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Employer deducting my wages

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  • 14-05-2014 12:27pm
    #1
    Registered Users Posts: 16


    Hey folks,

    Last week I left my job for a new one. In my old job I was in their pension scheme but was only in it for one and a half years.

    So when I rang the pension company to say I was leaving they said one option was to receive a refund less tax of my contributions and so would my old employer.

    They rang me a day later to say that because when I joined the pension scheme I also transferred over a lump sum from a previous pension scheme that I had been in for 3 years. So it works out that those 3 years count along with my 1.5 years with my old employer. This means I am over the 2 years so I don't get my contributions back which is fine .

    The problem is the pension company will also not refund my old employer so I take their contributions with me but now my old employer is trying to deduct this sum from the wages they owe me.

    Are they allowed to do this?


Comments

  • Registered Users Posts: 16 Paulbut2000


    I have to add that when I transferred over the lump sum my older employer was ok with doing this.


  • Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,688 Mod ✭✭✭✭Stheno


    Check your contract or hire a solicitor, also check the terms of your pension

    You've another thread on this in Legal Issues so asking the same question twice is probably irrelevant


  • Registered Users Posts: 3,997 ✭✭✭3DataModem


    Hey folks,

    Last week I left my job for a new one. In my old job I was in their pension scheme but was only in it for one and a half years.

    So when I rang the pension company to say I was leaving they said one option was to receive a refund less tax of my contributions and so would my old employer.

    They rang me a day later to say that because when I joined the pension scheme I also transferred over a lump sum from a previous pension scheme that I had been in for 3 years. So it works out that those 3 years count along with my 1.5 years with my old employer. This means I am over the 2 years so I don't get my contributions back which is fine .

    The problem is the pension company will also not refund my old employer so I take their contributions with me but now my old employer is trying to deduct this sum from the wages they owe me.

    Are they allowed to do this?

    Short version; no.

    Consult a solicitor.,


  • Closed Accounts Posts: 6,926 ✭✭✭davo10


    3DataModem wrote: »
    Short version; no.

    Consult a solicitor.,

    Short answer is maybe. It's not a solicitor you need to discuss it with, it's an accountant. The company you left may have been calculating your pension payments based on you working there for a whole year, this may have tax implications for both you and them. The fact that you left early may mean they have overpaid the pension contributions or may have re-calculate the tax deductions pro-rata (part of a year rather than full year). In other wards, had they known on January 1st that you would only be there for 5 months, payments may be for different amounts.

    You need to talk to an accountant or pensions advisor rather than a solicitor.


  • Registered Users Posts: 25,968 ✭✭✭✭Mrs OBumble


    The OP has a thread in Legal Discussions with the same question - let's leave it there:

    http://www.boards.ie/vbulletin/showthread.php?p=90392878


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