Finally ready to walk away...

JCS1

Maxnana wrote: »

Oh, sorry - I never thought of that - what an idiot! I will redo it shortly and repost. Do I still put the other stuff on like car hp etc? Not sure what to include and what not to get it to how it would be after BR.

Yes, the £150 is what my son contributes, as he still lives at home (and plans to come with us wherever we end up!)

Put all your outgoings (just remove mortgage and any debt repayments), and then you'll get comments (such as I see you have an amount for presents, but this is not allowed, but you can move the same amount to holidays which is).

What does your son do? Just wondering if he is working full time (in which case the contribution might be considered low), or if he is a student working part time?

tigerfeet2006

~Fleur~ wrote: »

I can't offer advice on the technical stuff but I will say that your life will be better than wading through the mire of of debt and the depression that it brings. I was given an IPA today at my interview which was far less than I thought it might of been, and I consider myself lucky that I only have 36 payments to make- rather than years of uncertainty.
Your life wont be hold for 3 years- try and think of it as a brand new start for you and your family

And the other thing to note about an IPA is that during those 36 payments if your circumstances change and your income goes up or down then the IPA can be adjusted up, down or even suspended. The suspended months count towards the 36 months.

~Fleur~

Perhaps have a look at cutting back on groceries?? This was one of the allowances that my OR changed today- I put £280pcm for me and my dependent 17 year old 6' tall rugby playing son still at school and he raised it to £300.

Maxnana

Think I've done it right now:

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 3
Number of children in household......... 0
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 975
Partners monthly income after tax....... 2100
Benefits................................ 0
Other income............................ 150
Total monthly income.................... 3225

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 148
Rent.................................... 750
Management charge (leasehold property).. 0
Council tax............................. 129
Electricity............................. 61
Gas..................................... 67
Oil..................................... 0
Water rates............................. 32.32
Telephone (land line)................... 20
Mobile phone............................ 26
TV Licence.............................. 12.54
Satellite/Cable TV...................... 45
Internet Services....................... 20
Groceries etc. ......................... 502
Clothing................................ 60
Petrol/diesel........................... 50
Road tax................................ 23
Car Insurance........................... 48
Car maintenance (including MOT)......... 30
Car parking............................. 20
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 35
Pet insurance/vet bills................. 0
Buildings insurance..................... 8.5
Contents insurance...................... 8.5
Life assurance ......................... 37.87
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 20
Entertainment........................... 0
Holiday................................. 50
Emergency fund.......................... 0
Professional registration fee........... 6.35
Total monthly expenses.................. 2210.08


Assets
Cash.................................... 0
House value (Gross)..................... 125000
Shares and bonds........................ 0
Car(s).................................. 2000
Other assets............................ 0
Total Assets............................ 127000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 0........(0)........0
Hire Purchase (HP) debt ...... 2000.....(148)......0
Total secured & HP debts...... 2000......-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-


Monthly Budget Summary
Total monthly income.................... 3,225
Expenses (including HP & secured debts). 2,210.08
Available for debt repayments........... 1,014.92
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 1,014.92

Personal Balance Sheet Summary
Total assets (things you own)........... 127,000
Total HP & Secured debt................. -2,000
Total Unsecured debt.................... -0
Net Assets.............................. 125,000

Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using Firefox browser.

That seems a lot of money we'll have left!

Ineedaname

Remember that you can only go BR as an individual, so your SOA should reflect that in respect of your income. So on your SOA you need to show your full income and the percentage of your partner's income which goes towards joint household expenditure, then on your partner's SOA you show their full income and the percentage of yours which goes towards the joint bills. You can either show your son's contribution in total on just one SOA or split between you as £75 to each. Then you just add in any personal expenditure as relevant on each SOA.

That way you just show an individual surplus.

If you show the entire household income on each SOA it can look as though each of you has the same amount of surplus, when in fact that is a joint surplus. Just saves any confusion when the OR comes to review the figures.

Maxnana

tigerfeet2006 wrote: »

Do you know if the HP co. are happy for you to keep the car and to carry on recieving repayments?

Most HP co.'s will terminate the agreement as soon as you go BR so please check with them that they are happy for you to carry on.

I don't know - I would have to check on this. Thanks for bringing it to my attention though. I will need a car for work, I am a community worker.

Maxnana

JCS1 wrote: »

What does your son do? Just wondering if he is working full time (in which case the contribution might be considered low), or if he is a student working part time?

Yes, my son is working full time. But he can't afford to pay any more - he has a lot of overheads himself. Will I be made to kick him out if he can't pay more?!

Maxnana

Ineedaname wrote: »

Remember that you can only go BR as an individual, so your SOA should reflect that in respect of your income. So on your SOA you need to show your full income and the percentage of your partner's income which goes towards joint household expenditure, then on your partner's SOA you show their full income and the percentage of yours which goes towards the joint bills. You can either show your son's contribution in total on just one SOA or split between you as £75 to each. Then you just add in any personal expenditure as relevant on each SOA.

That way you just show an individual surplus.

If you show the entire household income on each SOA it can look as though each of you has the same amount of surplus, when in fact that is a joint surplus. Just saves any confusion when the OR comes to review the figures.

Gosh - I've done it wrong again! Thanks for that information - this is a very steep learning curve for me!

Ineedaname

They can't make you kick your son out, but a strict OR might ask for information about your son's personal income and expenditure IF they would like to see him contribute a higher amount to push you/partner into a higher surplus. As far as I'm aware though, your son does not have to provide that information if he doesn't want to.

Hopefully a guru can comment a bit further on the possibilities here.

Oh, and hey, you can't get something wrong if you have never done it before and don't know any different.;)

NeverAgain_2

Ineedaname wrote: »

They can't make you kick your son out, but a strict OR might ask for information about your son's personal income and expenditure IF they would like to see him contribute a higher amount to push you/partner into a higher surplus. As far as I'm aware though, your son does not have to provide that information if he doesn't want to.

Hopefully a guru can comment a bit further on the possibilities here.

Oh, and hey, you can't get something wrong if you have never done it before and don't know any different.;)

I'm no guru, but I agree with INAN's reading of the son's position.

He's the least of your concerns at the moment, best at this stage to concentrate on knocking your budget into shape.

Budgets are not my area of expertise, but I see you have a small mortgage, albeit with a large homeowner loan secured against the property.

I wonder if there's any way you can stay in your house?

Common sense doesn't always apply in these situations, but it seems daft to push you into paying rent which would almost certainly be much higher than the mortgage repayment.

Not my area as I say, so I don't want to raise your hopes, but other members may have some more informed input.