Furloughed reduction of payments

katekatelou

I will now only be receiving an 80% wage due to being furloughed I've informed CMS of the reduction in wage but they advise that payments will only be reduced if the wage reduction is more than 25% how can this be right surely payments should reduced in line to match wages bearing in mind they calculate how much to pay from earnings?

jjj1980

It’s always been the policy that income must have changed by more than 25%, whether that be an increase or a decrease, before a recalculation will be made.  That way it allows for people on variable incomes to not have to constantly make adjustments and also allows for bonuses, overtime etc.

deant74

They are not reducing the change of income to 20% (in line with furlough) for one simple reason. They know full well, that people will fall short on payments, then they will move to pay & collect and hit you with a 20% fee. Watch how ,any people they [push to the wall during this period. They are absolute scumbags.

RC0nn3ll

The CMS are an utter disgrace. I like many other men have fallen foul of this 25% rule, I am now earning 25% less than my initial calculation last year, due to global slowdown and coronavirus. I have lost 23% shift allowance and all over time that was on my initial calculation. Applied for a recalculation and last night received and email saying my payments will remain the same. People that were struggling before coronavirus and those who have been furloughed now earning 20% less will be pushed near breaking point, I am sick to the back teeth of the CMS, no one in their right mind can surely expect 25% to be a reasonable amount. I've lost over £1200 a month in income and still cannot get a recalculation, still having to pay £520 month whilst earning almost a third less. The CMS will be responsible for a lot of people being pushed to the edge. 

hudders

Another one that's lost over £1000 a month with shift pay gone and a wage reduction.
25% is ridiculous especially in the present climate.

WYSPECIAL

jjj1980 said:

It’s always been the policy that income must have changed by more than 25%, whether that be an increase or a decrease, before a recalculation will be made.  That way it allows for people on variable incomes to not have to constantly make adjustments and also allows for bonuses, overtime etc.

Also stopped having numerous re-assessments because paying parent would stop overtime and increase pension contributions for a couple of months to get a lower assessment then changing back as soon as they had got it. PWC would then report a change of circumstances which would have to be followed up and lead to a higher assessment. Then the cycle would be repeated leading to loads of reassessments.