Deduction from Salary

Deduction from Salary

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Hi,

I resigned from my work last week. I was entitled to be paid for 16 working days but my employer paid me a salary which is not even close to me calculations. I calculated my salary based on the following calculations;

Gross annual salary/260*16 [no. of says worked in a month] plus accrued annual holidays*daily rate [gross annual salary /260]

I then entered these gross figures in a payroll software to get the net salaries [less NIC and income tax].

There is circa £450 difference in what he paid me what I was expecting.

If my employer do not pay me what will be my rights.

In addition, I am applying for ACCA practicing certificate which my former employers need to sign. What are my rights for asking him to sign my ACCA PC record? At present he is ignoring my email for both of my queries.

I worked in as a practice manager in one of the TaxAssist Franchise. 

I really appreciate your responses on this.

Regards

Replies (28)

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By hham12
29th Jul 2014 15:20

HMRC Guidance

Is there any HMRC guidance? 

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By marco75
29th Jul 2014 15:32

Try ACAS

Hi,

I don't have the experience to be able to advise you properly. However ACAS run a helpline which you can ring and they provide free and impartial advice in employer/employee disputes. The number is 0300 123 1100

 http://www.acas.org.uk/

Good luck!

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By neileg
29th Jul 2014 15:36

Payslip

Don't you have a payslip showing your gross pay?

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By Sandnickel
29th Jul 2014 15:44

ACAS is your best option

As the previous poster suggests this is who you need to speak to. Your employer should have explained your last payslip calculation along with any deductions made from it. If he didn't you may be able to pursue a claim against him.

I would ring ACCA about the practice certificate and ask for their advice on that issue.

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By hham12
29th Jul 2014 17:39

Many thanks for your replies.

I tried Acas helpline but they say they will ask my former employer for the clarification, in case I pursue to go to employment tribunal.

As far I know this is something called unlawful deductions. I am aware that no matter which calculation method you use there is only small difference but not £450.

I called ACCA but ACCA said that your employer must sign it or else you have to obtain it from another employer. Can I go you court if he do not sign the ACCA form?

 

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Replying to Wanderer:
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By duncanedwards
29th Jul 2014 19:08

Not sure

hham12 wrote:

Can I go you court if he do not sign the ACCA form?

 

Not sure on what basis. Would it be a breach of contract? What is it that would create a legal obligation on the employer?

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By hham12
29th Jul 2014 19:44

I have my contract of employment and detailed job specs [provided by the agency when I joined]. In addition, I worked for 15 months managing the practice and completed the areas in the form which I achieved during the 15 month period.

 

The contract is silent on this. This is implied that if I have worked and achieve the objectives [in the form by ACCA in my last role], the employer shouldnt have any problems signing the form. I was offered bonuses and increments to acknowledge my achievements.

 

Would my job specs and contract not sufficient as a legal obligation on the employer to sign ACCA form?

BTW I worked for a one man company with 9 staff members for which I was responsible.

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By duncanedwards
29th Jul 2014 20:59

I can see ...
he may well have a moral obligation to you but I doubt what you have said would give you any certainty of a victory in court (which you suggested was a possible remedy).

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By Betty783
30th Jul 2014 13:35

I'm not sure there's a legal case for signing the ACCA forms unless it's in your contract. Does it specifically say your employer will sign it off if you achieve the required objectives? I've been in a similar situation to this, unfortuately once you leave a company they're no longer interested in your professional development. I put in a word to HR in my exit interview and they resolved the problem. Is there a HR department you could contact at your previous employer?

Did they give you a payslip? If not then they must as they are required to do so. This may outline how it was calculated, any deductions taken and also what tax code used as this will affect your net pay.

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By andy.partridge
30th Jul 2014 14:03

Notice

Did you work your notice period?

On what basis was your entitlement to 16 days? This is quite possibly the cause of the difference.

Don't rely on email, it's so easy to ignore. Phone, or even better go and see your former employer. You might need to take a deep breath, but if you want things resolved quickly that is the way to do it.

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Stepurhan
By stepurhan
30th Jul 2014 14:15

Notice period

You say you resigned last week. It sounds very much like you are walking out without giving due notice from a key business role. Could the £450 difference be related to failure to give due notice.

As far as the practicing certificate form is concerned, you have rather shot yourself in the foot. Why on earth did you not arrange to get this signed before resigning? Given there is nothing in the contract about it, I very much doubt you will be able to force your former employer to sign off on it now. In the circumstances, helping you set up in competition to them would seem to be the last thing they would want to do unless they were legally required to. For that matter if you have left without warning, some would consider that an unprofessional attitude that makes you unsuitable for representing the ACCA as a member in practice.

