IPA about to ruin my life.

Jaypsarticus

Morning folks. I will try and keep this pretty brief.

I have just been discharged from bankruptcy but on month 9 I signed up for an IPA for £75 due to a small payrise.
I currently live in a rented property while my partner has a small mortgage on her home with her 2 children.

Now the plan was always going to be that at the end of my bankruptcy term we were going to move in together which we still hope to do.

I am aware that this will be classed as a circumstance change as I will have a small amount more disposable income but the problem we have idms that my partner currently receives £700 in benefits for been a single parent to 2 children and when I move in she will lose that due to my earnings so effectively my disposable income will go up slightly but her income will fall dramatically!

Is there anything we can do or is it going to be best to keep my house on for 3 years renting ?
My partner is distraught as she thought after the year term of bankruptcy we could start a normal life together and now we are just realising that were stuck for 3 years not able to save and me with a £20 a month disposable income? I'm pretty sure she will have second thoughts about it all now unless I can try and make it work.

Any guidance will be greatly appreciated.

Regards

Jason

mitch2509

She might not loose all her benefits, have you done a calculation using the online calculator?

Also she won't be £700 down as you will be paying half her bills.


If you earn more that your partner then on your soa for your ipa your supposed to pay a bigger portion of the bills percentage wise.

Someone else will be along to explain it better

Jaypsarticus

No Mitch, thanks for the reply. We have used the benefits calculator online and she loses everything. I currently pay 100% of all my bills as I live alone but when I move in with partner then I can only claim to pay 50% as she also works part time. It's all a stress nightmare to be fair. What an awful situation

mitch2509

If you earn more then you pay a bigger percent of the bills that is allowed by the OR.

Jaypsarticus

Thanks for the reply Mitch. My partner receives £800 wage and £700 benefits her outgoings are £700 a month and she is left with £800 for fuel and food for herself and 2 children. When I move in she will only receive the £800. I get £2100 a month so we would have a combined income of £2900 with a combined outgoing of £1700 leaving £1200. My partner would expect to take the £800 out of that for her and her families living expense leaving me £400 for which I will need to pay fuel arc so I won't have disposable income more that I do now but I fear that the OR won't look at it like this and see that I have a £1200 disposable income and take around £800off me when I calculate my living costs into that ??

lisyloo

her outgoings are £700 a month and she is left with £800 for fuel and food

I am quite confused.
Do outgoings not include fuel and food?
This makes it quite hard to understand.

Jaypsarticus

Hi there. Her monthly commitments are £735 a month which is mortgage/car/ credit card arc but there her own bills which she pays for with her wage. Her monthly living costs are £800ish which is food/petrol/ children's after school stuff/ pet stuff arc. The living costs are made up purley of benefits which she will lose when I move in but I said I would make up that cost with my disposable income which I will gain moving in but I am worried that it won't be accepted by the OR and then they will take it all leaving me with £20 and my partner £800 down due to losing her benefits

LaLaLa34

I feel for you buddy, If it was me i'd rather have just quit my job than taken the payrise. Unambitious I know but at least there's no 3 year IPA.

warby68

I am confused.

Presumably when you move in you will no longer have many bills of your own. Her current outgoings plus living expenses ( to use your terms) are £1500 - surely they will only go up a little when you move in for extra food, utilities and council tax. You seem to have added another £1000 in somewhere.

Even if you cost the household say £500 that's total expenses of £2000 versus income £2900

What's missing?

joa1210

i'm reading it differently, so when you move in together she will lose the benefits, but she still has her own commitments, you need to sit down with both your incomings (hers after all the things that you DONT/WONT contribute to such as deb)t so for example, she has £700 in but pays £200 on CC and £50 on mobile phone that means her contribution would only be £450 to the household. then do the SOA of mortgage/food/petrol/utilites etc. its not a 50/50 split because her contribution is not a 50% contribution.
the OR SHOULD (i think) view the household incomings and outgoings rather than looking at what potentially you have spare

scd3scd4

Just out of interest what is it you want, for her to keep the benefits and you live there.


Are the benefits not given on the understanding she does not have a partner or other income?