Hi, anybody good at maths??

Bruce_Fife

Hello.

I (we) have a bit of a problem. My nans house has just been sold - she died last year aged 103 - and the money from the sale is being divided equally between my mum, her sister and her brother. £64,000 each. The problem is this:

To make the house sale-able, my auntie spent £5,500 on upgrades, my uncle £4000 and my mum put in £500 (she doesn't have a great deal of savings) = £10,000.

Now according to my auntie, my mum should pay (from her £64,000) £5,500 back to my auntie and £4,000 to my uncle so that they recoup the cash that they forked out on upgrades. Now surely that doesn't make any sense? The cost of the upgrades would simply be transferred from my auntie/uncle to my mother wouldn't they? I'm not great at maths but it seems to me that my mother should be paying a third towards the costs = £3333 (55% to my auntie 45% to my uncle). Is this right?

P.S. it would've made much more sense to pay the upgrades from the total and then sub divide equally, but because of the will that wasn't possible.

puddy

well she's already paid 500, so that makes it 2833 to pay, but im not sure of hte percentage, i suppose its about 60/40 to the aunt and then uncle

Wicked_witch

You're right, that makes no sense as then your mum would have paid for 100% of the upgrades by herself! And would then be entitled to demand the money from your aunt and uncle, and so on ad infinitum....

I'd say thirds is correct, taking your mum's 500 contribution into account.

System

Total value = £192,000
Less update of £10,000 =182,000 'profit'
Divide by 3 = £60,667 (rounded) each
Add on update money for each person

Mum £60,667 + £500 =£61,167
Aunt £60,667 + £5,500 = £66,167
Uncle £60,667 + £4000 = £64,667

Total = £192,001

Everybody gets 1/3 plus their update money back.
How does the will prevent this?
If the will is strict on the split and the 3 can't agree on an equitable split as above then everybody can go whistle for their 'upgrade' money and everybody gets £64,000


Or look at it another way (with the same outcome)
House sells for 192,000 but 10,000 is put back in the upgrade pot.
Remainder is split and then each person claims their money back from the pot that they initially put in.

puddy

so i think its 64k minus 2833, then the extra 2833 is divided up between aunt and uncle to the effect that it means that they both put in 3333 to the repairs

Bruce_Fife

Unfortunately the will is strict on the proceeds of the sale being split equally - so £64,000 each it is.

Jenner - thought so. Thanks...

Bruce_Fife

Sorry to bother again but what should the % (of the £2833) be so that each will have paid £3333??

My maths is !!!!.

puddy

aunt paid 5500
5500 - 3333 is 2167

uncle paid 4000
4000 - 3333 is 667

667 as a percentge of 2833 is 23% (i think)
uncle gets 23% auntie gets 77%

puddy

same figures as above, but it just happens after the fact rather than on splitting the proceeds, they still get the same

Bruce_Fife

Thanks Jenner.

pimento

Why not let each person take back the amount they spent and then split what's left three ways?