I know this may be considered harsh, but we only have your side of the story at present. Given your erstwhile boss does not seem to be here to defend themselves, a little balance seemed appropriate.

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By Democratus
30th Jul 2014 15:42

Weekly / Monthly

Perhaps you have calculated the Net Pay assuming a monthly set of allowance and the ex employer has put you on a weekly run. Just a thought. The tax free amount would be much smaller if weekly.

 

Also - was there any training agreement and the Employer has clawed back training costs invested in you.

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By Sandnickel
30th Jul 2014 16:08

Notice

Following on from Stepurhan, I know that failure to give notice can be considered to be a breach of contract but would this entitle the company to withhold genuine accrued holiday? Even so, they are legally obliged to present you with a payslip detailing the pay and any deductions. This should be your starting point. If they have deducted monies without discussing them with you this could potentially be an unlawful deduction.

Think the ACCA is a non-starter, sorry to say. I don't think they are obliged to sign this off.

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Stepurhan
By stepurhan
30th Jul 2014 16:46

Unused holiday

Whilst breach of contract is definitely a possibility if contractual notice has not been given, I was thinking of a simpler situation. Say the contract required one weeks notice that was not worked. It would not be unreasonable for the employer to say that absence from the office for that week constituted use of accrued holiday. Reduced accrued holiday entitlement, reduced final pay for that accrued holiday.

The employer should provide a breakdown though. We are just operating on wild mass guessing at the moment.

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By hham12
30th Jul 2014 19:10

thank to all for their replies.

Yes I do resign without giving any notice. It was like a constructive dismissal, my employer insulted, bullied and harassed me in front of my junior staff. I worked with my employer a year and 3 months. I am aware that in order to claim constructive dismissal I would have been working there for more than 2 year. But does this means that employer abuse this rule of 2 years as the employees can be treated in a way if old rules were in force [one year rule] he would have been given strongest penalties and ordered to pay damages by employment tribunal.

As far I know no employee has ever worked there more than 1.5 year. This explains everything.

I received one email last Thursday in which he mentioned that the deductions will be full day of actual work plus accrued holidays less unexplained holiday [1 day].

The contract doesnt gives any right to deduct any thing other than statutory deduction or fine and penalties being  imposed  because of me. There are no penalties because of me.

He hasnt given be any explanation of the deductions or my pay slip or P45.

 

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Stepurhan
By stepurhan
31st Jul 2014 09:54

How much notice

You say you resigned without notice. How long was your notice period? Unfair as it may seem, I think your employer would be on a strong footing reducing accrued holiday for this. If the e-mail you mention simply said "plus accrued holidays" without mentioning an amount, then they haven't committed to a different figure in writing. Redo the calculations taking this into account.

Even assuming your reports of your treatment are accurate (not accusing you of lying, just acknowledging I don't know you and have no way to tell) I think you have made trouble for yourself here. You should have got your boss to sign off on the form and you should have worked your notice. You now have no way of forcing them to sign the form, and you are in breach of contract. That puts them in a strong position.

Legal advice might be wise. Try Citizen's Advice Bureau first to get a feel for the position without racking up bills. If you can bring a case of constructive dismissal, you may be able to not only get some money back, but get the form signed as part of a deal. Otherwise you are pretty much stuck with being able to rant and feeling hard done by.

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By mrme89
31st Jul 2014 10:15

Regardless of your employers attitude, you should have worked your notice and not just walked out. It's called professionalism.

 

You have now found out that going back after walking out isn't going to get your ACCA PC record signed off. I wouldn’t hold any hope of your now former employer signing this.

 

I think the most appropriate course of action would have been to talk to your employer about your concerns in the first instance.  

 

Should you look for employment elsewhere, I wouldn't hold your breath on him giving you a reference either.

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Replying to leicsred:
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By Sandnickel
01st Aug 2014 08:33

Hmmm...

mrme89 wrote:

Regardless of your employers attitude, you should have worked your notice and not just walked out. It's called professionalism.

Two things:

1. This is a massive generalisation - sometimes the situation is just untenable. You don't know the exact circumstances and so can't comment on if they should or should not have walked out.

2. "Professionalism" works both ways.....

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Replying to johngroganjga:
By mrme89
01st Aug 2014 10:32

Partial Quote

Sandnickel wrote:

mrme89 wrote:

Regardless of your employers attitude, you should have worked your notice and not just walked out. It's called professionalism.

Two things:

1. This is a massive generalisation - sometimes the situation is just untenable. You don't know the exact circumstances and so can't comment on if they should or should not have walked out.

2. "Professionalism" works both ways.....

 

You forgot to quote all of my post.

 

Do you not think the OP should have at least spoken to their boss about how they were feeling before walking out?

