How does my SoA Look...Advice Please

Delabodes

Any advice on My SoA Would be Helpful....thanks.


Note: I am declaring bankrupt, my partner is not involved and we have no financial links/products


Number of people in house hold: 2


Incomings
My Net Income: 1751 (Salary)
Partners Income: 1810 (Salary - She will refuse disclosure)


Total: 3561


Expenses
Rent - 600 (between us)
Building and contents insurance: 55 (between us)
Tv licence: 12 (between us)
Council Tax: 210
Gas: 60
Electricity:50
Water: 25


Pet insurance: 27
Vet bills: 5


Dentist: 5 (Personal)


Groceries: 325
Toiletries: 20
Alcohol: 30 (personal)
Meals at work: 40


Vehicle finance: 0 (partners car - she pays)
Vehicle insurance: 0 (partner pays)
Vehicle tax: 30 (personal - I pay alone)
MOT and ongoing maintenance: 30 (I pay alone)
Fuel: 120 (My personal fuel costs-partner has a car through work)


Childcare and maintenance: 0


Clothing and footwear: 50 (personal)
Hairdressing: 10 (personal)
Home Phone internet TV: 38 (between us)
Mobile phone: 20 (personal)
Laundry: 5
Hobbies leisure and sport: 90 (personal)
Newspaper, mags, stationary: 20 (personal)
Gifts: 20 (personal)
Smoking: 15 (personal - nicorettes)


Total: 1878

Another question is, the expenses are a mixture of shared cost (bills) and personal costs (nicorrettes, council tax on my empty house), she has her own things to pay for too (credit cards, the car I drive £250, loads of clothes, etc).


Is this something I will go through with my OR in the interview??

TheGardener

If your partner isn't declaring their income the split on domestic bills would likely be 50/50
Alcohol, smoking (or related) newspapers, hobbies, sports - all these may be rejected by the OR.

Groceries - are these shared costs?

However, you could include;
parking charges (everyone has some)
modest holiday
emergency fund
dry cleaning (if you need a suit or similar for work)
Optician?
Prescriptions?

Delabodes

If your partner isn't declaring their income the split on domestic bills would likely be 50/50
Alcohol, smoking (or related) newspapers, hobbies, sports - all these may be rejected by the OR.
I Half expect they will, but the form specifically asks for them.

Groceries - are these shared costs? Yes

However, you could include;
parking charges (everyone has some) - Ill add £5
modest holiday - It doesn't ask so I have included in hobbies leisure and sport
emergency fund - Ill find somewhere to add, doesn't have on the form (Think online form is different)
dry cleaning (if you need a suit or similar for work) - Included in laundry
Optician? No
Prescriptions? True, havnt had any for a couple of years but who knows....Ill add £5 a month

TheGardener

Yes - the old paper forms had different categories I guess.
Parking - one trip a week to town costs me £12 a month - putting that isn't unreasonable.

The aim is of course to reduce the amount of IPA payable without being unreasonable or taking the pee

Delabodes

Yes, there are certainly places I can stick the odd few quid in, it all adds up.


what I worry about is for example council tax £210, but I pay £150 (£90 for my own empty soon to be re-posessed house and half the rented house council tax £60). With my partner not disclosing her finances, that they will assume the council tax is 50% and therefore my outgoings is £105 which is £55 less than I pay out.


There are a few instances like this, are these finer details something I will discuss with the OR?

TheGardener

Yes - you need to be clear that some payments are for more than one property - but your liability for CT for this year plus any arrears on your old property will be included in your BR. However, this means your partner will become wholly responsible for CT on the house you both live in (just for this year)

Delabodes

?? ....so they will make my partner pay an extra 700 in council tax a year and me nothing? Why and how can they even enforce that?

I pay for my council tax and half of our rented council tax. My house is mine and my financial responsibility the rented house we share. How can she be made responsible for a shared cost?

TheGardener

She wont be liable for the CT on your other house - that (current year + any arrears) will fall into your BR until March 2017. However, technically you will not be liable for the current years CT on the house you both live in now so technically she would be expected to pay all of it as though she lived there alone - it will be up to the OR to decide if they allow you your 'share' of the CT on your SOA.
If the OR doesn't allow the CT amount - you will have to find it from elsewhere in your budget.

They cant 'enforce' it but they may not allow it in your budget. Once the IPA is agreed, you can spend what you have left however you want - it isn't policed. If the OR doesn't allow for the CT and you do get an IPA (an IPA look likely based on your SOA) then you would have to ask the OR to adjust your IPA in April 2017 when you would legitimately start paying it again on your old house as well (unless its sold by then of course)
Don't pay any more CT on your old property now if you intend to go BR.
And given she doesn't want to disclose her income - the OR will not know whether the additional CT will be a problem for her...

The_Real_Cheddar_Bob

Are you married and if not is there scope for your partner to not live at your address, i.e move to a relatives? That way the bills all become yours.

The other option is can you survive on one wage? If you dont have income you cant have an ipa.

Thats not always practical mind.

Delabodes

It did occur to me if i was a really crafty sod I would just pretend I didn't have a partner (i.e. we just split up), have all the bills coming out of my account, and as a result be quids in and minimal IPA.

I bet some people do that, but im just not comfortable with that level of BS.

TheGardener

Giving up a job just to avoid an IPA is a tricky one - based on your salary - I'm assuming you have a 'career' rather than just a job so giving that up would probably not be a good idea in the long run.

Just a thought - but do you have a pension? If not I would get one quick and start paying in as much as possible - 6 or 7% is considered reasonable. A gov recognised pension (almost all are) is a legitimate way to reduce your 'take home' income.

If you are definitely going BR within the next few months - stop paying all your debts now. The creditors may start to chase but by the time they get serious - you will be BR.