Although I have only just had my IVA accepted and not even made the first payment yet I have a question regards overtime.
My concern is that if I work a lot of overtime in my first year in order to build up a contingency fund after the 10% 50/50 split, will my annual review then be based on the average of my earnings for that year including overtime and thus substantially increase my payments into the IVA for my second year?
The reason I ask this is that there is overtime to be worked at present but this may not always be the case, if I could not do overtime in my second year then I would struggle to meet a large increase in payments.
Hi, Mel asked a similar question & the answer is no, all current & future payments will be based on your basic pay & overtime will be classed as extra & will come under the 50/50 rule or whatever your proposal states.
Unless stated otherwise in your proposal (and some people do have overtime included), then your payments are based on your basic salary.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Hello Gang - Just wondering if night shift allowances are classed on a par with overtime. My basic pay has remained the same since my IVA began, but I have recently been moved from the hours of 3pm - 11pm to the hours of 10pm - 6am which means that I now receive full night allowance of £72 per week as opposed to half night allowance of £36 per week on top of my basic pay which I received before - it also means that no more overtime is attainable - I work for Royal Mail! I have notified DFD of the increase who will probably get back to me shortly, but your thoughts please !!
The approach to O/T or other pay elements should be considered in context but it would be sensible to propose Arrangements on basic pay. There is no definitive rule.
Pelder
You'll need to check your original proposal and any modifications to see how your income had originally been calculated to be able to see if this will affect you going forward.
Good luck.
Kind regards,
Angela Rosler
Insolvency Manager
Helping people with their debt problems for nearly 10 years.
Contact me directly for free, impartial, confidential help and guidance.
My shift allowance, and on call allowances were included in with my iva.
Overtime wasn't as I never do any!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Thanks Angela & Jan - I had a letter from DFD suggesting that any pay increase I receive I am obliged to increase my IVA contributions by anything over 3% of my original income, but after poring over my IVA proposal (anybody else think that their proposal resembles the wording on a Microsoft Software Licence - you click on 'I Agree' long before you reach the end !!), it says " In addition to my proposed monthly contribution, I shall pay 50% of any overtime, commission, bonus or any additional payments received over and above that already provided for in my income calculation...". This would surely put my (taxable) night allowance in the 50% bracket would it not? Also it is possible I could be moved back to the day shift at a later date and lose that weekly £72 then I would have to seek a reduction in my contributions!
Pelder, could you post once you've heard back from DFD.
I'm in exactly the same situation and my supervisor has said that they do not review any salary increase until the next year's annual review so to enjoy the extra nightshift premiums in full over the next 10 months. When I suggested that I thought it should be classed the same as overtime, commission, bonus etc anyway eg keep 10% then share 50/50 the initial reaction was that that sounded fair enough - although I suppose that attitude may well change next August once they have seen it coming through as regular, guaranteed income. What may swing the decision in our favour is that our payslips will show our current basic income plus an additional allowance rather than it be bundled up as an increase to basic salary. At least only 50% of any of my salary increases are potentially taken, and even then it is calculated only after expenditure increases have been taken into account.
This shift allowance is not guaranteed income so how can it be included? so everytime you change shift pattern you need to do a variation? I think common sense is needed here!
what Debtwitch says is so true there are no rules whatsoever it just depends what IP your with.
Totally agree with Fox84. It is in no way guaranteed income. To put it into context I was "offered" my position on the nightshift but there was very little alternative open to me following our management restructure, with the impact being that I replaced the previous nightshift manager who was only offered a choice of positions on days which meant an overnight 15% pay cut for her. It is most definately NOT guaranteed income.
I also totally agree with Fox84, and with you ComeOnYouSpurs (despite me being a Chelsea fan !!!), but to be fair to DFD I will await their response as I have explained the situation via e-mail, and by letter enclosing 'before' and 'after' wage slips to prove that the increase in pay comes from the promotion to full night allowance, which is by no means carved in stone and it could go the other way in due course! I will post on this thread the outcome for your information soon!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
We should organise a big party for those of us who are due to finish our IVA's within a few months of each other![:D]
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
