Student loan overpayment

Mccrayon

Hello,

The student loan website says that for Plan 1:

The earnings threshold is:
£341 a week
£1,481 a month
£17,775 a year
You pay 9% of your income over the threshold.

However I have noticed that I have paid more than 9% of my wages over this yearly threshold. I called SLC to be told that it's actually done on a monthly basis.

I asked why their website mentions yearly and was told that it's only done on a yearly basis if you've over paid on one month in a year, which really confuses me.

Has anyone had any experience with this kind of thing? If I've been over paying I'd rather have that money back in my own pocket, but it seems that they are backtracking or making it difficult?

Thank you!

Ed-1

Mccrayon wrote: »

Hello,

The student loan website says that for Plan 1:

The earnings threshold is:
£341 a week
£1,481 a month
£17,775 a year
You pay 9% of your income over the threshold.

However I have noticed that I have paid more than 9% of my wages over this yearly threshold. I called SLC to be told that it's actually done on a monthly basis.

I asked why their website mentions yearly and was told that it's only done on a yearly basis if you've over paid on one month in a year, which really confuses me.

Has anyone had any experience with this kind of thing? If I've been over paying I'd rather have that money back in my own pocket, but it seems that they are backtracking or making it difficult?

Thank you!

You can only claim back repayments made if your annual income was under the threshold but your monthly income was over the monthly threshold. Otherwise all repayments made at 9% over the monthly threshold are correct.

adamh87

If your salary is around the threshold the best thing to do is make some salary sacrifice pension contributions to ensure you don't go over and avoid the repayments

Mccrayon

Ah that's an interesting idea, thank you! My wages differ each month though so I'll do some calculations.