I have just retired after 23 years with my employer, I had asked for 60% of the last 3 months of wages to be salary sacrificed into my pension including 100% of my final exit bonus. They paid the normal wage part into my pension but forgot to do the final bonus which amounted to just under £10,000. This means I have now paid tax and NI on that amount. They have admitted their mistake but say there is nothing they can do, so essentially I am quite a bit out of pocket, is there anything I can do? Any advice would be appreciated.
Salary Sacrifice
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Hi, Payroll manager posting.
Did they confirm in writing they would pay the bonus into your pension? or are there any written company policies regarding sacrificing?
Regardless, I would suggest you and ask them to roll back and recalc the payroll for the month. Then offer to return the Net pay to them. It a hassle but most payroll software has this facility. It's their mistake and youve paid the price heavily in tax/NI!!
You may struggle to receive a revised P45, though they could easily confirm the revised earnings in writing. In recalculating the payslip they would need to send a revised RTI file to HMRC who can advise your new employer.
Whether it's an unlawful deduction of wages would very much depend on the answer to the first question.
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