my Husband has to pay 50% of over his wages that he has on the propsal the only thing is he earns different amounts each month due to shift allowance iva peaople have taken the lowest amount of wages into account which means every other month he has to pay 50% how do we get around this with the iva people as they dont seem to care and said put it in writting we dont know how and they will continuing charging us for the 50% again more arrears. I hope i made some sort of sence can someone tell me if they have the same situation and what can we do
First thing to do is to see what the proposal and chairmans report actually say about your husbands overtime.
Do they clearly say you have to pay in 50% of any increase in take-home pay, or 50% of net income? If the clauses are not clear what do they actually say? We probably need this word for word I'm afraid.
Ian
Ian Millington
Insolvency Director
PDHL Ltd (formerly Personal Debt Helpline Ltd) www.pdhl.co.uk
I think I understand, as we are in a similar ish situation. My OH is the wage earner as I stay home with the children now.
He is paid 4 weekly and has a basic salary, on call rate, call out duty rate and overtime - all of which are worked every 4 weeks and every 4 weekly pay packet is therefore different depending on when he was on call, if he got called out, how much overtime worked etc.
Our IP looked at the P60 and worked out an average calendar monthly pay packet for us.
This seems to be realistic and working quite well.I can't see us being in the situation where the 50% rule comes in very often at all.
How did your IP work out your income and expenditure initially? I am surprised this issue has not been addressed already.
I'm sure an expert will be along soon to answer your question properly!
Angelrainbow thanks for the advice i think that hopefully would work for us. When we send in our payslips we never seem to get them back we did use to photo copy them but the last time the photo copier were we got them copied was not working and we had no time to go anywhere else, and also we filled out an expenditure form out for 2007-2008 they say they dont have that or our payslips we did send it recored delivey what should we do.
Most IP's will prepare proposals on the basis that they take the basic wage element, and not rely upon overtime or other occasional payments which are not guaranteed.
For my own client who have 50% uplift provisions, we ask for wage details every quarter, and then compare the actual earnings with the forecast earnings per the IVA proposal. Any difference would then be subject to the provisions contained within your own IVA proposal.
Generally not - because I take the view that wage increases are inflationary and are to be used to meet increased annual expenditure - but you would need to check this out with your own IP.
