How do some companies get away with paying £25 per day shift allowance tax free
and overnight subsistence tax free
SHYTOT:
How do some companies get away with paying £25 per day shift allowance tax free
and overnight subsistence tax free
Uh…they don’t have to ‘‘get away with it’’ because it’s legal?
We don’t get a shift allowance as night drivers (variable start/finish times between 6pm - 11pm now) but our mid shift in the warehouse do (14:30 - 22:30) as it’s classed as unsociable hours! And now we’ve just found out that all multi drop drivers on days have been given a very handsome pay rise…. But not the night drivers/trunkers on nights!
ETS:
SHYTOT:
How do some companies get away with paying £25 per day shift allowance tax free
and overnight subsistence tax freeUh…they don’t have to ‘‘get away with it’’ because it’s legal?
£25 night out money, agreed, can be legal.
£25 shift allowance? Can’t see that being legally tax exempt. What am I missing?
Franglais:
£25 shift allowance? Can’t see that being legally tax exempt. What am I missing?
I vaguely remember something about being away from home and having to buy food/drinks on the road. You may have to keep some receipts for that.
ETS:
Franglais:
£25 shift allowance? Can’t see that being legally tax exempt. What am I missing?I vaguely remember something about being away from home and having to buy food/drinks on the road. You may have to keep some receipts for that.
Subsistence? Maybe not 25 quid, but I can see that being allowed under some circumstances.
But I can`t see how a “shift allowance”? can be tax free?
I used to get £5 a day meal allowance so £25 a week, is that what they mean■■?
RIPPER:
I used to get £5 a day meal allowance so £25 a week, is that what they mean■■?
What meal are you going to buy for £5? That’s going to keep you fed for a day…lol. The cheapest burger king single thing is £5.40 or something. Even food prepared at home probably won’t come as cheap nowadays. Never mind if you add coffee or some of the fancier drinks
ETS:
RIPPER:
I used to get £5 a day meal allowance so £25 a week, is that what they mean■■?What meal are you going to buy for £5? That’s going to keep you fed for a day…lol. The cheapest burger king single thing is £5.40 or something. Even food prepared at home probably won’t come as cheap nowadays. Never mind if you add coffee or some of the fancier drinks
The point is it’s a tax free allowance…and i wasn’t going to say “err no thanks, keep your money” was i ■■?
It has nothing to do with subsistence / meal allowance
Its £25 pound a day shift allowance £125 on 5 shifts TAX FREE
and I have seen pay slips with it on
Its for working unsociable hours.Where i work we get paid that and a 7.50 meal allowance.Its a nice earner.Instead of getting clobbered by the taxman.
I can’t see that an ACTUAL shift allowance can be tax free, it is a payment for services so it is taxable income. Either way they are having your pants down because i suspect you maybe do long hours so by paying you a one off payment of £25 instead of integrating the shift allowance into your hourly pay, they are saving a fortune, eg you do 10 hours at say £10 per hour plus the £25= £125, they break even, but say you do 15 hours you still only get £25 when in reality if its integrated you should be getting for 15 hours at least £37.50 and thats if they only pay you hourly rate for overtime, if they pay you time and half you should be getting integrated £43.75. Its a con job to save them money but you can’t see through it.
Edit, Not to mention how much they would be saving in extra holiday pay if you are maxing out your hours.