Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

Wage Subsidy Scheme Issues

Options
1…1617192122…62

Comments

  • Options
    #542
    CoronaBlocker
    Registered Users Posts: 247 ✭✭CoronaBlocker


    collsoft wrote: »
    You are absolutely entitled to those payments.

    I dont know anything about your employer or the situation that he is in.

    But I can tell you that if I had to make the decision to close my business I would find that a pretty traumatic experience, and to be honest I might stick my head in the sand for a few days to let it sink in.

    Your own employer may be feeling the same at the moment.

    I just discovered an hour ago that only two of us were let go - still three or four of them in there. He's still operating obviously. I would imagine that makes it fairly certain that he's playing fast and loose with me.

    I'm sure business is not what it was but if it was that bad, he'd have let some more go too. Grrr. I was the designer so I had finished a big batch of work... production follows after my lot so the other lads should have their eyes opened by this and recognise that when this work is through...


  • Options
    #543
    Pistachio19
    Registered Users Posts: 475 ✭✭Pistachio19


    Kevint30 wrote: »
    Hi All,

    I have a query in relation to the actual revenue COVID refund received for April.

    We got refunded 1,640 per eligible employee (410*4), but our expected refund was 2,050 (410*5) as April was a 5 week period. I believe if we are being consistent with calculations made when calculating ARNWP for monthly payroll initially the correct subsidy per week per employee should be 1,776.66(410*52/12). Thoughts anyone?

    I do understand this is only estimated subsidy before operational phase, but should the subsidy be for a 5 week period and not the 4 weeks?


    The attached shows the applicable payroll frequency multipliers - might explain your query? We pay monthly and got back €410x4 per employee.
    IMG_1517.PNG


  • Options
    #544
    Kevint30
    Registered Users Posts: 147 ✭✭Kevint30


    Pistachio19 wrote: »
    The attached shows the applicable payroll frequency multipliers - might explain your query? We pay monthly and got back €410x4 per employee.
    IMG_1517.PNG

    There are 2 April calculations "monthly" and "4 weekly"

    We projected our refund to be "April monthly" as we apply monthly payroll.

    Why have revenue refunded "4 weekly" if its monthly payroll?

    Sorry now there's probably a simple explanation for this


  • Options
    #545
    Kaonashi
    Registered Users Posts: 3 ✭Kaonashi


    Thanks for reply.
    I was thinking if theres something more. I heard of a place where few people got their twss for a couple of weeks no problem and then out of no where approx 60% of people became illegible without a word of explanation.

    collsoft wrote: »
    You can operate the Subsidy Scheme on a Week-On, Week-Off basis no problem.

    Depending on the amount of pay earned on the "Week-On" you may even still be eligible for a subsidy payment.

    Likewise, you can pay the subsidy for people "On-Call" but the amount of subsidy will be determined by the on-call allowance that is paid.

    Generally speaking you can make regular employer payments and still be on the scheme, but the amount of the employer payment will influence the subsidy payment, and in some cases may eliminate the subsidy (and eligibility for the scheme that week) if the payment is high enough.

    Each employee must be looked at on a case by case basis, and you must follow the relevant instruction in the CSV file from Revenue in determining the subsidy payment.


  • Options
    #546
    ilovespudss
    Registered Users Posts: 199 ✭✭ilovespudss


    collsoft wrote: »
    I just got off my daily skype call with Revenue and a number of Payroll providers reported cases where the subsidy seems to have been reduced where an employee is in receipt of one of these benefit payments.

    The Revenue team didnt think that the subsidy should be reduced as described but they are going to look into it.

    Im not entirely sure that there is a separate RPN that is allocated to DEASP, and therefore it shouldnt look like a second employment on Revenue systems.

    But lets see what they say

    Cheers,

    Received clarification today that occupational pensions are seen as another employment, so this is what was effecting the subsidy receivable.


  • Advertisement
  • Options
    #547
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Hi

    I need a bit of help please

    We are on wage subsidy scheme here in work and we cant make head or tail of pay slip

    Normal
    Gross pay 669
    net pay 587


    Subsidy
    Covid 350
    Employer pay 319.9
    tax refund 30
    nett pay 700


    This week
    Covid 350
    Employer pay 237.19
    Tax refund 50
    Nett pay 637


    Can anyone help. When I questioned this I was told we would get a lump sum at end of subsidy to allow for drop in employer pay and we will have to pay tax on lump sum

    Something not right here ?


