# Salaried or non-salaried employment?



## HannahD (Mar 31, 2011)

Hello,
I am in the process of applying for our FLR (M) extension, since last time our method of meeting the financial requirement has changed - last time we did it through cash savings and now through our income.

My husband works as a delivery driver getting paid weekly- he has a contract of employment and is paid an hourly rate and gets overtime for over 39 hours per week. Although he is not contracted any minimum hours he never works less than 39 a week. Am I right in assuming his income will be *Non-Salaried Employment *? If so, is it correct that all we need to provide is 6 months worth of his payslips?

My income is monthly, I have a contract of employment and a monthly salary. However a lot of my monthly income in addition to this is boosted by commission meaning that my monthly pay is never the same each month - would I be salaried or non salaried? And again would 6 months of payslips be sufficient evidence?

I'm pretty sure my husband meets the requirement himself but can we combine our incomes for our application?

Sorry for such a long post, I'd greatly appreciate any help. Thank you


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## Joppa (Sep 7, 2009)

If your husband meets the requirement on his income alone, just submit his job details. Submitting yours in addition just serves to confuse Home Office. He is in non-salaried employment so just add up all his six-month payslips, divide by 6 and multiply by 12.

If you need to combine incomes to reach £18,600, you can submit yours in addition. You will be in salaried employment with commission, so you work out your income in two parts. First calculate your salaried part by taking your lowest salaried income and multiply by 12, and then take an average of commissions over 6 months by adding all your commissions received over 6 months, divide by 6 and multiply by 12, and then add the two figures together.


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## HannahD (Mar 31, 2011)

Excellent thank you!!


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## HannahD (Mar 31, 2011)

Hello again, 

I have just been going through all our paperwork for meeting the financial requirement for flr m extension, please could someone confirm that I have calculated in the correct way? My husband is contracted to work 39 hours per week but always gets overtime, he is paid hourly and gets time and a quarter for all hours over 39 per week, he gets weekly payslips which vary quite a lot in amounts each week. He has been in this job over a year so I assume he is category A nonsalaried as Joppa mentioned? I have added all his weekly payslips to a monthly figure and then added up the six months and then divided by 12. Eg;

29/10/15-29/11/15 - 2254.70
29/11/15-29/12/15 - 1981.31
29/12/15-29/01/16 - 1936.51
29/01/16-29/02/16 - 1523.17
29/02/16-29/03/16 - 1638.19
29/03/16-29/04/16 - 2486.38

*our appointment is on 18th May so I'm assuming the last payment on 29th April would be ok? 

= 11,820.26 
11820.26/6= 1970.04
1970.04 x 12 = 23,640.52 - meets financial requirement

In the letter from his employer how are they meant to state his gross annual salary when he gets paid hourly? Also is the contract of employment definitely needed if the employer letter states the length and type of employment? 

Thank you for your time and advise.


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## ILR1980 (Feb 5, 2016)

HannahD said:


> Hello again,
> 
> I have just been going through all our paperwork for meeting the financial requirement for flr m extension, please could someone confirm that I have calculated in the correct way? My husband is contracted to work 39 hours per week but always gets overtime, he is paid hourly and gets time and a quarter for all hours over 39 per week, he gets weekly payslips which vary quite a lot in amounts each week. He has been in this job over a year so I assume he is category A nonsalaried as Joppa mentioned? I have added all his weekly payslips to a monthly figure and then added up the six months and then divided by 12. Eg;
> 
> ...


Yes i was also in non salaried category A and has calculated income in same way but i get salary on monthly basis. Non salaried category is for those who get hourly rate or they dont have to work fixed hours every week or month so pay may vary each week or month. I got the contract of work and aso letter from employer. My contract is zero hour contract but i did work more than 40 hours each week from last 6 months. You just get a letter from employer state the nature of your work/contract and also mentioned the average salary for last 6 months which is 1970.04 as per your calculation above


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## HannahD (Mar 31, 2011)

Hi, 
Thank you for confirming that I have calculated it correctly and the letter advise  maybe I'm being slow but I still don't understand the difference between A and B because although my husbands hours are never less than 39 hours per week, they do fluctuate quite a lot and his weekly pay is different each week so wouldn't that make him category B? Is the contract of employment still needed if we have a letter as we can't find it at the moment! Thank you again


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## atahir (Oct 16, 2015)

Hi. I have a similar question based on my salaried employment. I receive a basic amount (annual salary) and bonus depends on how well performance etc, so what figure do I use from last 6 months of wage slips and say this I what I'm using to meet requirement 

Thanks


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## Joppa (Sep 7, 2009)

As I said to you before, take the lowest salaried pay in the last six months and multiply by 12. Take the average of your extras over 6 months by adding all your bonus payments, divide by 6 and multiply by 12. Then add the two figures together. That's your annual income which you enter on the form. If you are paid weekly, adjust accordingly.


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## ILR1980 (Feb 5, 2016)

HannahD said:


> Hi,
> Thank you for confirming that I have calculated it correctly and the letter advise  maybe I'm being slow but I still don't understand the difference between A and B because although my husbands hours are never less than 39 hours per week, they do fluctuate quite a lot and his weekly pay is different each week so wouldn't that make him category B? Is the contract of employment still needed if we have a letter as we can't find it at the moment! Thank you again


Category A is when you are with employer in salaried or non salaried at least 6 months or more and has two sub category 1)salaried i.e where your pay or hours fixed and normally they mention how much it will be per annum on contract and they will take lowest salary of last 6 month and will multiply it with 12 to see whether you satisfy the requirements 2) Non salaried of Category A is where you work on hourly rate and your pay/hours vary each week/month and here they will add all 6 months salary and will divide it by 6 and then multiply with 12 to calculate how much you make per annum....


