selling my bussines and csa

DUTR

shoe*diva79 wrote: »

On your figures, 10 hours overtime would be approx £51.40 in the NRP pocket after tax, NI, CSA... If that was 10 hours a month then I would much rather have £50 in my pocket then not. Over a year thats in excess of £600 extra in the NRP pocket. Thats a holiday!

Im sorry, but I really cant see why someone would think its hassle to do overtime thinking they are going to lose all their money. But then it seems most NRP think that most PWC spend the NRP hard earned wages on fags, booze and the such.

Its 10 hours on top of the 36-45hrs they are already doing, they are not doing it because they would lose money, health is more important than wealth.

Marisco

Surely the point of doing overtime would be to "make up" some of the money that is paid in CM, not to have even more taken off them?

DUTR

Marisco wrote: »

Surely the point of doing overtime would be to "make up" some of the money that is paid in CM, not to have even more taken off them?

Perhaps, but then it becomes assessable income, hence for the NRP it could be a diminshing return.
It is little different (for the benefit of shoe diva) than a parent going to work, but the childminder costs near as much the money being earned.
EG Mum goes to an evening job for 3 hours at £10/hr, childminder costs £6ph, hence the 'real' earned rate is £4/hr and that is before travel costs and time, but still it's extra money for the children so it doesn't matter. (Or is it, it depends who is slaving away for little return?)

Alpine

DUTR wrote: »

Perhaps, but then it becomes assessable income, hence for the NRP it could be a diminshing return.
It is little different (for the benefit of shoe diva) than a parent going to work, but the childminder costs near as much the money being earned.
EG Mum goes to an evening job for 3 hours at £10/hr, childminder costs £6ph, hence the 'real' earned rate is £4/hr and that is before travel costs and time, but still it's extra money for the children so it doesn't matter. (Or is it, it depends who is slaving away for little return?)

For me, it is most certainly a diminishing return. I have to work exponentially harder for every extra pound I earn, yet I get to keep only 36p of it after tax, NI and CSA deductions. That's not worth it.

kevin137

Alpine wrote: »

For me, it is most certainly a diminishing return. I have to work exponentially harder for every extra pound I earn, yet I get to keep only 36p of it after tax, NI and CSA deductions. That's not worth it.

You do understand that that is not possible...!!!

Even if overtime is £10 an hour after tax and national ins etc, then you are still left with around minimum of £5 an hour, so with 3 or more children at 25% then your maths make no sense as that leaves £3.75 an hour, and overtime means you have no travel expenses as you are already at work...!!!

Also, try to remember that you have been assessed... So overtime only makes a difference if your ex asks for a reassessment, or you are on a DEO and have to notify the change of earnings over a certain percentage...

So you CAN earn extra without it making a difference, you just have to be clever about it...!!!

Marisco

DUTR wrote: »

Perhaps, but then it becomes assessable income, hence for the NRP it could be a diminshing return.
It is little different (for the benefit of shoe diva) than a parent going to work, but the childminder costs near as much the money being earned.
EG Mum goes to an evening job for 3 hours at £10/hr, childminder costs £6ph, hence the 'real' earned rate is £4/hr and that is before travel costs and time, but still it's extra money for the children so it doesn't matter. (Or is it, it depends who is slaving away for little return?)

Which IMO it shouldn't be! I think folk should be able to keep anything they make on overtime themselves.

DUTR

Marisco wrote: »

Which IMO it shouldn't be! I think folk should be able to keep anything they make on overtime themselves.

I agree but we don't make the rules, I'm sure a good many would happily contribute and simply get a 2nd job or OT to help (themselves) out. Instead some find other means

Alpine

kevin137 wrote: »

You do understand that that is not possible...!!!

Even if overtime is £10 an hour after tax and national ins etc, then you are still left with around minimum of £5 an hour, so with 3 or more children at 25% then your maths make no sense as that leaves £3.75 an hour, and overtime means you have no travel expenses as you are already at work...!!!

I pay higher rate tax. For every £1 extra I earn, the government takes 52p of it. Then the CSA take 25% of what is left (12p). That leaves me with 36p in the pound I worked hard for.


The maths is simple.

sfm82

This has gone completely off topic and we've lost the OP!

I would advise that the OP consult an accountant on the best way to deal with any profit he makes from the sale of his business and if any portion of it is assessable by the CSA to contribute to the support of his child.

OP it might be worth you reading this which may clarify your position: https://www.gov.uk/how-child-maintenance-is-worked-out/how-the-child-support-agency-works-out-child-maintenance

kevin137

Alpine wrote: »

I pay higher rate tax. For every £1 extra I earn, the government takes 52p of it. Then the CSA take 25% of what is left (12p). That leaves me with 36p in the pound I worked hard for.


The maths is simple.

Yes it is, and you got it WRONG...!!! 25% of 52p leaves you with 39p in the £

And to be honest if you are on a higher tax bracket then you are not on £10 an hour are you, so your wording makes it look like you are being really hard done by, when the reality is you are probably on an hourly rate of what some people on here earn in a day...!!! So forgive me if i am not going to give you any sympathy for your complaint about doing overtime...!!!