To still feel a bit like I got shafted?

[Toastandcrumpets]

When I left work to go on maternity leave, I received my maternity pay in one lump sum. This meant my tax payments, NI contributions, pension and student loan were all crazy high. I got some tax back but not the rest.

It meant for nine months maternity leave I had less than four thousand pounds.

I still feel annoyed!

Not sure that can even happen?

Why were you paid out like that

@DrManhattan

Not sure that can even happen?

I assure you that it can!

That doesn't sound right, why did they do that?

When was this and how on earth did that come about?

They can do that, it’s legal but unusual.

Did you still get your SMP every 4 weeks? Did that go through your compnay payroll ?

That’s totally shit!

It's very unsusal to do it in a lump sum were you leaving the company?

Most employers wouldn't risk paying it in a lump sum as its easy to calculate it incorrectly as you might come back early for example.

My friend got hers in one go like that too. She lives in Belgium though. It sucks.

We need more information. Like why getting paid in one go made student loan, tax and NI higher? How much would you have got if it was paid monthly? Seems very strange. What explanation were you given?

My daughter got it in a lump sum when she worked for a small start up. It caused all kinds of problems with HMRC. Not sure what their problem was, but they were asking for their money back for over a year before it was resolved.

I don’t know why you need more information.

I only got SMP. That was my entire maternity pay. Nothing enhanced.

I don’t know why you need more information.

Well there is obviously more to it, they wouldn't have done it that way without a reason or explaining why?

Surely tax, NI etc are a percentage so 20% of the total taken at one time is still the same as 20% taken from smaller amounts over a period of time?

You should get a tax rebate at the end of the year once everything has worked itself out, though that is of absolutely no help now!

@PinkWaferBiscuit

I don’t know why you need more information.

Well there is obviously more to it, they wouldn't have done it that way without a reason or explaining why?

Not really. It happened, it’s legal, but it shafted me hugely. I did get some tax back (I say that in my OP) but not the others.

Not really. It happened, it’s legal, but it shafted me hugely. I did get some tax back (I say that in my OP) but not the others.

I appreciate it is legal but as I said there is normally extenuating circumstances why it happens. I can't imagine it happening and not even asking them why they chose to do it that way. As I said it could have led to all sorts of problems for them for many reasons, if you came back early for example.

But I don’t really understand why that’s relevant, to be honest. I wasn’t going back to that job - but it still financially shafted me.

I wasn’t going back to that job -

Was it in one lump sum because you weren't going back? Did you tell them you weren't going back before your mat leave?

Yes, of course. No idea. I presume so.

Eh?

What do you want us to say @Toastandcrumpets ?

People are asking for more info/more context, to enable them to advise or help you, and you're like. 'er no, you don't need to know anything else ta!'

You have told us what your employer did and that you are not happy with it, but I am not sure what you want people to say or do if you are not adding anything else.