www.iva.co.uk

Hi everyone

In december I get paid twice (3rd and 31st) as i am paid 4 weekly but have to contribute 12 monthly payments to my iva.

Am i right in thinking that due to my increased contributions which are calculated 4 weekly the the 'extra' payment in december is mine to keep?[:)]

regards

lou

Hi Lou,

You need to run this by your IP. Not sure what happens in this situation.

I also get paid 13 times a year and when i asked my IP told it was mine to keep due to the fact that everything is worked out over a 12 payment schedule, like your council tax you only pay 10 payments and you keep payments that should be paid in feb and march,I look at it as a little bit of a bonus and use it to pay for little treats we can't have.

You do need to check with your IP as it is case specific.

Sorry I don't understand this. People who are paid at four weekly intervals need to have their basic monthly salaries worked out over a 4.33 weeks per month basis - so your income should be higher each month. Alternatively, things can be worked out on a four weekly basis, but this then means that you make 13 contributions to your IVA and not 12.

i dont understanD either melanie!

my iva states that they expect 12 annual contributions over 6 years(72 payments in total) but i get paid 4 weekly (which they know) and have been told my contributions are calculated on this basis. I have completed my first year and they only expected 12 payments in my end of year review(i kept one) but it is very confusing ?!

my uplift is also set at a lower level 4 weekly than it would be if was paid monthly - dont get it!!?

If you look at one of your payslips, and compare the amount showing as income in your IVA proposal - I imagine that your IP will have increased your income to take account of a monthly average - using the following mathematical formula

Wages (4 weekly) x 13 dividend by 12 (to get monthly figure). The resultant figure will then give you the figure used to calculate your monthly disposable income - or that is how it should work!

It is correct to work out the uplift based on 4 weekly figures, but this does mean that you need to check this 13 times a year and not 12.

Hi
As long as you make twelve payments a year you should be fine. Is the base figure that was used to calculate your IVA income based on your 4 weekly pay times by 13 and divided by 12 ? or did they use your net four weekly figure as your monthly IVA income figure ?
Regards

Hi

My iva paperwork does show a figure which equates to my 4 weekly pay x 13 divided by 12.

Does that mean only 12 payments expected (as per my paerowkr?)

Im presuming though that uplift (if any) is required x 13?

I have found out to my cost though that my uplift limit expected is less than that stated on my iva documents for 12 monthly contributions....very confusing

Sorry if the IPs here this but just keep it.
Any extra just put in a contingency fund as you will definately need it.
If at the end of the IVA you have not needed it then pay over to your IP.