Income & Expenditure - comments please!

ibrokemylife

Hi everyone,

So I've just finished working out my income and outgoings, and I would appreciate any comments on whether they seem reasonable. Quick thumbnail sketch: 30yo man, London, 1 bed flat (rented), no partner, no children, no other dependants, no car, no property or assets of which to speak, self-employed (only one 3/day week contract atm).

I will be upfront and say that my number one priority is to escape my bankruptcy without an IPA/IPO.

Thank you!

Income
£2,035.00.....Monthy income (gross)
£1,591.13.....Monthly income (net) (Tax, NI, Student Loan contribution)

Outgoings
£ 900.00.....Mortgage or rent
£ 64.00.....Council Tax
£ 0.00.....Gas (No gas supply)
£ 50.00.....Electricity.....
£ 0.00.....Other heating charges
£ 0.00.....Water (Water rates included in rent)
£ 20.10.....Telephone (landline)
£ 10.00.....Telephone (mobile)
£ 17.00.....Broadband (Good connection required for work)
£ 200.00.....Housekeeping (Is this reasonable for a single adult in work in London?)
£ 120.00.....Travelling (Monthly Zone 1-2 Travelcard (£112.20) plus a little extra for occasional travel beyond zone 2)
£ 10.00.....Clothing
£ 12.13.....TV licence
£ 43.75.....Professional indemnity & public liability insurance (£2m insurance cover required for work)
£ 22.18.....Household contents insurance
£ 20.00.....Dry Cleaning
£ 17.42.....Dentist (Not sure what to put here – I have taken the highest NHS treatment charge (Band 3, £209), and divided by twelve)
£ 9.00.....Prescriptions (I have a Prescription Prepayment Certificate (12 months) as I have three items per month on script)
£ 15.00.....Charted Institute of Public Relations membership (Not sure if I can claim for this – membership not a requirement of my job but advantageous)
£ 12.00.....Chartered Institute of Marketing membership (Not sure if I can claim for this – membership not a requirement of my job but advantageous)
£ 15.00.....Haircuts
£ 10.00.....Holidays (UK only) (No idea what is reasonable for this!)

£1,567.58.....Total outgoings
£23.55.........Remaining

kation

have you thought of:

Opticians
Emergency fund (£10)
Housekeeping - seems a little low - read the OR guidelines
Electricity seems low if that is your heating also - factor in winter!
Travel also seems a little low - read the OR's guidelines again (sorry no link)

luvchocolate

my advice .....just be honest and put down what you spend, the O.R will check your bank and credit card statements to see what you spend...they are very reasonable people just be honest,,,mine was really good things I was worried about he allowed because I was truthful. good luck

kation

luvchocolate wrote: »

my advice .....just be honest and put down what you spend, the O.R will check your bank and credit card statements to see what you spend...they are very reasonable people just be honest,,,mine was really good things I was worried about he allowed because I was truthful. good luck

Has anyone had any experience of the OR actually checking bank/CC statements to either:
(1) disprove an I&E or
(2) to challenge an IPA at a later date

sniggings

ibrokemylife wrote: »

Hi everyone,

So I've just finished working out my income and outgoings, and I would appreciate any comments on whether they seem reasonable. Quick thumbnail sketch: 30yo man, London, 1 bed flat (rented), no partner, no children, no other dependants, no car, no property or assets of which to speak, self-employed (only one 3/day week contract atm).

I will be upfront and say that my number one priority is to escape my bankruptcy without an IPA/IPO.

Thank you!

Income
£2,035.00.....Monthy income (gross)
£1,591.13.....Monthly income (net) (Tax, NI, Student Loan contribution)

Outgoings
£ 900.00.....Mortgage or rent
£ 64.00.....Council Tax
£ 0.00.....Gas (No gas supply)
£ 50.00.....Electricity..... seems low for heating, cooking etc
£ 0.00.....Other heating charges
£ 0.00.....Water (Water rates included in rent)
£ 20.10.....Telephone (landline)
£ 10.00.....Telephone (mobile)
£ 17.00.....Broadband (Good connection required for work)
£ 200.00.....Housekeeping (Is this reasonable for a single adult in work in London?)
£ 120.00.....Travelling (Monthly Zone 1-2 Travelcard (£112.20) plus a little extra for occasional travel beyond zone 2)
£ 10.00.....Clothing
£ 12.13.....TV licence
£ 43.75.....Professional indemnity & public liability insurance (£2m insurance cover required for work)
£ 22.18.....Household contents insurance
£ 20.00.....Dry Cleaning
£ 17.42.....Dentist (Not sure what to put here – I have taken the highest NHS treatment charge (Band 3, £209), and divided by twelve) seems high but if you need the work then Ok but you may be asked to show the need
£ 9.00.....Prescriptions (I have a Prescription Prepayment Certificate (12 months) as I have three items per month on script)
£ 15.00.....Charted Institute of Public Relations membership (Not sure if I can claim for this – membership not a requirement of my job but advantageous) depends how your OR is feeling
£ 12.00.....Chartered Institute of Marketing membership (Not sure if I can claim for this – membership not a requirement of my job but advantageous) as above
£ 15.00.....Haircuts
£ 10.00.....Holidays (UK only) (No idea what is reasonable for this!) try a bit higher here

£1,567.58.....Total outgoings
£23.55.........Remaining

In my case I did not get an IPA, I was on just over £1000 net a month but my rent was much less than yours at £375, it was also before the rule change, then I think it was no IPA unless more than £100 but now it's all excess.

I would think you will be Ok but just check your figures are not higher as you are low I would say on electric and holiday, it would be better to put the money there than hope to be allowed the memberships, in my experience the OR didn't go into my figures over the basic ones on my BR form, so I guess they only go into details as we do here if an IPA looks likely, on your wages I think you will be OK.

Remember too that an IPA is an agreement, if it comes down to the matter of the memberships or any other expenses you feel you need and is fair, then tell your OR that, you will have to come to an agreement, if you can't the OR will have to try and get an IPO from court, you can then argue your case with a judge, who may accept your figures over theirs.

but I'm sure it will not come to that, as said it looks like you will be OK.

tigerfeet2006

Clothing is low too as is holidays.

With the memberships be prepared to argue your corner as to why you need them. Prepare a list of the pro's and con's ready to go just to be prepared.

debtinfo

kation wrote: »

Has anyone had any experience of the OR actually checking bank/CC statements to either:
(1) disprove an I&E or
(2) to challenge an IPA at a later date

Yes me........:D

but of course we do realise that sometimes people do spend less before bankruptcy than they would want to simply because they dont have the money or are being subsidised in some other way.

There is no problemin your expenses being higher than they were before on your statements but the OR would want to know why.

For instance i remember a case where a person put down £800pm for rent, but when looking at their bank statements it was clear that they were only payig £400pm before.

Turns out the property was owned by a family members company.

Now there is a way that change would be ok and a way it would not