www.iva.co.uk

I've received confirmation of additional income for this financial year, and will be in receipt of an extra £158 per month from tax credits due to reduction in income as currently on maternity leave.

As well as this I've also received my final award notice for the last financial year, which shows I am owed £1,018.

I have to query both payments as there is a slight error on the award in terms of payment for childcare, as we aren't paying childcare costs currently.

My question is what is to be contributed into the IVA from being in receipt of these payments. Am I right in assuming that 50% of any additional income has to be contributed into the IVA?

Some guidance would be appreciated.

Thanks

Hi,

You need to speak to your IP company and inform them of the extra money - they will help you sort it out.

Hi I agree with Kallis - your IP will have to do a review of your I&E. best to notify them of the changes asap.

As above, you will need to check this out with your IP. The award isn't straightforward "additional" income, it is income that should have been there in the first place and the increase going forward will be offset, to some degree, by the reduction in salary whilst on maternity leave.

So .... a whole revised I&E will be needed.

thanks all. I've just submitted my annual review pending confirmation of tax credits income. so will advise my IP.

just wondered what will happen in terms of the one off payment due to me.

thanks

You may be able to keep the one off payment but it would be at the discretion of your IP and may even need a variation. It seems that you have been underpaid so the question would be how was this funded? If you had your payments reduced then I would feel that the money belongs to the arrangement and would address the shortfall. If however you maintained the IVA payments and made cutbacks elsewhere then this money could be yours.

Each person has allowances for the likes of car/house maintenance, sports/hobbies/sundry etc and you should have a savings 'pot' for these purposes. If you have had to use this money to fund the shortfall as a result of the underpayment then I would argue the one off belongs to you.

I am sure your IP will be able to help you.