Overtime counted towards "gross annual salary"?

[morleyaxis]

Hi I was wondering if anyone had a view on the following. I say that because the rules do not appear to specify, but perhaps someone can say something from case experience.

I know someone who is soon about to make an FLR(M) application and trying to meet the financial requirement under Category B (12 month route - salaried employment). The test for this is two-fold: 1. Being in a position with a gross annual salary at the date of application of at least £18,600 and 2. To have received in the 12 months prior to the date of application accumulated income of at least £18,600.

He can meet 2. OK (his partner has an income that can also be included). He has been offered a 3 month job that is just short of the threshold. However he is certain to be given overtime which should take him above the amount. According to the rules overtime will count towards income i.e. in part 2. but the question is whether it will for part 1. i.e. will the Home Office on seeing his most recent payslip (which includes overtime) calculate his "gross annual salary" from the figure INCLUDING or EXCLUDING overtime. One would satisfy, one wouldn't.

Anyone's thoughts or opinions would be much appreciated.

[WR1]

In order to meet the financial requirement, a minimum of £18,600 per annum needs to be met.

However, you only need to demonstrate (or submit) 6 months of payslips. Therefore the Home Office can only consider the 6 months that has been submitted. As long as each month equals or exceeds £1,550 including overtime, then there is nothing to worry about.

A person can been earning £17,000 which is below the requirement but then earns £2,000 in additional overtime so the total being £19,000 takes them above the financial requirement, thus being met.

For salaried employment, the ECO will take the lowest monthly pay (which will be inclusive of overtime) and multiplying this by twelve to calculate the annual figure.

[A Helping Hand]

as WR1 said... you are on safe side as long as you can show your salary for last 6 months comes to £9,300 total.

Having said that they may not consider if your employment letter says your contractual salary is 10,000 and rest you make from OTs. because its a big Gap... but if you earn 15-17K and rest comes from your OTs etc.. you are in win win position

hope this makes sense...

[morleyaxis]

Hi Helping Hand. Thanks for your reply. Yes that is the case if one is using Category A i.e. working out over 6 months but you need to have been in the same employment for 6 months for this and that is not this case in this instance. This person had a job for about 10 months, but is now just starting a new one. Hence only Category B can be used (over 12 months) for which there is the two fold test I mentioned. See Appendix FM Section 1.7 page 23 - part 5.3...

https://www.gov.uk/government/uploads/s ... rement.pdf

The contractual salary of the new job is just less than £18,600. However with overtime he will easily get over the £18,600. The rules DO say that income from overtime CAN be used in the aggregate income calculation (i.e. how much is earned in the 12 months). This would satisfy the second test. However the rules say nothing on whether overtime can be ADDED to the contractual salary (i.e. of the new job) to give the "gross annual salary"...and hence help satisfy the first test. i.e. you have to be in a job earning more than £18,600 at the date of the application. It is arguable in my mind whether overtime SHOULD be includable in the 'gross annual salary' figure simply because there is no guarantee that overtime would continue for the remainder of the contract.

Any other thoughts or insights are welcome. Thank you.