Child support-Entitlement to contractual redundancy payment

hepcat42

I've done a bit of a search to find information about this but am drawing a blank. I wonder if anyone can help:

My former partner and I have a three year old child. I am the parent with care. We have a private agreement between us as far as payment of maintenance. He's always paid on time- no problem there.

He just signed a compromise agreement with his employer for a voluntary redundancy package in the region of £66k. We are having a little difference of opinion as far as what my daughter is entitled to (and what he should accordingly pay me as the parent with care).

I estimate that £30k of it is tax free and so exempt from CSA assessment but £36k would count as earnings on the basis that it is a contractual (not statutory) redundancy payment. This is accordance with the CSA published guidance.

He is saying (following his own call to the CSA) that they won't touch it because it is a "private matter" between him and his employer. Therefore he says I am due nothing.

Incidentally, he had already accepted another job offer (with a base salary of £85k plus bonuses) so was leaving his current job anyway- he just managed to get a VR application & offer tied up quite neatly to correspond precisely with his new job start date (not that his present employer know about that).

I have put in a call to the CSA myself but haven't heard back yet. Anybody have an idea about this?

I'm really not trying to be grasping but I find it pretty astonishing that he is proposing that he will be able to walk straight out of one job (in a public body by the way- this is your tax dollars at work) and into another well paying position with a fat payout of about £52k in his hand- and my daughter gets nothing of that?

DUTR

It is him doing the work, not the child, I think the CSA can only class the money as assets, and hence the 8% or whatever rate they use now) of the interest off that asset

hepcat42

The CSA guidance says contractual redundancy payments count as earnings, though 30K would be tax free so not included. I should stress I'm simply looking for 15% of whatever the lump sum ends up being as per the normal rate used for calculations- not the whole thing!

DUTR

hepcat42 wrote: »

The CSA guidance says contractual redundancy payments count as earnings, though 30K would be tax free so not included. I should stress I'm simply looking for 15% of whatever the lump sum ends up being as per the normal rate used for calculations- not the whole thing!

I understand, however I don't think it works that way, savings and assets over £65k maybe subject to a variation (but it's not at the usual 15,20 or 25%) it is based on the interest which at the time was 8%.
Eg, a NRP has £165k of assets , the 1st 65k is disregarded leaving £100k then 8% of that is £8k, this £8k would be 'taxed' for CS at the 15,20 or 25% on top of the usual assesment , but as you have a private arrangement, then I fear your ex is correct in that you may have to just whistle in the wind

hepcat42

OK, but I guess I don't follow why it would be considered "assets" rather than earnings, since it's clearly a payment made by his employer as part of a contractual redundancy payment? I can understand how if he, say, won the lottery it would be assets but that's not the case here.

And as far as having a private arrangement goes, well- that can change, too if needs be.

markeymark

if he has been paying maintenance and is now in a new job and still paying, why do u think your daughter should lay claim to any of his redundancy??

romanempire

And maybe you should just let him decide when, where and how much of that windfall he wants to pay towards his daughter. :mad: Another PWC with ownership issues.

Deep breath....

There was a lot more I wanted to say but what the hell. Its my weekend with my boy :j and I need to go and make dinner for him and his friend.

R.

McKneff

I dont think his redundancy payment is anything to do with anybody else to be honest.

speedster

hepcat42 wrote: »

And as far as having a private arrangement goes, well- that can change, too if needs be.

the only thing that i can see that needs "changing" is your attitude.

so, you have an NRP who has, is and will be paying his dues from this and his next job and you're going after his redundancy on the pretence it's for the "child"??

so, what EXACTLY does your child "need" the chunk of this money for then?? more handbags and shoes for you perhaps??

i've seen some money grabbers on here, but this is something else. stick around, the dungaree wearing militants wil LOVEEEEEEE you.

i hope you get all you deserve.

FBaby

markeymark wrote: »

if he has been paying maintenance and is now in a new job and still paying, why do u think your daughter should lay claim to any of his redundancy??

Indeed, your daugther's needs are not changing, as long as he continues to pay what you agreed privately, why should he had to pay more? Maybe if you stop trying to get some of it, he will set up an account for your daugther and put some ££ in it for her university fund and then she will be benefiting to.

HelpMePay

He is continuing to pay what, on the salaries you mention, is a considerable amount of maintenance. Your costs in looking after your Daughter have not increased because he has seen an opportunity and taken it. A lot of couple with children take redundancy and choose not to give anything directly to the kids, instead they clear some debts, pay off the mortgage etc. and the kids benefit from happier parents and a more stable environment.

I would suggest that you drop a subtle hint that he may want to put some aside for your daughter to go to University, by her first car, pay deposit on house etc., but leave it at that.