USC Deduction

theredletter

Hi guys,

need your advice on this..

I was overpaid for one month of my salary and was unaware (don't read my payslips - I've learned my lesson) and they are looking for a deduction which I am fine about... However when I realised I was overpaid I noticed that my USC was 0.00.. Then I looked back and realised that i haven't beed charged USC since December. I am fuming. I thought my salary increase was due to new budget and the fact that I had paid off my bike to work (new job). I talked to revenue who are blaming a database corruption but it seeems that four-five people in my company are having similar issues and have all been contacted today......

Any idea of what action I should take on this? So annoyed...

ross

theredletter

Hey guys,

any ideas what I should do on this?

Ross

jimmii

Contact the Payroll department so they can look into getting it fixed.

theredletter

Accounts tell me to contact Revenue...

jimmii

theredletter wrote: »

Accounts tell me to contact Revenue...

Did you try them? I have found them very helpful when I have had to deal with them.

theredletter

Yeah I have.. I suppose I'm wondering who I should blame: employer or revenue

jimmii

theredletter wrote: »

Yeah I have.. I suppose I'm wondering who I should blame: employer or revenue

These things happen no point looking for someone to blame!

barneystinson

theredletter wrote: »

Yeah I have.. I suppose I'm wondering who I should blame: employer or revenue

Well if you accept revenue's explanation, you can blame their computer system. What you should focus on is finding out how to get your tax credit cert amended in such a way that you pay the additional USC spread over the remaining 9 months of the year.

theredletter

jimmii wrote: »

These things happen no point looking for someone to blame!

I don't think that's constructive.. Is this forum moderated!? These things don't happen and its that attitude that lets the revenue away with murder.

jimmii

theredletter wrote: »

I don't think that's constructive.. Is this forum moderated!? These things don't happen and its that attitude that lets the revenue away with murder.

To report a post click on the little red icon to the left of a post. The Revenue already seem to have held their hand up and say that it was their fault you would have thought that a database corruption should have been discovered by themselves. For who to blame for it going on so long that would be yourself and possibly the company for not noticing they had employees not paying USC. Its just lucky you noticed when you did can you imagine if it had been going on for a couple of years that would not have been nice.

athtrasna

theredletter wrote: »

I don't think that's constructive.. Is this forum moderated!? These things don't happen and its that attitude that lets the revenue away with murder.

There's no letting anyone away with anything. An error occurred, you still owe the money, blaming someone isn't going to change anything

barneystinson

jimmii wrote: »

To report a post click on the little red icon to the left of a post. The Revenue already seem to have held their hand up and say that it was their fault you would have thought that a database corruption should have been discovered by themselves. For who to blame for it going on so long that would be yourself and possibly the company for not noticing they had employees not paying USC. Its just lucky you noticed when you did can you imagine if it had been going on for a couple of years that would not have been nice.

+1

Ultimately it's everyone's own responsibility to ensure they are paying the right amount of tax.

I'd be interested to hear about the murder revenue have been getting away with...

theredletter

athtrasna wrote: »

There's no letting anyone away with anything. An error occurred, you still owe the money, blaming someone isn't going to change anything

Done. Asked for thread to be closed.

barneystinson

theredletter wrote: »

Done. Asked for thread to be closed.

Before that, how about telling me about the murder?

jimmii

Just in case it does happen to anyone else what is actually happening with it now? Considering it was really out of your hands you would hope they would let you pay it back on your terms

theredletter

barneystinson wrote: »

Before that, how about telling me about the murder?

Why provoke further discussion on what is, in my mind, a finished conversation? I came for advice and got it and don't need to go back and forth over this. The question has been answered. I came here thinking that this would be a forum where people 'in the know' would have further information before I go back to payroll or the revenue.

I am not saying that my deduction was murder but that not questioning the revenue on what was ultimately their mistake is what leads to bad practice that's all. I think that letting them away over something that was THEIR mistake is unfair... I also outlined in my original post that I noticed the change in pay but "thought my increase was due to new budget and the fact that I had paid off my bike to work (new job)". As I am clearly not 100% on reading my payslips I'll take that portion of the blame but will be making a complaint in the future.

