Income help and advise

[blindbrandon]

Hi I wonder if anyone has some guidance.
I am in my 4th year of a Iva but recently my circumstances have changed , I have moved in with my partner and my 2 kids , one aged 2 and the other aged 16 – still at school. My partner is not involved with my IVA from the start , she doesn’t work but claims child tax credit and child benefit . would this have to be included as my income for iva.
I claim working tax credit and with my salary included tops £ 1300 a month but my expenses have now gone a lot higher , utilities and rent as before was living with parents. Can someone advise if child tax credit that my partner claims and child benefit would be taken into account if so why as she want part of the iva originally. How much can I claim for my children whilst in a iva as my IP doesn’t seem to want to advise.

[kallis3]

Hi blindbrandone and welcome.

I think the reason that your partner would not have been involved at the beginning would be because you weren't living together.

I am not sure about tax credits, but one of the technical experts will be along to advise shortly.

[MelanieGiles]

Are the children from your relationship or a previous realationship - ie is your partner their mother?

I cannot understand why your IP does not want to help you with this? That is not helpful and is exactly what IPs are supposed to do as part of their daily duties. I assume that you are with one of the larger "factory" type organisations?

The best way to approach this is to sit down with paper and pen and list out all of the family income and all of the family expenditure. Split any benefits you receive on a 50/50 basis, and then work out how much each of you contributes to the overall income. Then work this out as a percentage of the total - which becomes the amount you ought to be contributing to the household bills.

Once this is deducted from your income, this leaves you with your personal disposable income figure. Your partner should not have to pay over her share of the disposable income to your IVA, unless you are left with too little to fund your normal payment, and she is happy to help you to top this up.

[blindbrandon]

Thank you for replying.

My youngest child is mine , my partners oldest child is from previous relationship. to clarify if we add up all my partners benefits and my work and benefits and split 50/50 the house hold bills whatever money she has left out of the split after this will be hers and my iva cant touch that.

total income with benefit is

partners income £490 a month this is child benefit and child tax credit
my income is £1300 a month which includes £11 a week working tax credit

household bills including food come too 1600 a month this includes the £302 iva payment a month

[MelanieGiles]

But you don't apply a 50/50 split - unless your income is exactly the same. Given the figures you have presented, your partner earns only 27% of the shared income, so you earn 73% - and should therefore be paying 73% of the expenditure.

73% of your expenditure (excluding the IVA payment) is £947 so from your £1,300 you should be paying £947 towards the household, leaving you £353 to offer to creditors. Make sure that you have fully accounted for all household expenditure before you offer any more money to your IP.

Hope I have made this easy to understand.