Will I have to pay an IPA

nicki1234_2

I will make this as short as possible, I was sent a letter for early discharge and another form to complete with my income and outgoings.
I filled this in and was sent an IPA this was the first I had heard of one of these. I was to pay £73 per month for 36mths - I am a single parent with a 5yr old and a 16 wk old baby so I am on Mat Leave currently.
I rang up the OR and asked how they come to the amount as I know I dont have that much spare??? (I hadnt completed the form properly as I hadnt included money for pets, insurance, clothes) as I didn't think you were allowed to add these!
They have sent me a new form to complete, however in the time that this has been going on my job at work, the contract is coming to an end and I will be made redundant.

SO.... I am left with a couple of questions

1. What can I include on the income form to complete, how much will they allow???

2. Is Maternity pay classed as a benefit if I am made redundant and no longer have a job?

3. If I work out my expenses and I have a less money then I need to spend what will the OR do?

I am really worried about this, as with a baby the amount of money being spent is variable!!!

Would really appreciate some advice:eek:

Angiepange

Hi nicki and welcome to the board.

Sorry to hear about your redundancy.

Im not sure what advice to give you on your post, the board can be quiet during the day sometimes, but Im certain someone with more knowledge on this will be along to help soon.

If the thread disappears off the front page, you can always bump it up later on.

Good luck

Angie

tigerfeet2006

When is your finish date for work?

nicki1234_2

Hi

End of the month so not long

heleneb

Hi

I have just been made bankrupt. On my statement of affairs I budgeted for all bills and all food/cleaning stuff, car/household insurance, money for xmas/birthday presents, children's pocket money, children's school dinners and school trips, prescriptions/dentists/hairdressers, travel expenses. Basically everything I know I have to spend money on over the coming year.

The citizens advice bureau give allowances for Childcare, childrens' hobbies/activities £5 per week per child, clothing £20 per month, per person. Food an extra £110 per child, per month. Holidays £50 per month.

So you can genuinely add all this to your budget/expenditure. Hope this helps and try not to worry x

nicki1234_2

Hi Heleneb

Thanks for your reply, I am putting things down on a spreadsheet and adding all these things, I was told I couldnt put anything down for running costs of the car as it wouldnt be allowed, when I add all this up it comes to more than my income???

I thught when I went bankrupt in Sep 2010 it would all be over, cant believe how stressful this is - feels like I will be back to square one with not enough money to live on!

I think what you are allowed varys from the person doing the assesment, I wish I had known this info before filling in my statement of affairs as I only put down the food and household bills nothing else! So this will look very different to what I am putting down now

tigerfeet2006

Ok, so at the end of the month your circumstances will change and you won't be getting the same wage. Will you be getting redundancy payments at all? Will you be on benefits? Get in touch with your OR and tell them that your income is changing and can you wait until you have the new figures to send the form back.

heleneb

Hi there,

The car expenses are only allowed if it's a neccessity for work or you have no other means of getting anywhere e.g a disability or no public transport near you to get to school etc.

I'm not sure why your car hasn't been dealt with yet. I've only just gone bankrupt so am not sure how long it takes for everything to be sorted out. Like you, I thought it would be over and done with quite quickly. Is this is something you could ask your O/R about?

You could deduct the running expenses for petrol, tax, insurance etc. Does this balance your budget? If not, try to increase/decrease the figures for food, dry cleaning, hairdressers.

You can also query the IPO amount you're expected to pay. If your only means of income will be benefits from now on (child benefit, JSA etc) just put that. They cannot make you pay one if benefits are your only source income. People's incomes change so dont worry about telling them that.

PS I don't think maternity pay is classed as a benefit- it's part of your salary. Statutory maternity pay from the government is a benefit. (But not the one from your employer.)

nicki1234_2

After looking into it, Maternity Pay is not a benefit and when I am made redundant my employer still continues to pay my Mat pay until the 39th week, therefore I remain on paper like I am employed and I still pay national insurance contribution from it - rather then moving to Maternity Allowance which is classed as a benefit and is the same money ???? (this is paid by the jobcentre)

Also I am not discharged yet so all my redundancy payout once it is declared is an asset therefore is payable towards my debt.

So I still could end up with an IPA even though I have no job and am reliant on benefits - if anyone knows of anything different to that would be good to know.

mrcurious_2

wish you all the best x