Does CSA take into account the paying parent's mortagage, food and council tax?

a2a_2

Hi there,

My ex and I have come to agreement to use CSA guidance but not to involve CSA. I therefore pay 15% of my net wage every month (1 child). My formula is simple: (Net wage)/100*15

Just spoke to a friend of mine, who says that I lose out. He is paying through CSA and the formula he uses is: (Net wage - Mortgage - Food bills - Council tax)/100*15

He explaines that the paying parent is ment to pay 15% not on the Net wage like I do, but first deduct mortgage, food bills and council tax from Net Wage, because they are necessities, and only then pay 15% from the amount that's left.

For simplicity let's say I receive £2000 net wage and pay £300 maintenance (2000/100)*15
His calculations would mean I'd have to pay £195, since 2000-400(mortgage)-200(food bills)-100(council tax)=1300 /100*15 = 195

Whose calculations are right? Any comments/advice would be appreciated.

Thank you

Marisco

Your calcs are correct. On CSA 2, it's 15% for one child, 20% for 2, and 25% for 3 or more, all on net income, before any of your outgoings are taken into account. Food and CT have never been taken into account, housing costs were taken into account for CSA 1, but it was a very complicated calculation. I'm sure if you phone the CSA up, explain the info you want, they'll be happy to oblige. Don't forget to say how many nights you have the child, as that will bring the assessment down a bit as well.

Csa_Survivor

Marisco wrote: »

Your calcs are correct. On CSA 2, it's 15% for one child, 20% for 2, and 25% for 3 or more, all on net income, before any of your outgoings are taken into account. Food and CT have never been taken into account, housing costs were taken into account for CSA 1, but it was a very complicated calculation. I'm sure if you phone the CSA up, explain the info you want, they'll be happy to oblige. Don't forget to say how many nights you have the child, as that will bring the assessment down a bit as well.

Marisco is correct, sounds to me like your friend is a lucky fella if he takes all those things into account before calculating the 15% on the remainder. However, as suggested above, whatever formula he is using it sure as hell is not the official one that the CSA uses that is for sure! Unless your friend is talking out of his hat the only way I can assume he is being completely truthful about paying through the CSA is this:
Perhaps he and his ex have come to an agreement using their own formula between themselves, and asked the CSA to act as a kind of go between and just pass the money on? I don't know if its possible to do that though, only one of the CSAworkers on here can possibly tell you that?

jacklink

csa dont care that you have other bills to pay to survive

terryw

jacklink wrote: »

csa dont care that you have other bills to pay to survive

Oh dear. The OP's question has been answered. Your point is an opinion and would be better dealt with the discussion forums.

Most people with a child pay a lot more than 15 percent of net income to support a child.

mania112

gross income is before any tax/bills are paid.

net is after tax.

bit of confusion on here!

If you're employed and paid by PAYE it will be 15% of your gross salary, before paying tax.

If you're self-employed it's a fairer system whereby you pay 15% of your income as declared on your SA (i.e, after taking out tax and expenses)

shoe*diva79

mania112 wrote: »

If you're employed and paid by PAYE it will be 15% of your gross salary, before paying tax.

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You are incorrect. Its 15% of net pay. After tax, ni and pension has been deducted.

mania112

shoe*diva79 wrote: »

You are incorrect. Its 15% of net pay. After tax, ni and pension has been deducted.

Fair enough, the point i was primarily making is that net is after deductions - someone got it confused.

It is true that Net Pay is take home pay after all deductions (not just tax) - is CSA calculated after student loan repayments too?

Would you also agree that the Self-employed process is fairer?

Crellow4

Student loan repayments are not taken into account when calculating CSA.
The Self employed process is no different - only business expenses are deducted from turnover - not household expenses. In theory, providing all income and expenses are truthfully recorded, the self employed are assessed on their trading profit. The problem arises when the self employed are not truthful.

taw12968

i have just found out my weekly payments are going to treble !! i have been paying support via a private agreement for the last four years, now my ex has decided to carry things through the CSA for no apparent reason, my payments in the past have always been in full and on time, she moved away from the home she was staying in rent free, at my expense and moved some 400 miles away, she refuses to bring my child back to visit me, any visits are always at my expense and involve a trip costing in excess of 700 punds a time, this i could only just afford to scrape together every 8-10 weeks, now she has involved the csa i fear i will not see my child in any way shape or form as the money being demanded by the CSA leaves me in a negative balance after i have paid mortgage, gas electric etc, i now have 30 pounds a week left from my wage to eat etc, can this be right? im going to be as well getting the sack and sponging off the state, once again another father who loves his child is being cut out of their life through no fault of his own. anybody have any advice??? please

clearingout

the 'no apparent reason' is the fact that your payments for the last few years have been far less than the Government-calculated bottom-line figure. And probably the fact she is no longer living rent-free. Few people like to be at the mercy of their ex, even if it means a cheap place to live.

You can ask the CSA to make travel deductions which won't amount to much but will be better than nothing. Mediation or court are your only other options on travel.