Melanie - Profit share - no guarantees

[Kazzy E]

Hi Melanie, I have just been told at work that the company has made some profit this year, and apparently I am entitled to some profit share pay which will be paid in November/December time as a one off payment in addition to my normal wage. They haven't given me the figure yet but I thought I would ask at this early stage of my IVA application, what affect that will have on my IVA. A figure of around £1000 has been bouncing around, but has not been confirmed. If it was around £1000, how much of that would I have to hand over, assuming that my IVA is accepted? This is likely to be an annual payment, with no guarantees, as there is no guarantee that the company will make a profit every year. Just thought I'd ask if you don't mind. Rgrds Kazzy

[MelanieGiles]

Kazzy

You will be allowed to keep the first 10% and then the balance will have to be split 50/50 between you and your creditors. Hopefully this will give you a little extra to spend at Christmans time.

[ashingtoon]

Im no expert but I think you have to surrender 50% of all additional earnings, bonuses, commssions, winfalls etc. This is calculated over the year, so if it was £1000 you would give up £500. i think thats how it works. Im new to it too.

[Kazzy E]

Thanks for that Melanie and Ashingtoon. Based on your figures then Melanie, that to me is quite fair as I expected to have to cough up most of it. If I gain 3-400 net, that will pay for the Chrissy pressies, lets hope its in that region or even higher. The more I get, the more gets paid off my IVA. Thanks again Kazzy x