Why is there 2 systems and new one you pay MORE?

snadge

Iam currently paying CS, they take £7.20 a week from my Jobseekers Allowance, but then I saw on their website that its £5.00 a week?, on a recent phone call to them about this I asked and they said its £5 on the new system and £7.20 on the old system... I was about too ask why but got cut off!!!

....how is that in anyway FAIR..?

is this the same for wages too? more on old system and less on the new?

what are the rates on both systems for wages? my dad says its about 15% of take home pay for one child


thanks

kevin137

Is there any arrears...??? If so they can take more...!!!

snadge

kevin137 wrote: »

Is there any arrears...??? If so they can take more...!!!

the woman from the CSA said "£5 on new system, £7.20 on old system" - nothing to do with arrears?

kevin137

It always used to be £5 on benefits, so all it can be is an increase in the amount they can now take...

Not sure how they work out the different systems to be fair...!!!

But whatever way you look at it, you have to pay towards your child/ren, and that does not cover much...

snadge

But whatever way you look at it, you have to pay towards your child/ren, and that does not cover much...

that is completely besides the point of the topic?

If you want to get personal then yes it does not cover much, but I am unemployed and at least I pay my CSA unlike a lot of other people and a lot of other people on benefits too... (not everyone on benefits in the UK pays CSA)

look on their website it says £5 a week, when I spoke to the lady at CSA about the claim I asked about this and she said its only for those on the new system, those on the old system pay £7.10 which is going up to £7.20 in april (and it did) but then the call was cut off... so its not an increase on the £5 amount at all? they have two different systems (one is pre 2003 i think) but both systems should be the same for everyone? shouldnt be person A pays more money than person B just because his or her claim was live before 2003..? that is in no way a fair system at all? and its nothing to do with trying to save £2.20 per week, its about how they can go about doing this legally?


if anyone can shed any light on the differences between the two systems I would appreciate it

thanks

HoneyNutLoop

There are now 3 systems. Each has a different way of calculating things.

For the contribution from people on benefits, the 1993 system calculates it as 5% x2 of the single persons benefit allowance. As the rates of benefits have risen, so has the contribution.

The 2003 system was and is a flat rate of £5 and at the moment that's the same for the 2012 system. However there are plans for that to rise shortly to £7, and at one point they were talking of increasing it to £10 although that idea seems to have been shelved for the moment.

krashovrload

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Maths isn't my thing but isn't that a 40% increase on maintenance payments just for being out of work.?

Seems a little harsh - even if the amounts are small...

Personally I think it's shocking that there should be more than 1 method for calculating maintenance in any case esp. in a society that's hellbent on equality in everything else and considering (if you can believe the media) how much money has been thrown at the CSA over the years...

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shoe*diva79

krashovrload wrote: »

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Maths isn't my thing but isn't that a 40% increase on maintenance payments just for being out of work.?

Seems a little harsh - even if the amounts are small...

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Benefits have increased in that time to.

lazer

IMO - nothing should be taken from JSA - is JSA not supposed to be the minimum amount required to live - by taking CSA you therefore have less than minimum (and if you have contact with your children (but less than 52 nights a year you will have to find money for that too from less than JSA)

Unfortunately - the system is not fair - and the fact that the CSA now have 3 systems running is unfair too.

shoe*diva79

snadge wrote: »

Iam currently paying CS, they take £7.20 a week from my Jobseekers Allowance, but then I saw on their website that its £5.00 a week?, on a recent phone call to them about this I asked and they said its £5 on the new system and £7.20 on the old system... I was about too ask why but got cut off!!!

....how is that in anyway FAIR..?

is this the same for wages too? more on old system and less on the new?

what are the rates on both systems for wages? my dad says its about 15% of take home pay for one child


thanks

There are 3 systems. CSA1 is pre 2003 and is quite unfair to both sides.

CSA2 is a much fairer system. However, it allowed many NRP to evade payments by one way or another from becoming self employed or salary sacrificing large payments to their pension to lower their liability.

CSA3 started in April this year. At the moment its just for new cases with at least 4 children I believe. All other cases will be moved over but don't count on it happening to soon as CAA1 was supposed to be moved to CSA2 but its never happened!

CSA3 is set on gross income and details are reported directly from the HMRC so in theory assessments should be quicker and more accurate.

shoe*diva79

lazer wrote: »

IMO - nothing should be taken from JSA - is JSA not supposed to be the minimum amount required to live - by taking CSA you therefore have less than minimum (and if you have contact with your children (but less than 52 nights a year you will have to find money for that too from less than JSA)

Unfortunately - the system is not fair - and the fact that the CSA now have 3 systems running is unfair too.

If the NRP lived with their children and was having to claim JSA then they would still be providing for them. I don't see the difference with them living apart? Children still need providing for.