Mileage claim and payroll
Mileage claim and payroll
Author
Discussion

hobbiniho1

Original Poster:

92 posts

126 months

Tuesday 7th January 2020
quotequote all
so as part of my job i am required to a very small amount of mileage which my company pay me 45p/mile for i will never break the 10k/year barrier. the company has an online financial management system that i can input what "work" i do in a "day" as part of this system there is an expenses section with drop down boxes etc that has options for mileage claim, i have used these in the past where i submit a claim and then my line manager approves them, the amount of money was paid directly into my bank account very shortly after, very easy system to use.

the problem is now we have changed to a paper system where i have to calculate the mileage claim manually (i know its not hard) this then gets approved by my manager with a signature and has the be then scanned and sent via email to payroll, the problem with this is two fold as the payroll cut off date is the 5th of the month so if i have a mileage claim on the 6th of the month i will only be paid the money ~6 weeks later, not a massive pain but the amount that i actually get paid is artificially inflated to take into account the tax and ni (i pay higher rate tax) this seems wrong to me as it is artaficially inflating my gross pay and i am paying tax where i shouldnt have to??

alistair1234

1,136 posts

175 months

Wednesday 8th January 2020
quotequote all
The fist issue isn’t really an issue, there always has to be a cut offf.

The second issue, why does it goes though paye? It’s expenses not salary

Fonzey

2,228 posts

156 months

Wednesday 8th January 2020
quotequote all
Even if expenses come through with your PAYE payment, it should be listed as a separate line item on your payslip and is not included on your PAYE tax calculations.


Sheepshanks

41,012 posts

148 months

Wednesday 8th January 2020
quotequote all
It could be the employer is being super-cautious as not all expenses are tax free. Or they may just have messed up. Or the OP is wrong.

Waiting for expenses is normal - for mileage I don't see an issue. I used to have a statement date of 4th on my Ame card and that could be a pain if I had a flight etc to pay for in the first few days of the month, but I've changed the statement date now.