Student Loan and Maternity Pay

[Louloubelle84]

Hi,

Sorry if someone has posted about this before however I am just wondering if anyone knows if I need to contact anyone regarding repayments of my student loan whilst I am on maternity leave?

Do the repayments continue whilst I am on SMP does anyone know?

thanks xx

 

[Zazu]

I don't think so, is it not a % of your earnings when you are earning over a certain amount, so if you are earning smp it won't be over that threshold. X

 

[Tigger87]

You only pay a % of what you earn over £15k in one year, and it's taken off you in the same way as tax is, from your wage before you get it. I don't think you ever get it refunded, so unless your maternity pay is enhanced well, you'll probably stop paying it

 

[Squeakz]

Student loan repayment is basically repaid based on monthly average.......sooooo if your monthly salary would mean over 12 months you earn over 15k you will be taxed . Eg my oh has a tax free research grant of x amount and he lectures which is based upon an hourly rate........one month because of how much he had lectured and marked he earned 4k....the slc thought that this therefore meant he earned 48k a year and so took the proportionate amount of loan repayment whereas in ACTUALOTY he gets a lot less than 15k for teaching.....

(Hope that makes sense)

He CAN claim the extra back at the end of the financial year as it shouldnt have been paid anyway.

My smp is aprox 580 a month and so if I get that per month for 13 months its well under 15k and so for the paychecks that I get smp then I dont pay it.....whereas as soon as I get my regular minthly salary ill be back paying what I should x

 

[mummywanabe]

As tigger and squeakz said you need to get over 15k per year while on maternity, I phoned them last week to check

 

[Squeakz]

Based upon a monthly salary.

 

[Vickimo]

It depends when you got it too. Mine isn't deducted from my salary but is paid by DD each month. I already have the form to defer it once I move to mat pay and they've said I can reclaim back my last 3 months payments x

 

[Squeakz]

When did u get yours vickimo?!

 

[Vickimo]

Hmmm, about 15 years ago...God I feel old now. My threshold is a lot higher too so I only started paying it back this April...think it's over 26k a year or thereabouts. Going back part-time so prob won't end up paying anymore unless I go full-time again x

 

[Squeakz]

Ahhh k....!! I always assumed it would convert to thw "new" most modern way iyswim......x

 

[Louloubelle84]

Thank you all very much for your responses. Mine is deducted from my salary each month so I assume the payments will stop once my maternity pays starts. Just wanted to make sure I didnt actually have to make a phone call and let someone know.

Thanks Ladies xx