Payslips during Covid-19

keithkk16

Has anyone that's working part-time hours got a payslip with "covid-19" payment listed on it? I'm currently working 24hrs a week and get paid minimum wage, but my payslip says something completely different the last 3 weeks now. The last 2 weeks I got paid as normal for the hours I worked, but my payslip said I should be getting a different amount. This week though I got paid for the hours I worked plus an extra €35ish. I'm a bit confused as to what's going on and my boss isn't much help either, I've heard from another person I work with that we have to pay anything extra we get back later in the year in tax If anyone could help with telling me what exactly is happening with my payslips that would very much appreciated.

If this isn't in the right forum can a mod help move to the right place

Foweva Awone

keithkk16 wrote: »

Has anyone that's working part-time hours got a payslip with "covid-19" payment listed on it? I'm currently working 24hrs a week and get paid minimum wage, but my payslip says something completely different the last 3 weeks now. The last 2 weeks I got paid as normal for the hours I worked, but my payslip said I should be getting a different amount. This week though I got paid for the hours I worked plus an extra €35ish. I'm a bit confused as to what's going on and my boss isn't much help either, I've heard from another person I work with that we have to pay anything extra we get back later in the year in tax If anyone could help with telling me what exactly is happening with my payslips that would very much appreciated.

If this isn't in the right forum can a mod help move to the right place

Are you working for a supermarket... I know Tesco and possibly some of the others are paying 10% extra to their employees for working during this. Can you speak to someone in the payroll or HR department to clarify?

I really doubt you'll have to pay anything extra back, I'd say that's misinformation.

Annasopra

keithkk16 wrote: »

Has anyone that's working part-time hours got a payslip with "covid-19" payment listed on it? I'm currently working 24hrs a week and get paid minimum wage, but my payslip says something completely different the last 3 weeks now. The last 2 weeks I got paid as normal for the hours I worked, but my payslip said I should be getting a different amount. This week though I got paid for the hours I worked plus an extra €35ish. I'm a bit confused as to what's going on and my boss isn't much help either, I've heard from another person I work with that we have to pay anything extra we get back later in the year in tax If anyone could help with telling me what exactly is happening with my payslips that would very much appreciated.

If this isn't in the right forum can a mod help move to the right place

The tax thing applies to the unemployment payment that peoole who became unemployed may have to pay tax on their Corona Unemployment benefit.

https://www.citizensinformation.ie/en/social_welfare/social_welfare_payments/unemployed_people/covid19_pandemic_unemployment_payment.html

KildareP

keithkk16 wrote: »

Has anyone that's working part-time hours got a payslip with "covid-19" payment listed on it? I'm currently working 24hrs a week and get paid minimum wage, but my payslip says something completely different the last 3 weeks now. The last 2 weeks I got paid as normal for the hours I worked, but my payslip said I should be getting a different amount. This week though I got paid for the hours I worked plus an extra €35ish. I'm a bit confused as to what's going on and my boss isn't much help either, I've heard from another person I work with that we have to pay anything extra we get back later in the year in tax If anyone could help with telling me what exactly is happening with my payslips that would very much appreciated.

If this isn't in the right forum can a mod help move to the right place

You need to check with your employer payroll department exactly what is happening - they should know! Part-time employees are eligible regardless of hours worked.

Yes the €350 is taxable but is not taxed at source so you will be taxed later on.

When revenue does a return at year end they will work out what you earned for the year (including all the €350's you were paid) and then work out what tax you should have paid.

If there's a difference then they will be looking for it to be paid back by reducing your tax credit for the following year, meaning you'll pay more tax than you otherwise normally would until the balance is paid back.

See:
Page 10, Point 3.1 and
Page 12, Point 3.11
https://www.revenue.ie/en/employing-people/documents/pmod-topics/guidance-on-operation-of-temporary-covid-wage-subsidy-scheme.pdf#page12

keithkk16

KildareP wrote: »

You need to check with your employer payroll department exactly what is happening - they should know! Part-time employees are eligible regardless of hours worked.

Yes the €350 is taxable but is not taxed at source so you will be taxed later on.

When revenue does a return at year end they will work out what you earned for the year (including all the €350's you were paid) and then work out what tax you should have paid.

If there's a difference then they will be looking for it to be paid back by reducing your tax credit for the following year, meaning you'll pay more tax than you otherwise normally would until the balance is paid back.

See:
Page 10, Point 3.1 and
Page 12, Point 3.11
https://www.revenue.ie/en/employing-people/documents/pmod-topics/guidance-on-operation-of-temporary-covid-wage-subsidy-scheme.pdf#page12

I'm not getting the €350 payment, the covid payment on my payslip says €203. This is part of my payslip if that helps, I got the €275.35 this week, but the 2 weeks previous to that I was getting the same payslip, but only getting paid for the 24 hours that I worked and nothing extra which was €240. Will I get the extra for those first 2 weeks eventually?
https://imgur.com/a/pdFOkQn

Tow

€203 is the old Employer Refund Scheme flat rate. It got replaced by the COVID-19 Temporary Wage subsidy (TWSS Phase 1) Scheme on the 26th of March, which is (basesd on yout Jan-Feb average pay) much more complex. TWSS Phase 2 will start on the 4th of May, it is so complex it makes Phase 1 look simple. These schemes are designed to take the workload off DEASP for PUP payments. So are OK if employees are sitting at home doing nothing or are on reduced hours etc. Employers run into serious problems if they try to Top-Up employees to their normal Net Pay, and even worse if employees do extra work and expect to be paid for it!

keithkk16

Tow wrote: »

€203 is the old Employer Refund Scheme flat rate. It got replaced by the COVID-19 Temporary Wage subsidy (TWSS Phase 1) Scheme on the 26th of March, which is (basesd on yout Jan-Feb average pay) much more complex. TWSS Phase 2 will start on the 4th of May, it is so complex it makes Phase 1 look simple. These schemes are designed to take the workload off DEASP for PUP payments. So are OK if employees are sitting at home doing nothing or are on reduced hours etc. Employers run into serious problems if they try to Top-Up employees to their normal Net Pay, and even worse if employees do extra work and expect to be paid for it!

You have confused me even more now, as a part time minimum wage employee what does the mean for me in the simplest way you can explain?

Tow

keithkk16 wrote: »

You have confused me even more now, as a part time minimum wage employee what does the mean for me in the simplest way you can explain?

There is no simple explanation. The first scheme was a simple flat €203, but TWSS has over 50 inputs into a complex formula.

In simple terms and asuming your ARNWP is <= 412.

TWSS Phase 1 you may get:

A Subsidy of 70% of your Jan Feb Average Revenue Net Weekly Pay (ARNWP), as Net Pay.

+

Your employer may top it up (Gross Pay) by 30% of ARNWP.

TWSS Phase 2

A Subsidy of 85% of your Jan Feb Average Revenue Net Weekly Pay (ARNWP), as Net Pay.

+

Your employer may top it up by 15% of ARNWP or up to 350 Net Pay. Which ever is the higher.

fryup

KildareP wrote: »

If there's a difference then they will be looking for it to be paid back by reducing your tax credit for the following year, meaning you'll pay more tax than you otherwise normally would until the balance is paid back.

so this covid payment is basically a loan then?

the tax being the interest ?

Beasty

fryup wrote: »

so this covid payment is basically a loan then?

the tax being the interest ?

No, the tax is the loan. You pay it later on in the year rather than now. That depends on your overall taxable income, and someone only earning €350 or less a week throughout the year would not be subject to tax anyway