Spousal and Child Maintenance

activist3

Hello,
I am currently separated and beginning the process of divorce and would like some advice about possible financial settlement.

I have been the main bread winner for the majority of our relationship while my wife has been bringing up our children.

After the separation my wife will have a greater income than me due to tax credits and child benefit going to her. She will receive around £1700 per month (P/T job and benefits) and i will have income of £1200.

I am proposing that she keeps our house and all the belongings and continues to pay the mortgage at £450 p/m herself. I will also take on the family debt of £26,000 with a payment of £450 per month out of my wages. I will have accommodation provided with my new job.

I am also proposing having joint custody of the children on an amicable basis.

Has anyone got any idea if i will also have to make additional financial payments to my wife/children? I am not saying this grudgingly as the children are obviously a huge priority but i am trying to work out financially how things are going to be ongoing.

flutterby_lil

Sorry to hear you are separating.

You need legal advice as it won't always be amicable.

You will have to pay maintenance to her, depends on how many children you have as to how much you pay.

Caroline_a

flutterby_lil wrote: »

Sorry to hear you are separating.

You need legal advice as it won't always be amicable.

You will have to pay maintenance to her, depends on how many children you have as to how much you pay.

Best piece of advice! You won't pay maintenance for your wife, although you will need to pay it for your children, but the calculation of this will depend on how many days you have the children and also your salary. There will be others along I'm sure to point you to the calculations.

daska

Yes you will. Make sure you know how much the CSA calculation is before you propose anything. And remember, whatever you agree between you now, you will always be liable for child maintenance. As a basic guide it's 15 to 25% (1 to 3 or more children) less deductions for number of nights etc. You may do well to suggest that you have shared residency and each claim CB/CTC for one child.

DS4215

It sounds like you are trying to be fair, but you are taking on £26K of joint debt and handing over all the equity in the house.

fannyanna

I wouldn't have thought you'd have to pay child maintenance on the basis of what you've said (you'll have shared care of the children and she will have a higher income than you).

fannyanna

How much equity is in the house?

activist3

fannyanna wrote: »

How much equity is in the house?

Thanks for all the replies.

There will be 20k equity in a house worth around 110k. So effectively i will be losing 20K equity, taking on 26K of debts and losing every one of my belongings eg furniture in the house.
If i have to pay maintenance on top of that i will be contributing 25% of my weekly income to the children...Which will be around £54 per week. Is that right? That is going to leave me in big financial problems.

If i have the children for 2 days a week (or more hopefully) will that mean i should be able to offset tax credits / child benefit for that % of time too?

daska

Yep, which is why I would suggest broaching the subject of sharing the CB and CTC. If she claims all the CB then she gets all the CTC AND AFAIK you have to pay maintenance as well. You might do well to ask this question on the child support part of MSE.

activist3

daska wrote: »

Yep, which is why I would suggest broaching the subject of sharing the CB and CTC. If she claims all the CB then she gets all the CTC AND AFAIK you have to pay maintenance as well. You might do well to ask this question on the child support part of MSE.

Thank i will do that. I am waiting to see a solicitor at the moment. To further complicate matters our debt is currently with the CCCS and looking at these figures i really cant see how i can take the debt on alone.

Lots to worry about :-(

Mojisola

daska wrote: »

You may do well to suggest that you have shared residency and each claim CB/CTC for one child.

Think seriously about doing this.

What you're suggesting so far sounds very unfair to you.