Do I legally have to pay this money back?

Question

Folks... I just got a new job. However, back in June I got a 17 thousand dollar raise at my old job. This raise was dramatic but I was hired at a very, very low rate. The raise brought me to 55k a year.

Today I get a call from my old boss. He said they made a mistake in payroll and I was being overpaid. They had me down in the system at 80K per year. I honestly did not know the difference in my checks because the raise was dramatic in the first place (17,000 more a year). Do I have to pay them this money back? Any information and/or legal advice would be appreciated

This went on for 6 months. The funniest part is that this company is a payroll company.

Everything was verbal. With the raise, I thought it was part of the increase. If I knew back then it was wrong I would not be asking the question.

I'm a professional. If I knew about this in the beginning I would have said something. Only an idiot would think he could get away with this.

Answer 1

Nope, it's their loss.

Answer 2

Firstly you should have mentioned something when you started getting the checks for more than what you were suposed to get. A good lawyer could say that you stole money from your job by not responding to the error. I found this, it says that your old employment has to send you something and you have to pay it back. Sounds to me like they could sue you for the overpayment and that could cost you more in the end. Good luck!

OVERPAYMENT GUIDELINES:
Purpose: To record and correct an overpayment of wages due to an employee.
Forms Needed: Overpayment Notification and Authorization to Reduce Wages
An overpayment can be reduced from the employee’s next check or it can be repaid via personal check
depending on the circumstances.
1. Contact the Payroll department to determine the amount of the overpayment and how it should be
repaid.
2. Prepare the Overpayment Notification on departmental letterhead. It must be signed by the
director/department chair. Examples follow on the next page.
3. Prepare the Authorization to Reduce Employee Wages.
4. Mail the letter and form on department letterhead, signed by the director/department chair and
mailed by certified mail, return receipt requested to the employee’s local home address. The letter
and form can be hand-delivered in person.
5. The employee should, upon receipt of the letter, sign the Authorization to Reduce Wages form. If it
was determined that the employee would pay back the funds, then a check needs to be attached to
the authorization form.
6. The department should make a copy for its file and forward both the letter, the original Authorization
to Reduce Wages form and check (if applicable) to Payroll.
7. Payroll will complete the overpayment process during the next pay cycle.
Employee Does Not Sign the First Letter
If the employee does not respond within two weeks from the date of the first letter, a second letter is mailed.
The second letter notifies the employee that action will be taken to deduct the gross-overpaid amount from
a future payroll check. This letter must also be prepared on department letterhead, signed by the
director/department chair and mailed by certified mail, return receipt requested to the employee’s local
home address.
Why Employee Notification and Signature is Mandatory
The University cannot legally withhold the amount from a future check without advance written notice (due
process) to the employee of the intent to withhold from their check. As stated in the letter, if the employee
does not believe they owe the amount specified, they may set up an appointment to meet with the
department to present their arguments.

Answer 3

Ok, I am sorry no body can get an extra 2000 a month in thier pay and not see it.

Anyone would see @ 500 a week extra in thier paycheck.

What is the paperwork showing your raise, in writing or verbal ?

They will have to prove this was an error, and if it was, my reaction would be the same of any jury or court, you had to know it was wrong

Answer 4

That's THEIR loss.

If you had direct deposit, make sure you change your bank account, so they don't reverse any funds they thought may be theirs. It's unlikely after 6 months, but you never know.

Also, keep those $80K paystubs, since that will help negotiate a much higher salary for your next gig.

As for it being a payroll company, the shoemaker's kids always go barefoot!

Answer 5

This is more of a moral question than a legal one.

If you knew you were supposed to be making $55k/yr and they unintentionally paid you an extra $12.5k, you could probably keep it without a legal battle. But should you? Not in good conscience.

They could sue you, but it's probably not worth their while.

Why not make a deal with them (in writing) and split it? You keep $6,250 and pay them back $6,250. They'll get some of their money back without a fight and you'll get some compensation for their error.

Answer 6

I would think that you don't have to pay it back because it was their mistake, however, your company may ask for some of it back. If you challenge it, I really don't see where you could win because the argument might be "you didn't earn it".
Good luck, I hope you get to keep it.

Answer 7

Find a good lawyer. Together with the company you might be able to work out a compromise.

Answer 8

I wouldn't as it was their error. So they beleive you owe them $12,500. It would probably cost them the same amount if they took you too court and so would be a waste of time. What they pay you is yours.

Answer 9

NOOOOOO leagally u dont have to pay back anything they are the ones who messed up not you if they take u to court then they will looose calla lwyer and get some advice

Answer 10

They can't force you too pay them back. There goof, your win. If you already spent it what are they going to do? Throw you in jail. Ya right. No I don't think you do.

Answer 11

yes b/c if you don't think about law suits about embezzling money from your job and all the rest of the consequences that come with it