BIK Preferential Loans

For further information on Benefit in Kind, click here

To access this utility go to Employees > Update employee benefits > Click Loans

• Enter Amount of Preferential Loan - the amount entered should be the original loan amount if it was made this tax year or the loan amount outstanding at the start of the tax year.
  
  If the period of the loan is for less than one tax year, you should enter the average outstanding for the portion of this tax year that the loan is active.
  
  

• Enter interest rate being charged if applicable
  
  
• Enter the start date of loan
  
  
• Enter the end date of loan if the loan expires before 31st December
  
  
• Click 'Update file and show calculation of notional pay'
  
  

Please note: the loan benefit will be added to the employee's gross income each pay period to ensure that the correct PAYE , USC & PRSI are charged.

Subsequent Loans

Please note: the original loan should NOT be removed. Simply enter the end date of original loan and start the new loan in the section provided.

• Enter the end date of original loan
  
  
• Enter amount of the new loan - the amount entered would normally be the original loan if it was made this tax year or the loan amount outstanding at the start of the tax year.
  
  If the period of the loan is for less than one tax year, you should enter the average outstanding for the portion of this tax year that the loan is active.
  
  

• Enter the interest rate being charged if applicable
  
  
• Enter the start date of the loan
  
  
• Enter the end date of the loan if the loan expires before 31st December
  
  
• Click 'Update file and show calculation of notional pay'