and the company has taken the employers NI from her wages on the bonus amount......is this legal
2007-02-26 02:27:48 · 13 answers · asked by sylvie c 4 in Business & Finance ➔ Careers & Employment
I think you may have misunderstood....with british tax as well us paying our own tax she has been stopped the tax on the bonus that is normaly paid by the employer!!!
2007-02-26 02:35:34 · update #1
No it was the companies contribution that has been stopped as well as her own......
2007-02-26 02:48:09 · update #2
My friend has no problem paing the tax on the bonus just having to pay the employers contribution too
2007-02-26 02:49:21 · update #3
No its not.
They can take the employees NI but not the employers NI, - that is for the company to pay legally which is why it is called employers NI.
Neither are they allowed to deduct monies other than tax, pension contribution and employees NI without the employees written consent to do so. (Unless it is a court order like child maintenance etc).
Check that it is empoyers NI and not employees NI first. If it is Employers NI tell your friend to go see Personnel and ask for it back, or take them to an Industrial Tribunal.
2007-02-26 02:38:54 · answer #1 · answered by Wantstohelpu 3 · 0⤊ 0⤋
Yes.
Every year the company I currently work for gives (and an employer company I worked for) all the staff a bonus. And we all pay NI on it.
2007-02-26 02:47:36 · answer #2 · answered by k 7 · 0⤊ 0⤋
I don't think the employer should have taken the employers national insurance (NI) from your friends bonus. Are you sure it was not just the employees contribution? I would expect that.
2007-02-26 02:34:31 · answer #3 · answered by Barbara Doll to you 7 · 0⤊ 0⤋
I wouldn't have thought there were any circumstances where the company can make the employee pay employers NI. I'd get her to contact her local CAB office - they'll be able to give her a definate answer.
2007-02-26 02:33:10 · answer #4 · answered by Anonymous · 1⤊ 0⤋
Yes it is..i got a big bonus a few years back and ended up paying major taxes on it..it sucks but it is still considered a form of income.
2007-02-26 02:34:17 · answer #5 · answered by rcbrokebones 4 · 0⤊ 0⤋
Just checked my other half's pay slips, I knew he was taxed on it all but you are right the NI is on the bonus too! How tight!!! but looks like it is the way it is done.
What can I say? easy come easy go!
2007-02-26 02:34:01 · answer #6 · answered by tigger_pooh_on_you 2 · 0⤊ 0⤋
Not sure what NI stands for, but taxes are required to be taken from the bonus as it is considered income. Most times it is a flat rate tax at 42% of the bonus.
2007-02-26 02:30:13 · answer #7 · answered by Searcher 7 · 0⤊ 4⤋
remember that NI is now paid on the lot, there is no upper ceiling (another govt tax increase thro the back door)
2007-02-26 02:38:43 · answer #8 · answered by alatoruk 5 · 0⤊ 0⤋
Sure it is.
If not, then the company should take the bonus back.
2007-02-26 02:35:48 · answer #9 · answered by Anonymous · 0⤊ 0⤋
it sounds like a try on to me - she needs to phone the Inland Revenue helpline.
2007-02-26 02:41:30 · answer #10 · answered by pstzqueen 3 · 0⤊ 0⤋