I don't think that getting into this is either constructive or necessary. I have asked for the thread to be closed and don't think we need to continue this conversation.

theredletter

jimmii wrote: »

Just in case it does happen to anyone else what is actually happening with it now? Considering it was really out of your hands you would hope they would let you pay it back on your terms

I'll get a P20 at end of the year and will be invoiced for the balance.. I may not have a job at that point hence my frustration.. I asked for it to be spread out monthly and was told no.

barneystinson

theredletter wrote: »

Why provoke further discussion on what is, in my mind, a finished conversation? I came for advice and got it and don't need to go back and forth over this. The question has been answered. I came here thinking that this would be a forum where people 'in the know' would have further information before I go back to payroll or the revenue.

I am not saying that my deduction was murder but that not questioning the revenue on what was ultimately their mistake is what leads to bad practice that's all. I think that letting them away over something that was THEIR mistake is unfair... I also outlined in my original post that I noticed the change in pay but "thought my increase was due to new budget and the fact that I had paid off my bike to work (new job)". As I am clearly not 100% on reading my payslips I'll take that portion of the blame but will be making a complaint in the future.

I don't think that getting into this is either constructive or necessary. I have asked for the thread to be closed and don't think we need to continue this conversation.

So Revenue don't get away with murder?

theredletter

barneystinson wrote: »

So Revenue don't get away with murder?

Metaphorically or otherwise?

barneystinson

theredletter wrote: »

Metaphorically or otherwise?

In whatever way you meant it when you said it?

jimmii

theredletter wrote: »

I'll get a P20 at end of the year and will be invoiced for the balance.. I may not have a job at that point hence my frustration.. I asked for it to be spread out monthly and was told no.

Ok now that is ridiculous. I can't believe they can't accommodate you there. Is there any chance the company would hold their hands up and pay it and then you pay the company back each month do you think?

I'm a business owner and if this happened to someone I was employing this would definitely be something I would be more than happy to do for them.

theredletter

barneystinson wrote: »

In whatever way you meant it when you said it?

I meant it metaphorically and it was exaggerated language for emphasis. You see, I was trying to unpack my frustration further by saying that they 'are let away with murder' but this wasn't referring to actual murder. Language is a beautiful thing.

Behind the metaphor I meant that if I let it go and repay it on their terms that it might not suit me. Since this was an internal error then I should have some say in how and in what period of time I return the USC (which I am happy to pay back).

If you want to speak literally, I can clarify that the Revenue as an organisation have not (to my knowledge) been murdering people and hope that that's the case.

barneystinson

jimmii wrote: »

Ok now that is ridiculous. I can't believe they can't accommodate you there. Is there any chance the company would hold their hands up and pay it and then you pay the company back each month do you think?

I'm a business owner and if this happened to someone I was employing this would definitely be something I would be more than happy to do for them.

Well as employer you could simply agree with the employee to withhold the appropriate amount of USC weekly over the rest of the year...

The way I see it Revenue are being very accommodating - when the P21 issues, which will be almost a year away, there'll be an underpayment, and at that point the OP can agree to pay it by having his tax credit for the following year or two reduced...

jimmii

barneystinson wrote: »

Well as employer you could simply agree with the employee to withhold the appropriate amount of USC weekly over the rest of the year...

The way I see it Revenue are being very accommodating - when the P21 issues, which will be almost a year away, there'll be an underpayment, and at that point the OP can agree to pay it by having his tax credit for the following year or two reduced...

But it appears they have said it can't be paid back monthly and they will just issue an invoice for it which presumably will mean it needs to be paid in full with X days. If it can be paid back the following year that definitely seems like the best outcome.

theredletter

barneystinson wrote: »

Well as employer you could simply agree with the employee to withhold the appropriate amount of USC weekly over the rest of the year...

The way I see it Revenue are being very accommodating - when the P21 issues, which will be almost a year away, there'll be an underpayment, and at that point the OP can agree to pay it by having his tax credit for the following year or two reduced...

Ah see this is the kind of thinking I need - thanks! I'll look into this.

jimmii

theredletter wrote: »

Ah see this is the kind of thinking I need - thanks! I'll look into this.

I think its definitely worth keeping the thread going so you can report back with how it plays out as no doubt it will happen again to someone somewhere and they will stumble on this thread while trying to figure it out.

Pawwed Rig

Or just save a bit of your income each month and then pay what you owe when the bill issues.

theredletter

jimmii wrote: »

I think its definitely worth keeping the thread going so you can report back with how it plays out as no doubt it will happen again to someone somewhere and they will stumble on this thread while trying to figure it out.