 

You can't just walk out of every job where you have a grievance with someone.

 

 

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Replying to Tax Dragon:
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By Sandnickel
01st Aug 2014 10:46

My point exactly...

The point I'm making is that you have no idea what has happened and what the OP did or didn't do to try and resolve the situation. To generalise the situation is not realistic.

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Replying to johngroganjga:
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By Kirkers
01st Aug 2014 11:25

Well

Sandnickel wrote:

mrme89 wrote:

Regardless of your employers attitude, you should have worked your notice and not just walked out. It's called professionalism.

Two things:

1. This is a massive generalisation - sometimes the situation is just untenable. You don't know the exact circumstances and so can't comment on if they should or should not have walked out.

2. "Professionalism" works both ways.....

At the same time if it's so untenable the OP should have worked out their options first. I understand wanting to leave a place, but that doesn't mean you can walk out without notice and expect to be paid in full. Chances are the employer deducted the notice period from the holiday pay accrued.

Also, the employer doesn't require anything from the employee - whereas the employee needs their PC stuff signing. 

As an employer would you sign something like that after being left in the lurch with no notice worked?

I can see it from both sides but you definitely shouldn't just walk out if you can't get your PC without your boss' say so. It doesn't look like a huge deal to the OP - they've been practising without one anyway which is a big no-no.

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By ShirleyM
31st Jul 2014 10:16

Is your profile up to date?

From your profile: I am a Chartered Certified Accountant and worked nearly 8 years in a UK medium size accountancy practice. I have also worked at Gardline Group, a UK FTSE 250, as a Group Tax Accountant for 1.5 years. 

I am currently working as a Partner at Harkia Accountants and Business Advisors in London UK. Advising the clients from various sectors/ industries on their tax issues. 

...... and now ....

In addition, I am applying for ACCA practicing certificate which my former employers need to sign. What are my rights for asking him to sign my ACCA PC record? At present he is ignoring my email for both of my queries.

I worked in as a practice manager in one of the TaxAssist Franchise. 

Do you plan to set up in competition with your ex-employer?

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Replying to Moonbeam:
By mrme89
31st Jul 2014 10:24

.

ShirleyM wrote:

From your profile: I am a Chartered Certified Accountant and worked nearly 8 years in a UK medium size accountancy practice. I have also worked at Gardline Group, a UK FTSE 250, as a Group Tax Accountant for 1.5 years. 

I am currently working as a Partner at Harkia Accountants and Business Advisors in London UK. Advising the clients from various sectors/ industries on their tax issues. 

...... and now ....

In addition, I am applying for ACCA practicing certificate which my former employers need to sign. What are my rights for asking him to sign my ACCA PC record? At present he is ignoring my email for both of my queries.

I worked in as a practice manager in one of the TaxAssist Franchise. 

Do you plan to set up in competition with your ex-employer?

 

After reading this, I think they already have.

https://www.accountingweb.co.uk/anyanswers/question/getting-clients-my-new-accountancy-practice

 

If this is the case, they have been very naughty.

 

 

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By ShirleyM
31st Jul 2014 10:30

Hmmmm ....

... very confusing!

Was your employer aware of your practice, hham12, and are you aware that you have breached ACCA rules by practising without a PC?

I think you have killed any chance of getting your ACCA PC now.

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By mrme89
31st Jul 2014 10:33

.

Also, given the fact you have published your entire career on AWeb, should your former employer be an AWeb member and has read this thread with interest, he's probably now on the phone to ACCA.

 

 

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By FCExtraordinaire
31st Jul 2014 11:43

Leaving suddenly is not a favourable position to be in.   However,  most leaving pay is based on hours worked per year,  eg   £xxxxsalary/1950 hours per year = hourly rate,  and then hourly rate x by number of  hours in day worked x days worked in the month or holiday accrued.

Re PC - not unless you have a training contract. 

With regards to working in a practice already,  hham12 maybe performing the work but it's signed off by a partner with a PC  ?  

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By mrme89
01st Aug 2014 10:56

Without full facts, all you can do is make general comments based on the details provided. If further details are given to the contrary, I'm happy to give advice accordingly.

 

Considering that it now appears as though the OP is operating without a PC, I don't think they are going to chip in with any more details.

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Replying to jimmycta:
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By Sandnickel
01st Aug 2014 11:29

Ok, fair enough

Agreed about the OP. However, not wishing to start an argument but your comment was that regardless of the behaviour you should work your notice. Would you stand by that comment if the employee was being harassed, discriminated against, or just generally mistreated? It's not cut and dried to state that it is unprofessional to walk out of a job.

General comments have their place but sometimes do nothing but inflame a situation.

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