Salary Increase & Bonus/Overtime Rules

Max_Maxwell

Hi folks

I'm sure this has come up before, and I've searched the forums and found snippets of info but thought it worth posting as a new thread.

I'm seeking clarification on the general ruling with regards payment of bonuses and/or overtime. I understand the position with salary increases (50/50 after a revised I&E review) but I can't find anything definitive in my IVA documentation with regards the expected dividend of additional payments typically bonuses or overtime. I presume the 50/50 rules applies.

In addition, with regards general salary increases, my experience in previous years has been that the additional income has been mine until the next annual review and only then is the IP able to request an increase of 50% of any additional surplus. This time round my IP is taking a different stance and is requesting 50% of a pay increase that took place between reviews, albeit based on my latest I&E review. This was unexpected and at odds with what's happened previously.

Sorry to traipse over old ground. Your thoughts/ experiences welcomed.

Vikipollard

I thought mine only went from review date, but found out at my first review that I had to pay from the date of the pay rise, not only from review. I had to increase my payments to pay the extra plus clear the money owed, but they said as long as it was cleared by second review that was fine, so all good.

After that, as soon as I got an increase I upped my payment on a 50/50 basis.

Foxy-Stoat_3

To be safe you need to save 50% of the additional income and be prepared to pay this at review time. The additional income is not 100% yours till review, same as if you got a £5000 pay cut on month 6.....you wouldn't be able to keep up the payments until review....swings and round-abouts.

If your costs increase, say you drive further for your new job, then you can argue that at review.

When I got a new job with an increase in salary I called my IP and increased the payments that month....when I had 2 pay cuts I did the same and decreased my payments. I confirmed all this via emails and kept them till completion, handy as they tried to say I underpaid for a few months but after I sent them back up emails they agreed and completed the IVA.

Max_Maxwell

Foxy-Stoat wrote: »

To be safe you need to save 50% of the additional income and be prepared to pay this at review time. The additional income is not 100% yours till review, same as if you got a £5000 pay cut on month 6.....you wouldn't be able to keep up the payments until review....swings and round-abouts.

I take your point but the problem this creates for me is that when I had a pay increase previously I was informed by my IP that this would not come into question until my next review and I was entitled to retain the additional income until that time. True to their word I had to increase my payments only from the review. This technically set the precendent, and based on this I've made no provision to retain 50% of the additional income yet the IP now wants this from the point of increase.

If this is unquestionably the case then I will need to make an arrangement to pay, however, I can see nothing in my IVA documentation stipulating this fact, and I have emails from the organisation confirming the precedent they set previously.

It's not my intention to sidestep the conditions of my IVA or avoid my responsibilities, I'm simply explaining that this is not what happened before and seeking clarification over a case of inconsistency.

Foxy-Stoat_3

If that's the case then its not for me or anyone on this board to tell you what is right or wrong, I only gave advice from when I was on the IVA, pay fluctuations would almost certainly have been included somewhere as mine and may others have.

The IP looking after your IVA will have the last word. If there is nothing in the entire IVA contract or original conditions about what happens if you get a pay increase or decrease then you either haven't looked hard enough or the contract is not as thorough as most and this may be what you should bring to your IP's attention.

They may of made a mistake by telling you to keep the increase last time and you may of got away with it...it may get picked up at completion.

You could confirm in writing and send them copies of previous emails/letters confirming what happened last time and ask them to advise where in the contract or conditions what the procedure is for pay changes.

Good luck with it.

FiatFan_2

Max_Maxwell wrote: »

I take your point but the problem this creates for me is that when I had a pay increase previously I was informed by my IP that this would not come into question until my next review and I was entitled to retain the additional income until that time.

It very much depends on your IP, seems they can flex the rules to suit themselves, after all they make more commission on our overtime/bonuses etc.

I was informed by my IP a similar thing, maintain the income threshold and continue paying until it was reviewed, provided i'd paid up then i wouldn't have to pay any additional.

Max_Maxwell

Foxy-Stoat wrote: »

If there is nothing in the entire IVA contract or original conditions about what happens if you get a pay increase or decrease then you either haven't looked hard enough or the contract is not as thorough as most and this may be what you should bring to your IP's attention.

Believe you me, I've looked hard enough.

I appreciate most views on here are based on personal circumstance and I'm not challenging yours or anyone elses individual viewpoint. I'm merely courting the experierences of others in a similar situation.

Thank you.