Will do - hope mods see this.

theredletter

Pawwed Rig wrote: »

Or just save a bit of your income each month and then pay what you owe when the bill issues.

yeah I could do that and that's what I was thinking. I know this sounds bad but I shouldn't have to go to the effort of adding their mistake into my monthly budgeting? I am happy to pay back as I said.. but just want to do it in a way that I want (i.e. raise my USC rate and pay it back over 6 months or pay in one lump sum asap while I'm still in employment/ in the country.)

barneystinson

theredletter wrote: »

yeah I could do that and that's what I was thinking. I know this sounds bad but I shouldn't have to go to the effort of adding their mistake into my monthly budgeting? I am happy to pay back as I said.. but just want to do it in a way that I want (i.e. raise my USC rate and pay it back over 6 months or pay in one lump sum asap while I'm still in employment/ in the country.)

I'm sure they'll be able to do that, all they have to do is issue your employer with your correct USC bands on a cumulative basis.

Or alternatively if they won't do that, just get your employer to input that detail to their payroll system as if Revenue had given them the correct details from day 1, they won't get in trouble for correcting what Revenue have acknowledged was a mistake.

Pawwed Rig

Have to say it is a pretty poor payroll operator that didn't query why an employee wasn't paying USC. Revenue, payroll and you have missed this to end up in am underpayment situation.

theredletter

barneystinson wrote: »

I'm sure they'll be able to do that, all they have to do is issue your employer with your correct USC bands on a cumulative basis.

Or alternatively if they won't do that, just get your employer to input that detail to their payroll system as if Revenue had given them the correct details from day 1, they won't get in trouble for correcting what Revenue have acknowledged was a mistake.

I think they're going to put me on Week 1, I forgot to mention that!

barneystinson

theredletter wrote: »

I think they're going to put me on Week 1, I forgot to mention that!

Yeah that's inferred from what you said earlier.

If they issue it cumulatively you'd have to pay the whole underpayment immediately, that's why they reissue it as Week 1, so as not to murder you

But if you actually tell them you'd rather they reissue it cumulatively, that you understand the implications, and insist on it, they'll do it.

allthedoyles

Its a mistake that Revenue are making by assuming that an employees income will not exceed 12,012 in 2015 .

I have a tax credit cert in front of me for a family member and this is what is says :

''

You are deemed exempt from paying USC for the current year as your total income for the year has been estimated to not exceed €12,012

Please notify Revenue if it is likely that your income will in fact exceed €12,012 ''

Now as you know well over 90% of paye workers would not even read this anyway.
Most dont even see a tax credit cert , because tax office are not sending them out in post any more .
They are available on paye-anytime fair enough .

Now this family member earned €1,800 last year which is probably why they are deemed exempt this year .

However , they now working full-time college placement , so won't be far off the exemption limit .

And if they go over it by a euro , then an underpayment will apply for all €12,012 .

toadfly

Pawwed Rig wrote: »

Have to say it is a pretty poor payroll operator that didn't query why an employee wasn't paying USC. Revenue, payroll and you have missed this to end up in am underpayment situation.

How do you figure that? Payroll are there to process what revenue tell them to. There is a thing as being exempt from paying USC and its none of payrolls business to ask questions about employees personal affairs.

Also if it's a large company, payroll don't have time to check everyone's tax manually. I pay 900/week, no way could I look into everyone in that detail.

QuinDixie

theredletter wrote: »

Ah see this is the kind of thinking I need - thanks! I'll look into this.

hey, if you underpay any tax, Revenue will come to a deal with you to pay it back overtime.
Happened to my brother.
Not sure if affects you but If you are a medical card holder you pay reduced USC.

barneystinson

toadfly wrote: »

How do you figure that? Payroll are there to process what revenue tell them to. There is a thing as being exempt from paying USC and its none of payrolls business to ask questions about employees personal affairs.

Also if it's a large company, payroll don't have time to check everyone's tax manually. I pay 900/week, no way could I look into everyone in that detail.

Really? It would take you all of a minute to extract a csv file of a gross to net report, use excel to identify how many people aren't paying USC, and then not much longer to notify the very small number of such people to make sure they know...

thesimpsons

barneystinson wrote: »

Really? It would take you all of a minute to extract a csv file of a gross to net report, use excel to identify how many people aren't paying USC, and then not much longer to notify the very small number of such people to make sure they know...

I did that in the past, sent them messages to check their rates/credits, phoned them up, put a message in the comments section on their payslip (and ran a highlighter over it) and still they will maintain they were never told and try blame payroll dept, revenue, etc. I don't do it much any more unless I know its a young employee who mighten not know much about taxes, or someone new to the country.

Pawwed Rig

To be fair if payroll does not react to issues like this then they are just data entry clerks.