Statement of Accounts and Allowances

john10001

Can anyone tell me who sets the amounts of allowances allowed for different expenses and if there is a recommended costs list set by some sort of regulatory body for this?

I do recall seeing a post regarding this and reading that a number of IVA companies use their own costs lists which may not be as accurate as the recommended expense amounts?

DNR_2

Hi John10001, unsure if there is a reg body, this is based on my new income and expenditure sheet from our iva.

The usual: rent/mortgage, utilities, council tax, life ins, building/content ins, mobile/internet, tv licence, car ins, tax, mot, repairs, food, clothing/footwear, petrol, haircuts.

We didn't add the following in our iva at the start as we thought we'd be rejected: healthcare (scripts and dentist), entertainment (lunch, drinks, papers, mags), holidays, birthday/xmas, emergency contingency.

Then if you have children, school dinners, after school clubs, hobbies. Hope this helps, it's tempting to keep it minimal to ensure the iva gets accepted. Good luck and happy new year.

UpToMyNeckInIt

Hi John,

Regarding what is deemed 'reasonable' expenditure: All IPs that I’ve come across make reference to the CCCS Budget Guidelines Report 2011. Download a copy here:

http://www.insolvency-practitioners.org.uk/uploads/Technical/BUDGET%20GUIDELINES%20REPORT%202011%20EXTERNAL%20FINAL%20DRAFT.pdf

I believe these were effective from October 2011, and used in my IVA implemented in August 2012. They may therefore still be current.

Even if the figures are slightly out-of-date, it is well worth a read, as it covers every form of expenditure, right the way down to allowances for hairdressing, kid's school dinners, meals at work, even hobbies etc if so required. This will help you budget more thoroughly.

If you are careful to correctly record your income and expenditure, your IVA payment should be set at quite an affordable level. I have come across people who underestimate their expenditure and subsequently have difficulty.

Best of luck.

UpToMyNeckInIt

Hi John,

Regarding what is deemed 'reasonable' expenditure: All IPs that I’ve come across make reference to the CCCS Budget Guidelines Report 2011.

Just google: 'cccs budget guidelines report 2011' to download a copy.

I believe these were effective from October 2011, and used in my IVA implemented in August 2012. They may therefore still be current.

Even if the figures are slightly out-of-date, it is well worth a read, as it covers every form of expenditure, right the way down to allowances for hairdressing, kid's school dinners, meals at work, even hobbies etc if so required. This will help you budget more thoroughly.

If you are careful to correctly record your income and expenditure, your IVA payment should be set at quite an affordable level. I have come across people who underestimate their expenditure and subsequently have difficulty.

Best of luck.

john10001

Thanks!

Can you tell me were I can find details of the CFS guidelines so I can compare them to the CCCS ones?

UpToMyNeckInIt

I understand that CFS figures are not available to the public (really useful - not).

It's academic though as all IPs that I've come across use CCCS guidelines - aparently because thay are the only figures the creditors will agree to.