Suddenly told that I owe my employer £12,000 when leaving my job

Noddy1
Noddy1 Posts: 35 Forumite
in Employment, jobseeking & training
Hi

I'm currently leaving my job to study a Masters degree for 1 year.

After submitting my resignation, my employer went through my records. Yesterday, they suddenly told me that they've overpaid me by ~12,000 pounds! This is comprised of holiday beyond my allowance, and an overpayment on my year-end bonus. They want me to repay this amount now.

The problem is that I'm about to become a student, with no income. I just can't afford to suddenly pay a £12,000 bill.

Are there any options for what I can do in this situation?
«134

Comments

  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    First Anniversary Photogenic Name Dropper First Post
    Agree a repayment schedule.
  • unforeseen
    unforeseen Posts: 7,279 Forumite
    First Anniversary Name Dropper First Post
    But before that ask for proof of the overpayment
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    First Anniversary Name Dropper First Post
    Get a break down of what!!!8217;s been over paid and as mentioned ask for some proof and for everything to be put in writing.

    If you need some advice I suggest people like CAB and ACAS.

    An employee can!!!8217;t ezpext £12k to just be handed back instantly and after all they have made the mistake.

    Moving forward and looking at income which will be low as a student again, agree a suitable repayment plan if need be but do take that advice from someone if need be too.
  • redpete
    redpete Posts: 4,692 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    MarkN88 wrote: »
    An employee can!!!8217;t ezpext £12k to just be handed back instantly and after all they have made the mistake.

    The holiday allowance wouldn't be the employer's mistake and shouldnt have been a surprise. The OP would have taken more that the pro rata number of days for the proportion of the leave year before they left.
    loose does not rhyme with choose but lose does and is the word you meant to write.
  • ohreally
    ohreally Posts: 7,525 Forumite
    Combo Breaker First Post
    What has become of the tax, NI and any pension contributions? Is this 12K net or gross?
    Don’t be a can’t, be a can.
  • Kathy535
    Kathy535 Posts: 464 Forumite
    First Anniversary First Post Combo Breaker I've been Money Tipped!
    £12k is a lot of money! What proportion of your salary is it? What would have happened had you not been leaving? The annual leave wouldn!!!8217;t have been an issue but the end of year bonus would have been presumably. How would they have reclaimed it? What proof do they have that there is a legitimate overpayment?
  • steampowered
    steampowered Posts: 6,176 Forumite
    First Anniversary Name Dropper First Post
    £12,000 is an awful lot of money for some overtaken money and overpaid bonus.

    I think you need to get a breakdown of how this has been calculated.
  • xapprenticex
    xapprenticex Posts: 1,760 Forumite
    Work another year
  • theoretica
    theoretica Posts: 12,297 Forumite
    First Post Name Dropper Photogenic First Anniversary
    Lots of companies don't give bonuses to people who have handed their notice in, so people wait until they have it before leaving. It reads as though your company is going one further and trying to reclaim what they have already paid. What does it say in your contract about bonuses?
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
  • stator
    stator Posts: 7,441 Forumite
    Name Dropper First Anniversary Combo Breaker First Post
    Would be cheaper to move house and not tell them where you've moved to.

    Ask for a full breakdown.
    Changing the world, one sarcastic comment at a time.
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