Category B is where you are with employer less than 6 months or you are not making required amount in 6 months or work two jobs or irregular shift patern where some months you dont earn etc..

Yea i guess if you get a employer letter with all details they need i.e length of job, nature of contract, average salary in last 6 months etc then it should be fine


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## HannahD (Mar 31, 2011)

Thank you so much! I really appreciate your help


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## atahir (Oct 16, 2015)

Ok just to clarify :
I have fixed monthly salary (x)
Bonus 
Car allowance (z - this amount is fixed each month)
Overtime (xx)

So I do (x) x 12 
(y + z + xx) over 6 months / 6 then times 12?

Do I count car allowance as salary as its fixed or count as an extra?


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## nyclon (Apr 3, 2011)

atahir said:


> Ok just to clarify : I have fixed monthly salary (x) Bonus  Car allowance (z - this amount is fixed each month) Overtime (xx) So I do (x) x 12 (y + z + xx) over 6 months / 6 then times 12? Do I count car allowance as salary as its fixed or count as an extra?


No, you can't count the car allowance.


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## atahir (Oct 16, 2015)

Oh ok I supose I know what you mean. Although in my case it's stated as car allowance but it's just an addition to salary I don't have to use it for a car? What If I had a letter stating the same from employer could I use it as its a fixed money amount I receive each month so just same as salary.

If not the other calculations I stated is ok minus car allowance?


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## Joppa (Sep 7, 2009)

No it won't be admissible. What you can do is to ask your employer to covert your car allowance into your regular pay, though it that case you will pay NI contribution on top of your income tax. They may not do it as they too will have to pay employer's NIC on the amount.


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## atahir (Oct 16, 2015)

So at the moment I won't be paying NI on it if it's specified as car Allowance?

What about income from ltd company . What figure do I include on form. The dividends I've received in last financial year?


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## atahir (Oct 16, 2015)

Any advice on above please?


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## nyclon (Apr 3, 2011)

Do you mean you are self-employed?


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## Joppa (Sep 7, 2009)

atahir has said on another thread that the poster is combining self-employed income with earned income from the same financial year, which is allowed.


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## atahir (Oct 16, 2015)

I'm combining salaried with self employed from same financial year

So question was which income from self employment do i write on form. Dividends taken? (I don't take a salary as I'm employed elsewhere)


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## HannahD (Mar 31, 2011)

Hello again, 

Would anybody be able to advise what an employer needs to write in the letter for my husband who is non-salaried? He is paid hourly the monthly average for the last 6 months is £1970.04 per month, therefore £23640.52 a year? However his employer is refusing to state this in the letter because that is not what he earned on his P60 for the last year. We can't get it through to him that the p60 is irrelevant. Just wondering on what he would put in he letter for gross salary as he doesn't actually have one as he is paid hourly and will always change. Would appreciate your help so much I am starting to panic.


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## ILR1980 (Feb 5, 2016)

HannahD said:


> Hello again,
> 
> Would anybody be able to advise what an employer needs to write in the letter for my husband who is non-salaried? He is paid hourly the monthly average for the last 6 months is £1970.04 per month, therefore £23640.52 a year? However his employer is refusing to state this in the letter because that is not what he earned on his P60 for the last year. We can't get it through to him that the p60 is irrelevant. Just wondering on what he would put in he letter for gross salary as he doesn't actually have one as he is paid hourly and will always change. Would appreciate your help so much I am starting to panic.


They need to write

JOb title and nature of contract i.e how many hours he is working whether regular or irrrugalrs and hourly rate of pay and average salary of last 6 month, Length of employment etc

Why employer had problem in writing average salary of last 6 month . You are not asking them to predict about future income/ number of hours but what was earned in the past. You dont ask them to calculate annual salary but just average salary of previous 6 month


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## HannahD (Mar 31, 2011)

Thank you! Everything is clear and now and we have the letter. Your time and advise is invaluable.


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## po0u90d0 (May 24, 2016)

I have been employed in Qatar for over 3 years, same employer, on a contract that renews every year automatically. I receive a fixed monthly salary that well exceeds the requirement. Is my income salaried or non salaried (because my contract is not permanent)


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## Joppa (Sep 7, 2009)

Salaried on fixed-term contract.


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## po0u90d0 (May 24, 2016)

Thank you, it's considered to be temporary employment?


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## RRAN (Apr 24, 2016)

Hi, I was wondering if anyone could help me regarding employment letter. I will be meeting the adequate maintenance for my application. I have worked for my employer for 5 months so far, the centre where I work is hired by my employer for 6 hours a week. This is the maximum hours I can work per week, however I am paid due to the number of hours worked, so sometimes if we finish early my pay is cut. Would my job be seen as part time or zero hour contract job. Also if I have not worked for my employer for 12 months , how should my employer write the letter in regards to showing gross annual salary which I do not have. Also should the letter state the basic hours I work for which is 6 hours or should this not be included as my pay fluctuates depending on the hours worked. Any help would be appreciated 

Thankyou


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