www.iva.co.uk

Hi there, Firstly I would like to thank everyone in this forum, you have really helped me in my darkest times. This is my first time of posting, but I regularly check the site. I have been in an iva for 4 months now, find it hard getting by with what I am left with after paying the iva, the problem is the 50% overtime rule, Since my iva had been accepted I have been doing a days overtime each month and have not declared the extra to my ip, I find it very hard to give anything extra, I am allowed to earn £1480 each month, I normally get around £1590 when I do the overtime, I am scared to notify my ip as I know I was supposed to declare this on a monthly basis, And they may fail my iva due to this. Every penny of my extra overtime is swallowed up having to pay extra on petrol, rent, council tax, fuel bills and food and car maintenance which is essential to carry my elderly father to hospital on a regular basis. My question is could or would my ip fail my iva due to me not declaring my extra income & what would be the right thing to do? Thank you for your time.

welcome to the forum bob the builder...i am sure someone more savvy will be along soon to answer..

keep going....

Welcome from me too.

I'm not an expert, but I think you should phone your IP and inform him of your overtime, but also tell him about your increase in expenditure.

One of the experts should be able to give you a more in depth answer.

I have to send my IP my wage slips on a regular basis so they know what money i am earning. As I am salaried it is only my yearly wage rise so it is easy to work out how much extra I owe on the 50% rule. I would let your IP know or you could have a nasty bill at your annual review.

Welcome to the forum
Jan

Thank you guys, I feel alot better knowing there are people out there willing to listen and share there thoughts, much appreciated.

Hey bobthebuilder, welcome to the forum. I'm sure as everyone has said, if you tell your IP asap then I can't see they would fail your IVA. You need to tell them of your worries. Good luck and keep posting. X

Are you sure that you need to pay over all of the overtime? Most IVAs these days provide for you to keep the first 10% of all addditional earnings before having to pay more over to the Supervisor. Also, if you have a reasonable IP working with you, they will generally understand that the cost of living has increased.

Hiya and welcome. I'm with Jan on this one, ringing you ip is your best bet. They're not ogres and don't be surprised if they don't seem surprised that you have delayed ringing them, they must see it all the time.... When you ring explain that your O/T cash is used up and maybe ask for a review of your payments as without it you wouldn't manage..

Melanie you are right I am allowed to keep the first 10% of all additional earnings and split the remaining 90% 50/50 with my ip, I will pluck up the courage and call my ip tomorrow and explain my situation, Hopefully they are understanding, I wouldnt mind paying an extra month or two at the end of the iva to even things up, but I doubt if that would be accepted. Thanks again for all replies, very much appreciated.

Are you sure that you understand the 10% calculation correctly? For example if your basic take home pay is £1,200 - you are allowed to earn an extra £120 before the 50/50 split is taken into account.

Yes the 10% Is included in the £1480 so its just a straight 50/50 after that. Thanks Melanie.

But if the £1480 is your usual take home pay, then the overtime you are doing is less than 10% of your pay, so you should be able to keep it.