  • Options
    #548
    eh i dunno
    Registered Users Posts: 12,043 ✭✭✭✭eh i dunno


    Is anyone on the covid 70% payment working a full week with no top up from employer? Can this even be done as it would put some employees below minimum wage?


  • Options
    #549
    Alltherage
    Registered Users Posts: 138 ✭✭Alltherage


    First part, yeah there's definitely people in that position.
    Can it be done, I would presume no am basing that presumption on that there's been no announcement of suspension of either minimum wage or contract law. if I'm pushing for employees to accept a pay cut it's kind of reliant on reaching that agreement ideally I'd want to see some sort of written acknowledgement (not below minimum wage though),


  • Options
    #550
    Pistachio19
    Registered Users Posts: 475 ✭✭Pistachio19


    SAMTALK wrote: »
    Hi

    I need a bit of help please

    We are on wage subsidy scheme here in work and we cant make head or tail of pay slip

    Normal
    Gross pay 669
    net pay 587


    Subsidy
    Covid 350
    Employer pay 319.9
    tax refund 30
    nett pay 700


    This week
    Covid 350
    Employer pay 237.19
    Tax refund 50
    Nett pay 637


    Can anyone help. When I questioned this I was told we would get a lump sum at end of subsidy to allow for drop in employer pay and we will have to pay tax on lump sum

    Something not right here ?


    Here's my take on it - It would appear that the first week was incorrect as your employer seems to have worked your pay out based on your gross weekly figure of €669. For the purposes of the wage subsidy scheme you are only allowed work on net figure (€587). So it looks like this week has been done correctly. The refund of tax is fine and is based on your own personal tax credits, so a colleague on the same salary may have a slightly different tax refund.


  • Options
    #551
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Pistachio19 wrote: »
    Here's my take on it - It would appear that the first week was incorrect as your employer seems to have worked your pay out based on your gross weekly figure of €669. For the purposes of the wage subsidy scheme you are only allowed work on net figure (€587). So it looks like this week has been done correctly. The refund of tax is fine and is based on your own personal tax credits, so a colleague on the same salary may have a slightly different tax refund.

    Thanks for reply

    What about tax on covid payment ?


  • Advertisement
  • Options
    #552
    Pistachio19
    Registered Users Posts: 475 ✭✭Pistachio19


    SAMTALK wrote: »
    Thanks for reply

    What about tax on covid payment ?

    There will be no tax on that yet - it seems this will be done at year end and it's advised if you can to keep a few euro aside to be able to pay it. Otherwise it can be written off against medical expenses, for example, if you have any. Or they may amend tax credits for 2021 to factor in any money owing. It's a balls but at least for small business like us, we can keep on our staff and they are getting paid a salary near to their usual salary for now, rather than us having to let them go. If you have a savings account throw a few euro into it for the next few weeks and hope that you can cover any tax bill at year end.

    Just to say, I'm not a tax expert - just an employer whose head has been melted with this :-)


  • Options
    #553
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Pistachio19 wrote: »
    There will be no tax on that yet - it seems this will be done at year end and it's advised if you can to keep a few euro aside to be able to pay it. Otherwise it can be written off against medical expenses, for example, if you have any. Or they may amend tax credits for 2021 to factor in any money owing. It's a balls but at least for small business like us, we can keep on our staff and they are getting paid a salary near to their usual salary for now, rather than us having to let them go. If you have a savings account throw a few euro into it for the next few weeks and hope that you can cover any tax bill at year end.

    Just to say, I'm not a tax expert - just an employer whose head has been melted with this :-)


    This is where the confusion is. If my wage works out the same and I get 50 euro back why do I owe tax ?

    If I owe tax on covid payment I'm then down money every week technically ?


  • Options
    #554
    The_Chap
    Registered Users Posts: 493 ✭✭The_Chap


    SAMTALK wrote: »
    This is where the confusion is. If my wage works out the same and I get 50 euro back why do I owe tax ?

    If I owe tax on covid payment I'm then down money every week technically ?

    your net wage is higher than previous in both examples

    normal net = 587 vs 700 and 637

    the covid payment is currently not being included in your tax calculation, therefore due to the calculation basis of tax you are due a refund as cumulatively to date you have overpaid.


