bonus payments and giving notice

anonnymouse15

its not an ideal arrangement and i would rather have it through the company given that if the md died or when hes been off sick for prolonged periods i get nothing but i cant afford to argue. 
it is paid by the md out of his pocket, i believe he wanted to do it this way so the accountant did not find out and tell other staff i get a bonus and they do not. i suspect that he never meant it to be included within my contract and copied and pasted the wording from someone elses contract.

 initially i missed it from my contract and only noticed it a few years into employment, when i pointed it out to him because of the amount that was owed it would have been a big hit for the company. so he asked if i would accept him paying it. he does this in cash because if he did it through his bank his wife would notice and give him a hard time. 

it sounds like if i did leave then he would have to pay. i doubt he would go as far as going to the courts and i wouldn't really want to do that either but its alot of money to not get paid when its owed.

thanks for everyones help

Ozzuk

This sounds like a really dodgy situation - it sounds like you haven't been paying tax/NI on it, so you are also on very rocky grounds - if he refuses and you take him to court then you are opening yourself up to investigation into tax owed - which if you've been there a few years will be in the thousands, worse if you are a higher rate tax payer as just that 5k will be 2k in tax.

jonnygee2

i believe he wanted to do it this way so the accountant did not find out

*alarm bells*

You are still owed the bonus, it's contractual. You also owe a tax bill, which legally and morally you should look to set straight.