Tier 1 general earnings classifications

[zcbmm]

Hello,

I looked up many past post here and on ukba website, but i still could find clear clarifications on my earnings that can be counted as tier 1 g earnings.

I work as a salaried employee and my company offers total remuneration package as basic salary component plus benefit fund component. Benefit fund component contains none-pension and pension parts. I am allowed to use the benefit funding component to purchase various benefits (shopping vouchers, insurance etc), contribute to my company retirement pension scheme, and receive the remaining benefit funding component as cash subject to income tax, just like salary.

Both basic salary and benefit funding components are my guarantee income that clearly stated on my contract as my total remuneration package.

On my salary slip shows as:

Basic pay: x pounds
value A/c top up: y pounds (my benefit funding non-pension part)
pension benefit fund: z pounds (my benefit funding pension part)
pension cont: -a pounds - (this is the account I choose to contribute this to my retirement pension from my benefit funding component)
disability cover: -b pounds (this is the amount I pay as insurance benefit cover premium from my benefit funding component)
Life cover: -c pounds (this is the amount I pay as insurance benefit premium for life cover from my benefit funding component)

AT THE BOTTOM , it then shows

Total taxable payments= x+y+z-a-b-c

Total Gross Payments = (same as total taxable payments)

Now in this scenario, I am getting sum =x+y+z as salary and paying a,b,c as premiums/pension contribution from my salary

Total gross payments shows amount after deducting a,b,c on my payslip. BUT it says total gross payments not total gross salary.

My questions are

1. can I count the benefit funding pension part (z pounds) on the payslip toward my Tier 1 earning?

2. Is it correct to say that my gross earnings for Tier 1 G extension will be considered as the amount "x+y+z" which is the amount before I paid any pension contribution and cover premiums? Or should I use "x+y+z-a-b-c " amount as my Tier 1 earnings?

3. Also, my company also offers annual leave buy/sell for cash option. If I choose to sell some of my annual leave to my company for cash (subject to the same income tax as salary), can I claim the extra cash from selling my holidays as part of Tier 1 G earning?


Thanks. I hope someone here can help me on this.

[ban.s]

Though I don't fully understand the benefit policy, but ideally your payslip should state x+y+z as gross income and x+y+z-a-b-c as taxable income. have you enquired with your payroll why do they show gross and taxable income the same in payslip?