New employer not taking student loan repayments

Toiletduck

Hi,

I started a new job in September this year and handed my P45 to my new employer, the P45 had instructions to continue making student loans deductions. However 4 pay days later and my new employer has not yet made any deductions. I'm a little conflicted as what to do as I'm £90 a month better off because of it however I'm a little concerned that the student loans company may demand back payments in the future or apply some fine to my account. Am I obliged to make my employer take payments? My P45 which I gave them had a tick in the box indicating payments should continue so I feel that I have informed them, what should I do?


Thanks for your advice,


Andy

HugoSP

I suspect it is likely that your employer has made an error, unless it is their policy not to deduct student loan repayments from your pay - though I thought they would be obliged to.

Toiletduck

I actually had the same situation with my last employer, they didn't deduct any repayments for the first 6 months, I then got a letter from the SLC who said they had lost my details but have now arranged to to start repayments. I didn't worry that time because I had only started working mid way through the tax year so I knew my earnings would not be over the £15000 threshold. I'm just wandering now though if I am responsible for notifying my employer that they haven't been taking payments or not?

cheers

andy

CLAPTON

it would make sense for you to contact your payroll departement... it looks as f they have simply made a mistake.

Mikeyorks

As post #4 - contact payroll in the first instance. If you're convinced the P45 had the continuity tick then the SLC deductions should continue (assuming you're still running above £15k / 12 monthly) .. without the need of a fresh 'Start' notice from SLC to your employer.

On the missing deductions HMRC have this to say :-

There might also be a gap in your student loan repayments. At the end of the year you could find that if you have not made sufficient repayments you could be charged interest by the SLC

...... but that's on the subject of missing P45s where you could reasonably be expected to take action. If it's a payroll glitch .. you'll need to contact SLC direct, and I suspect they'll be relatively laid back about it.