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Siiiiiiiii8
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by Siiiiiiiii8 » Tue Jan 23, 2018 7:31 am
Hi,

I am current in an IVA
I am looking to do an electricans course, with the cost of around £349 a month. It's interest free over 12 months.

And with my job I get a basic salary and this is what I have declared , of what I've declared but now I'm earning around £500 bonus regularly a month extra, so have decided to reinvest this into a training course, for the future.

These costs are interest free and require no credit check or finance taken out and is paid throughout the course so is not credit as such.

I was just wondering

A. Do i have to declare the bonus income
B. Do I have to tell my IP if I do this course, as it won't show on my credit file?


Thanks in advance.
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Foggy
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by Foggy » Tue Jan 23, 2018 7:53 am
Yes you have to declare the bonus income and pay around half of it into the IVA. Depending on which clause you have you might get a 10% disregard (an amount equivalent to 10% of your normal monthly salary. not the bonus). It is all in your proposal.

As for the cost --- you might just be able to cover the payments from your share of the bonus. But I would run it by the IP, as, it is not a usual student loan and is, however you dress it up, credit and will need permission.
Siiiiiiiii8
Posts: 6
by Siiiiiiiii8 » Tue Jan 23, 2018 8:12 am
Hi,

Thanks for your advice.

I guess this would come up in my review??

Would it not be a case of if I continue to meet my payments each month I would just be left alone?

In regards to my bonus it is not a definite amount and fluxates each month so would they increase the payments just on the monthly bonus rather than a concrete contracted salary increase?

Cheers
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Foggy
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by Foggy » Tue Jan 23, 2018 8:19 am
Siiiiiiiii8 wrote:
Hi,

Thanks for your advice.

I guess this would come up in my review??

Would it not be a case of if I continue to meet my payments each month I would just be left alone?

In regards to my bonus it is not a definite amount and fluxates each month so would they increase the payments just on the monthly bonus rather than a concrete contracted salary increase?

Cheers



As well as making your agreed payments you have to abide by all the other agreements you made ... then they will leave you alone.

The bonus has to be declared monthly, as and when you get it, and the IVA share paid to the IP within 14 days. A bonus payment and overtime are treated differently to a contractual payrise.
Siiiiiiiii8
Posts: 6
by Siiiiiiiii8 » Tue Jan 23, 2018 8:22 am
Thanks,

Like you say I'll declare it and explain everything then aslong I've abided by the rules everything should be fine.

And then I can make a decision on my course from then on.

Cheers
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Foggy
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by Foggy » Tue Jan 23, 2018 9:12 am
Siiiiiiiii8 wrote:
Thanks,

Like you say I'll declare it and explain everything then aslong I've abided by the rules everything should be fine.

And then I can make a decision on my course from then on.

Cheers


Yes, although often a pain in the proverbial rear end, it is best to keep the IP appraised of everything (whether they want to know or not) and get any agreements in writing . This will avoid any surprises later on.
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Lisa Thomas
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by Lisa Thomas » Tue Jan 23, 2018 9:33 am
How will you be able to maintain your payments if you are spending an extra £350 each month on a course?
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J5453
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by J5453 » Tue Jan 23, 2018 5:08 pm
It’s best to keep on top of things by declaring bonuses/overtime asap and as Foggy says within 14 days. The 14 days is written into my contract and if it’s not declared within that time, it will be deemed as a breach of the IVA.

I declared my overtime at Christmas and after the 10% 50/50 rule, they asked for £6!! Pain and seemed trivial but not worth a breach at the end of the day!
Siiiiiiiii8
Posts: 6
by Siiiiiiiii8 » Tue Jan 23, 2018 6:11 pm
Hi,

Yeah like you say I'll declare see what happens.

Just looked at my proposal which when I went into an IVA took my average salary rather than my contract salary.as mentioned it fluctuates, and I have earnt less than that since but still managed to maintained payments, do you think they would take this into account?

Also would I be required to show proof of pay rise I.e payslip etc
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Foggy
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by Foggy » Tue Jan 23, 2018 6:22 pm
Siiiiiiiii8 wrote:
Hi,

Yeah like you say I'll declare see what happens.

Just looked at my proposal which when I went into an IVA took my average salary rather than my contract salary.as mentioned it fluctuates, and I have earnt less than that since but still managed to maintained payments, do you think they would take this into account?

Also would I be required to show proof of pay rise I.e payslip etc


They will want to see proof, yes.
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J5453
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by J5453 » Tue Jan 23, 2018 6:57 pm
I send in my payslip for any changes to let them tell me when I should or shouldn’t pay more in.

Plus I believe the P60 at every yearly review will inform them of how much you’ve been paid in the last year to date.
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