  • Options
    #555
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    The_Chap wrote: »
    your net wage is higher than previous in both examples

    normal net = 587 vs 700 and 637

    the covid payment is currently not being included in your tax calculation, therefore due to the calculation basis of tax you are due a refund as cumulatively to date you have overpaid.

    Thanks The Chap . I understand the refund of tax but it's the tax on the covid payment I'm trying to figure out.

    The most recent payslip makes sense except for the covid payment part. If I have to pay tax on this then i am down on my wages ?

    The previous payslip of 700 nett would make sense if I have to pay covid tax as I would just put the balance away (i.e 113 euro)


  • Options
    #556
    Seve OB
    Registered Users Posts: 15,884 ✭✭✭✭Seve OB


    SAMTALK wrote: »
    Hi

    I need a bit of help please

    We are on wage subsidy scheme here in work and we cant make head or tail of pay slip

    Normal
    Gross pay 669
    net pay 587


    Subsidy
    Covid 350
    Employer pay 319.9
    tax refund 30
    nett pay 700


    This week
    Covid 350
    Employer pay 237.19
    Tax refund 50
    Nett pay 637


    Can anyone help. When I questioned this I was told we would get a lump sum at end of subsidy to allow for drop in employer pay and we will have to pay tax on lump sum

    Something not right here ?
    Pistachio19 wrote: »
    Here's my take on it - It would appear that the first week was incorrect as your employer seems to have worked your pay out based on your gross weekly figure of €669. For the purposes of the wage subsidy scheme you are only allowed work on net figure (€587). So it looks like this week has been done correctly. The refund of tax is fine and is based on your own personal tax credits, so a colleague on the same salary may have a slightly different tax refund.

    Sam your employer is wrong on both slips.

    Employer top up plus the subsidy cannot be anymore than your average or normal nett. Your employer is paying you to much of a top up and the subsidy should actually be reduced accordingly.


  • Options
    #557
    Pistachio19
    Registered Users Posts: 475 ✭✭Pistachio19


    Seve OB wrote: »
    Sam your employer is wrong on both slips.

    Employer top up plus the subsidy cannot be anymore than your average or normal nett. Your employer is paying you to much of a top up and the subsidy should actually be reduced accordingly.

    Is the 2nd one not correct - €350 subsidy plus €237 to give his previous net pay of €587?


  • Options
    #558
    ilovespudss
    Registered Users Posts: 199 ✭✭ilovespudss


    Pistachio19 wrote: »
    Is the 2nd one not correct - €350 subsidy plus €237 to give his previous net pay of €587?

    Yeah, second in is spot on.

    The first one would have seen the €350 subsidy tapered down by the excess amount over €587


  • Options
    #559
    Seve OB
    Registered Users Posts: 15,884 ✭✭✭✭Seve OB


    Pistachio19 wrote: »
    Is the 2nd one not correct - €350 subsidy plus €237 to give his previous net pay of €587?

    Sorry my bad. It’s Friday night!
    I did a quick calculation of 30% which is obviously wrong at the subsidy was capped at 359 rather than the full 70%......

    Time for beer I think!


  • Options
    #560
    Pistachio19
    Registered Users Posts: 475 ✭✭Pistachio19


    Seve OB wrote: »
    Sorry my bad. It’s Friday night!
    I did a quick calculation of 30% which is obviously wrong at the subsidy was capped at 359 rather than the full 70%......

    Time for beer I think!


    Enjoy it - if I was still a drinker I'd have one too :D


  • Options
    #561
    PEACEBROTHER
    Registered Users Posts: 1,148 ✭✭✭PEACEBROTHER


    Haven’t read the whole thread but just want to ask something

    So we are working week on week off - the week off we are getting the scheme and employer backs it up to near full pay -

    We have heard rumours now that even the weeks we work we will still be getting the scheme ? Doesn’t make sense to me ?


  • Advertisement
  • Options
    #562
    ilovespudss
    Registered Users Posts: 199 ✭✭ilovespudss


    PEACEBROTHER wrote: »
    Haven’t read the whole thread but just want to ask something

    So we are working week on week off - the week off we are getting the scheme and employer backs it up to near full pay -

    We have heard rumours now that even the weeks we work we will still be getting the scheme ? Doesn’t make sense to me ?

