Travelling time payment
Travelling time payment
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Discussion

pheasant

Original Poster:

159 posts

135 months

Thursday 23rd January 2020
quotequote all
A bit of advice please on behalf of my daughter. She works 3 days per week in a fairly low paid job and is on a call rota (24 hr) for emergencies. As part of this she is expected on occasion to travel to a place of work some 20 miles further from her normal place of work.
However, apart from only getting her standard hourly rate (about £10/hr), she is not paid travelling time or a mileage allowance. Furthermore when working extra hours at weekends she is paid £1/hr less. Is this fair or legal. She loves the job or would have left years ago.

2 sMoKiN bArReLs

32,008 posts

264 months

Thursday 23rd January 2020
quotequote all
pheasant said:
A bit of advice please on behalf of my daughter. She works 3 days per week in a fairly low paid job and is on a call rota (24 hr) for emergencies. As part of this she is expected on occasion to travel to a place of work some 20 miles further from her normal place of work.
However, apart from only getting her standard hourly rate (about £10/hr), she is not paid travelling time or a mileage allowance. Furthermore when working extra hours at weekends she is paid £1/hr less. Is this fair or legal. She loves the job or would have left years ago.
Legal yes (as long as it fits the minimum wage calculation).

Fair? Who knows

IJWS15

2,220 posts

114 months

Thursday 23rd January 2020
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Is this what the contract of employment that she accepted sets out?

pheasant

Original Poster:

159 posts

135 months

Thursday 23rd January 2020
quotequote all
The travelling to a remote place of work is a new requirement with no mention in her original contract

Sheepshanks

41,014 posts

148 months

Thursday 23rd January 2020
quotequote all
pheasant said:
Is this fair or legal. She loves the job or would have left years ago.
It doesn't sound fair, but there's no point in you getting upset about it if she won't do anything.

She might be able to claim tax relief on the mileage, possibly on the whole journey. Does she have business use cover on her insurance?

I have this kind of thing all the time with my two adult daughters.

AndyNetwork

1,849 posts

223 months

Thursday 23rd January 2020
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I would also check her car insurance - Commuting often has the proviso of to a single place of work.

If this is the case, then if she is traveling to more than one place of work, then she may need class 1 business insurance.

Oldandslow

2,405 posts

235 months

Thursday 23rd January 2020
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Doesn't sound fair but I've heard of part timers who get a £/hr rate up to a certain number of hours and a reduced rate after. As long as it's over minimum wage I don't think there's much she can do.

As for travelling time that's not often paid but mileage should be paid to staff travelling somewhere that's not their usual place of work unless both locations are in her contract and within reasonable distance. I only get mileage if I'm at one site and go to the other, nothing if I work at either one for the whole day/shift.

A lot depends on what her contract actually says and what she did or didn't agree to.

meatballs

1,140 posts

89 months

Thursday 23rd January 2020
quotequote all
If the other location is classed as business travel then she can claim tax relief at 45p per mile using form P87.

However if she's just paying basic rate if she did 1000 miles it would be worth:

1000*.45*.2= £90

If the employer pays expenses at 45p per mile it would be £450 tax free...

Best to push employer to pay expenses or double check the expense policy


2 sMoKiN bArReLs

32,008 posts

264 months

Thursday 23rd January 2020
quotequote all
meatballs said:
If the other location is classed as business travel then she can claim tax relief at 45p per mile using form P87.

However if she's just paying basic rate if she did 1000 miles it would be worth:

1000*.45*.2= £90

If the employer pays expenses at 45p per mile it would be £450 tax free...

Best to push employer to pay expenses or double check the expense policy
But, is the "other place" the same other place? If so it's just possible that it is also treated as a home to work commute and not tax allowable.

Just possibly.

meatballs

1,140 posts

89 months

Thursday 23rd January 2020
quotequote all
2 sMoKiN bArReLs said:
But, is the "other place" the same other place? If so it's just possible that it is also treated as a home to work commute and not tax allowable.

Just possibly.
You want guide 490 from HMRC.

Commute is between home.and a permanent place of work.

A temporary workplace would be "somewhere they go to perform a task of limited duration or for a temporary purpose".

It depends if she goes there on a regular pattern. If it's ad-hoc as required it would be ok.

If it's once a fortnight it would probably become permanent if it continues that pattern and is expected to continue over 24 months...

I am not a tax advisor IANATA wink

Edited by meatballs on Thursday 23 January 18:27

2 sMoKiN bArReLs

32,008 posts

264 months

Thursday 23rd January 2020
quotequote all
meatballs said:
2 sMoKiN bArReLs said:
But, is the "other place" the same other place? If so it's just possible that it is also treated as a home to work commute and not tax allowable.

Just possibly.
You want guide 490 from HMRC.

Commute is between home.and a permanent place of work.

A temporary workplace would be "somewhere they go to perform a task of limited duration or for a temporary purpose".

It depends if she goes there on a regular pattern. If it's ad-hoc as required it would be ok.

If it's once a fortnight it would probably become permanent if it continues that pattern for a few months.

I am not a tax advisor IANATA wink
yes hence "just possibly" wobble

Sheepshanks

41,014 posts

148 months

Thursday 23rd January 2020
quotequote all
HMRC would just pay it if she claimed - most unlikely they would query it.

But, as someone pointed out above it's hardly worth it. One of my daughters works for the NHS and could claim 60 odd pence per mile (no idea why it's so high and apparently tax free, there's apparently some sort of agreement about it) but she doesn't bother claiming it - too much hassle, not worth it on per claim basis etc etc.

pheasant

Original Poster:

159 posts

135 months

Thursday 23rd January 2020
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Unfortunately daughter only pays tax a couple of times a year.

martinbiz

3,699 posts

174 months

Thursday 23rd January 2020
quotequote all
Sheepshanks said:
HMRC would just pay it if she claimed - most unlikely they would query it.

But, as someone pointed out above it's hardly worth it. One of my daughters works for the NHS and could claim 60 odd pence per mile (no idea why it's so high and apparently tax free, there's apparently some sort of agreement about it) but she doesn't bother claiming it - too much hassle, not worth it on per claim basis etc etc.
Normally 45p is the maximum mileage payment allowed without attracting a tax liability, however there a few circumstances where more can be allowed, if for example towing in the course of your work where high fuel consumption becomes a factor, we had a rep a few years ago working in the highlands and HMRC allowed an extra 5p a mile for heavy fuel consumption due the topography of the land

2 sMoKiN bArReLs

32,008 posts

264 months

Thursday 23rd January 2020
quotequote all
HMRC guide 490. 70+ plus pages on employee travel. Cripes

spaximus

4,365 posts

282 months

Thursday 23rd January 2020
quotequote all
It all depends on the contract she has if it is legal but morally not.

What it seems to me it is like a niece of mine, works as a carer doesn't get paid travel or counted as work time all for minimum wage.

Told her to change jobs, a nice warm coffee shop instead but she won't. Employers like hers get away with it because they can

andygo

7,393 posts

284 months

Friday 24th January 2020
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What would happen if she had no car?

Employers like this really take the mickey - there is no need.

Dixy

3,650 posts

234 months

Friday 24th January 2020
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Has she discussed it with her employer

Chris32345

2,141 posts

91 months

Friday 24th January 2020
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If the company is paying her traveling Money
It's likely your daughter would then need business cover on her insurance

Foliage

3,861 posts

151 months

Friday 24th January 2020
quotequote all
Tell her to stop doing it. She is breaking the law.

She just found out her car isn't insured for business use. wink and she doesn't feel comfortable driving with no insurance..