earn enough to get taxed so that parts fine.

Carl31

surely they paid you "x" for a months wages. You paid back "x" that you received, thats the matter closed? how can they ask for more money?