    The scheme can be used whether you are in work or not. It's the employers call then whether he tops you up regardless, tops you up for only the weeks you're working, or doesn't top you up at all.

    For us, we've had a reduced capacity in work so say 40/50% of the workforce have been in constantly since the lockdown began (essential service). Those that have been working have received the max topup allowable. Those not working have received a partial topup.

    We've done it like this to try to be fair to those that are working while maintaining those that aren't as much as possible.

    Your employer seems to have committed to full topups regardless, which is commendable to be honest.

    Only issue with the way your employer is choosing to use the scheme is some will feel why would they work if they would get the same for being at home. It's a shortsighted view, but I'm sure will feel like that.


  • Options
    #563
    PEACEBROTHER
    Registered Users Posts: 1,148 ✭✭✭PEACEBROTHER


    ilovespudss wrote: »
    The scheme can be used whether you are in work or not. It's the employers call then whether he tops you up regardless, tops you up for only the weeks you're working, or doesn't top you up at all.

    For us, we've had a reduced capacity in work so say 40/50% of the workforce have been in constantly since the lockdown began (essential service). Those that have been working have received the max topup allowable. Those not working have received a partial topup.

    We've done it like this to try to be fair to those that are working while maintaining those that aren't as much as possible.

    Your employer seems to have committed to full topups regardless, which is commendable to be honest.

    Only issue with the way your employer is choosing to use the scheme is some will feel why would they work if they would get the same for being at home. It's a shortsighted view, but I'm sure will feel like that.

    Thanks for the reply and explanation


  • Options
    #564
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Pistachio19 wrote: »
    Enjoy it - if I was still a drinker I'd have one too :D

    Thanks for your help Pistachio


  • Options
    #565
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Seve OB wrote: »
    Sorry my bad. It’s Friday night!
    I did a quick calculation of 30% which is obviously wrong at the subsidy was capped at 359 rather than the full 70%......

    Time for beer I think!

    thanks for the help


  • Options
    #566
    MildThing84
    Registered Users Posts: 74 ✭✭MildThing84


    Hi all,

    So in laymans terms for those earning the mid range end of salary, and are being paid 80% of it, the employer gets diddly?

    Do people think this could lead to employer's adjusting pay downwards in order to qualify for the biggest subsidy? Almost collective bargaining for these months and return it later?


  • Options
    #567
    kennethsmyth
    Registered Users Posts: 1,180 ✭✭✭kennethsmyth


    MildThing84 wrote: »
    Hi all,

    So in laymans terms for those earning the mid range end of salary, and are being paid 80% of it, the employer gets diddly?

    Do people think this could lead to employer's adjusting pay downwards in order to qualify for the biggest subsidy? Almost collective bargaining for these months and return it later?

    Yep


  • Options
    #568
    kennethsmyth
    Registered Users Posts: 1,180 ✭✭✭kennethsmyth


    MildThing84 wrote: »
    Hi all,

    So in laymans terms for those earning the mid range end of salary, and are being paid 80% of it, the employer gets diddly?

    Do people think this could lead to employer's adjusting pay downwards in order to qualify for the biggest subsidy? Almost collective bargaining for these months and return it later?

    Wouldn’t return it later though


  • Options
    #569
    SAMTALK
    Registered Users Posts: 2,322 ✭✭✭SAMTALK


    Is there something about only working 4 days and no overtime when on wage subsidy scheme ?

    Our wages are messed up every week and it seems that the company is juggling figures but can't ( or wont ) explain pay slip to us


  • Options
    #570
    ilovespudss
    Registered Users Posts: 199 ✭✭ilovespudss


    SAMTALK wrote: »
    Is there something about only working 4 days and no overtime when on wage subsidy scheme ?

    Our wages are messed up every week and it seems that the company is juggling figures but can't ( or wont ) explain pay slip to us

    Dont know about the 4 days, I dont see the reason for that, but the overtime is messy. If you are being topped up to your max allowable as standard, then there is no room to pay overtime without the subsidy being tapered. Not many employers are going to voluntarily do this.


  • Advertisement
  • Options
    #571
    gb19815
    Registered Users Posts: 56 ✭✭gb19815


    I’ve been getting covid payment from employer only , what happens too unused tax credits during this period ??


Advertisement