# Repayment of overpaid salary



## Rois (28 Aug 2008)

Hi, I work part-time for a large company. Last week they overpaid me by mistake and today they rang me looking for the money back immediately. I have been away for 5 days and haven't even received my payslip yet, so I had no idea and spent the money, just going on what I knew my bank balance was. They want 652 euros back immediately, which I don't have. It was their mistake, I will pay it back, but don't have that amount at the moment. Do I have any rights to spread the payments or delay for a few weeks at least? Any advice appreciated.


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## dodo (28 Aug 2008)

Same thing happened my wife years back,she was getting paid double for 4 months but she got only one payslip, she did not notice this as she only uses banklink and always had a nice few quid in her bank and she only noticed when bank statement came in.Then she told employer who then got very rude with her for not letting them know when it first happened which she could not as she did not know.So she decided to go to HR state her case and they said sorry and she even paid them off over 12 months interest free of course.So their fault i SAY YOU PAY IN OVER 4 MONTHS OR SO.


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## Rois (28 Aug 2008)

Thanks dodo, I asked them if it could just be deducted from my next salary but they said they wanted it immediately - which means I would have to borrow money from someone. On the other side of the coin, they have often underpaid me and it has taken them a month to rectify the problem.


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## ClubMan (28 Aug 2008)

Normally employers cannot make deductions from salary without the consent of the employee but recouping overpayments of salary may be an exception - check your contract and www.citizensinformation.ie. Presumably they will let you pay it back next month? Messing them around by stalling or paying it back in dribs and draps just to be awkward rather than because you cannot afford to do otherwise is hardly a recipe for good relations between employee and employer.

Update: as I thought - they could just dock the overpayment from your salary next payroll run:

* CitizensInformation - Pay slips in Ireland * 


> *Deductions from pay*
> 
> An employer* may not make* deductions from your wages unless:
> 
> ...


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## Rois (28 Aug 2008)

Thanks Clubman, 
I have no intention of messing them around as I like working there. But am really strapped for cash at the moment. I don't have a contract of employment, I have been working there part-time since last November. I have a couple of options which I am not really keen on - either borrow the money from family member, withdraw cash on credit card or get money from what's left in my SSIA. By far, I would prefer if they could just deduct it from my future wages, but they said they can't do this.


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## ClubMan (28 Aug 2008)

Rois said:


> Thanks Clubman,
> I have no intention of messing them around as I like working there.


Sorry - what I had in mind was some of the earlier advice from others.


> By far, I would prefer if they could just deduct it from my future wages, but they said they can't do this.


Why not? Surely they have some flexibility in the matter of recouping this overpayment on foot of their own mistake?


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## Rois (29 Aug 2008)

I don't know why as that was obviously the first suggestion I made to the manager when he phoned me today.  Maybe as I only work 10 hours per week at 9.70 per hour they think I might leave or that it would take too long to repay. I had so many expenses last week, with car insurance, motor tax, medical expenses and the 5 days staying in Dublin. I don't know what to do.


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## askalot (29 Aug 2008)

Surely it is better if they do it via the payroll as this will take care of the overpayment of tax that occurred when you were overpaid, whereas if you just hand over cash how do they propose to straighten out the overpayment of tax? Maybe ask them this.


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## Rois (29 Aug 2008)

Thanks askalot - I hadn't thought about the tax/prsi issue. I will ask them about this also.


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## RainyDay (30 Aug 2008)

I'd guess they are afraid that you'll do a runner. Try finding a way to drag out negotiations and discussions until your next pay period.


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## Black Sheep (30 Aug 2008)

Why do HR have so many problems with adjustments to payroll systems. It appears to me they are nailed down in tablets of stone.
Surely its not rocket science to account for the overpayment this month by an underpayment next month.
My friend was overpaid while on unpaid Maternity leave. She rang HR immediately to inform. 3 further calls and 2 e-mails later still no adjustment. At that stage I suggested to her print off the e-mails, keep them and still nothing happened and that was 2 years ago.
Surely as the OP's employer was responsible for the error they have to allow some flexibility. What about a post-dated cheque


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## Beckie (30 Aug 2008)

maybe the person doing payroll is trying to cover her/his own mistake.  Is there anyone higher in the organisation you can go to that might be more considerate?


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## Rois (30 Aug 2008)

Thanks for all suggestions. I would be happiest if they would just reclaim from my next months salary, but it was the Manager who phoned me and wanted me to drop in *cash* the same day. I told him I simply didn't have the money especially as all my big direct debits leave my account on 1st of month. Even if I had been given my payslip I would have noticed their error, but because I was away I didn't get it. I will suggest the idea also of post-dated cheque(s). But I don't know how they would re-adjust my tax/prsi deductions that way. Any suggestions about that please or would I need to contact the Revenue myself re the error.


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## ClubMan (30 Aug 2008)

Asking for it in cash seems unreasonable to me. Docking it from the next payroll run in one go might be unreasonable unless the employee can afford this. Ultimately the employer should show a bit more flexibility on rectifying a mistake on their part in my opinion. I don't think that you are obliged to pay it in cash immediately.


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## Rois (30 Aug 2008)

Thanks Clubman - I agree. Normally I would imagine most employers would show a bit of flexibility. When they under-pay us (which happens quite a bit), we don't get the money back until at least the following months pay run, sometimes longer. I will discuss it with them when am back there on Monday.


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## ClubMan (30 Aug 2008)

Sounds to me like your employer is a bit disorganised and unreliable? If so perhaps you have considered seeking employment elsewhere with a more reliable/organised employer?


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## Rois (31 Aug 2008)

You got it in one! Anyone who works there will tell you the same. But at the moment it suits me to work there, as it's local and only 2 days per week, as I have 3 other part-time jobs as well. Ideally I would like to set up my own business and am currently pursuing a few options in regards to that - which is actually the main reason why I don't want to start a full-time permanent job right now, have been offered some, but as I want to go down the self-employment route, I didn't feel it would be right to accept them.


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## cathal79 (13 Nov 2008)

Hi,
I just got a letter in the post from a UK company I worked for in Ireland until last March.  They are saying they overpaid me by just over €2k.
I never noticed this myself at the time.

Does anyone know if I actually have to repay them?  I don't need them as a reference as they were a complete disaster to work for anyway.

Just wonderin what my legal obligations would be for something like this.

At the time they didn't even give me my proper tax free allowance so were always overcharging me on tax.

Thanks


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## Black Sheep (15 Nov 2008)

Are you saying that your employer was not deducting your tax as per your certificate of tax credits issued by revenue, or did you give the correct information to Revenue yourself.
Don't forget that you are ultimately responsible for your tax affairs.
Not sure about your obligations to refund so I would suggest legal advice on that. 
However I would be careful of making accusations about tax errors without checking out the full facts.


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