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Work overpaid me significantly - UC claim issues?

5 replies

SnailAndAWhale · 30/05/2022 18:33

I’m on mat leave currently…I had heard about the 85% you can claim back for childcare through UC and phoned them to query it a few months ago. Spoke to a brilliant advisor who confirmed we would be eligible when I go back to work, but that also as I was only receiving stat pay we were eligible to begin a UC claim then. We’ve had 3 months since and have been awarded around £400 each month which has HUGELY helped as it’s been a big pay loss and I was genuinely concerned how we'd manage once occupational pay ended. I’m still on leave until September.

I get paid on the 22nd of each month, or last working day before if that’s a weekend, so I got paid on the 20th. On the 19th my payslip arrived which stated I was being paid almost 3k. I knew it was wrong and immediately notified work, however they took a week to respond. Basically there’s been a HR mess up as I’d been incorrectly entered as having returned to work at the end of March, so they backpaid me for April and May up to the 20th.

Obviously this means my UC won’t be awarded (usually paid on the 7th) as their information will show my earnings as far too high to have qualified for anything. The problem is work are now trying to fix the issue and obviously requesting back the overpayment, however UC won’t pay so if I pay back the full overpayment I’ll be £400-£500 worse off. Does anyone know how quickly UC will be able to correct this? Work have offered to supply me with a letter to confirm they’re taking the overpayment back and I haven’t earned that much but I’m worried that if there are delays it’s a huge amount of money to be down.

OP posts:
SausageinaBun · 30/05/2022 18:38

You could ask your work for a loan or repayment plan so that you aren't out of pocket while it all gets sorted.

RaininSummer · 30/05/2022 18:51

I think your employer also needs to report/correct your correct wage to HMRC once you repay it. You can then ask UC for an RTI dispute to get the correct UC amount sorted. It can take a while I am afraid.

SnailAndAWhale · 30/05/2022 19:03

Will it also cancel my current claim and will I need to restart the whole process again?

OP posts:
Danikm151 · 31/05/2022 13:26

I think if you can try and get it resolved within your assessment dates you may be ok. The bank holiday makes it harder but work should update HMRC with the correct figures. This is what UC calculates your take home pay from.
If your assessment date is 6th-5th for example you could put a note on your journal explaining the situation?

MarmiteOnToast · 31/05/2022 19:36

As soon as your employer gives correct figures UC will pay the normal figure.
Or you can ask UC on your journal to put the figure in and they'll chevk with hr. And explain why.
Weve had that 4 times now! And always been fine.

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