IPA 'lead in time' money?

sententia_2

Hi guys,

When I went for my OR interview she said she intended doing an IPA for £XXX to come into effect on 1st January.

This will mean that I will have October and November's surplus of the value of the £XXX IPA in my account prior to it starting.

I have read a couple of posts which seemed to suggest that they don't touch that 'lead in time' money. Can someone confirm 100% whether that is true because I don't want to spend any of it only for them asking for those two months worth of money at some future date.

Cheers

peachyprice

Hi Sententia,
You can spend the money , the IPA will run for 36 months from the date of the 1st payment, so it doesn't matter to the OR if it takes 2-3 month to sort, they still get their 36 payments.

It's only the nil tax IPA you need to keep the money aside for from the 1st month no tax is taken until you hear from Moon Beever about how to pay it.

skylight

Depends on what it is made up of.

Is the IPA due on the 1st Jan made up of surplus only or NT tax code too?? The Nil tax code part you need to put by seperately as this should be asked for (and if not, offer it!). If the IPA is based on surplus income only, and your OR is not making you pay until 1st Jan, then anything until that point is yours.