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Overpayment of wages: Step 3 repayment letter

with example letter.

If you have been overpaid, you will generally need to repay the amount. However, both parties should act reasonably.

See our overpayment of wages guide for a step by step process of what to do if you have been overpaid. It includes our step 1 template letter to request a breakdown of the overpayment.

You can use our letter below to negotiate a repayment plan. Send this to your line manager and copy in Human Resources (HR) and your payroll department if you have them.  A helpful full written example is also below the template.

Copy and paste our model letter template below

(Enter employer/agency name)
(Enter employer/agency address)


Dear (enter employer/agency name),

I am writing to you because I have been informed that I have been overpaid.

I (am/was employed/engaged) by you from (enter date) to the (enter date) as a (enter job title) on a (enter job type - full time, part time or agency/casual) basis.

You have stated that I have been overpaid by a total sum of (enter amount). Thank you for your detailed breakdown of the overpayment. I have checked against my own records and now agree that an overpayment of wages has been made. 

I am aware of the following guidance from the Royal College of Nursing (RCN) www.rcn.org.uk/get-help/rcn-advice/overpayment-of-wages.  I understand that if an overpayment has been made then this needs to be repaid but I was unaware of the overpayment and I now need to balance any repayment with my current outgoings.

I propose that I repay (enter amount) per month starting from (enter date) to (enter date). I have carefully considered all of my outgoings and I can afford to repay this amount, over this period.

I trust this a reasonable proposal and agreeable. 

I ask that no deductions are made from my wages until we are in agreement.

Kind regards

(Enter your name and contact number).
(Enter your address).

Example letter

Dear Mrs Herbert,

As you know I am presently employed by you as a Registered Nurse working on C Ward in the Crichton Hospital, on a full time basis.

Thank you for your letter dated the 3rd February. As requested, you kindly supplied a full breakdown of the overpayments including the dates and the amounts.

You have stated that I have been overpaid by a total sum of £600. You have clarified that I was paid £100 a month extra from July to December 2021
due to an ‘administrative error.’

I have checked this against my own bank records and looked at my shift patterns for that period. I now agree that an overpayment has been made.

As you know I work various shifts and my pay fluctuates monthly. It was not clear to me that any overpayment had been made. I was not aware of any overpayment and it was received in good faith. The knowledge of the overpayment came as quite a shock. Having said that, I am aware of the following guidance from the Royal College of Nursing (RCN) www.rcn.org.uk/get-help/rcn-advice/overpayment-of-wages. I understand that if an overpayment has been made then this needs to be repaid but I now need to balance any repayment with my current outgoings.

I propose that I repay £100 a month back from January to June 2022. I feel this is a reasonable offer and one which I can afford. The amount will be repaid to you over the same period in which it was accrued (6 months).

I ask that no deductions are made from my wages until we are in agreement.

Kind regards,

Alice Brown

12 Tulip Way Rotherham -07897 234786
 

Overpayment of wages guide

Our advice guide will give you a step by step breakdown of what to do.

Overpayment of wages Step 1 letter

Our step 1 letter can help you request a breakdown of the overpayment.

Your contract

Get answers to your contract questions including notice queries and whether your employer can change your contract.