IPO question

DataMat

I was made bankrupt 1st August 2022. 

As yet no IPO is started but will likely do so when I start work again (likely). 

How exactly does the process work and are you allowed to negotiate on an agreed budget? How exactly would they base a budget? On my past history in terms of spending on bank account or would they allow me to present a budget from scratch based on 'present earning and living situation, going forward'? 

For example - I am a single male, 30. 
I'd spend about £30 a week electric and £40 per week shopping food (including toiletries I'd say)
Clothing I'd think to say I'd want to be allowed £25 per month on clothing. I don't generally buy clothes every month but balanced across the year it would I'd think work out £25 a month. 
I'd put down 'board' as I live in Mums house of which she pays gas, mortgage, water and tv licence as a guide. I'd put down say £200 per month.

I have broadband at £21 per month.
I have phone which is £65 per month. 

I'm basing the above on the idea I'd be on NLW at working 40 hours per week.

Can other who've been through IPO be so kind to share their experiences and how you dealt with it and the OR? I can be very pushed around into agreeing all sorts and want to know what if any rights I have? I have this horrible thought they'll leave me with some very strict budget that barely allows me to maintain my sanity.

Thank you for any responses  

DataMat

Just to clarify , I am asking about an I.P.A - Income Paymeny Agreement

luvchocolate

I found the examiner to be very fair..they work from guidance which is not public knowledge. 
You do not have to agree with it but it can go to court. 
I simply put down what I honestly spend. 
The examiner did change things around a bit but no IPA given 

fatbelly

That's correct. Not many IPOs because most get IPAs with/without a bit of negotiation.

The guidance is here

https://www.gov.uk/guidance/technical-guidance-for-official-receivers/35-income-payment-agreements-and-orders

TinyPomegranate

You might find it useful to post your full income/expenditure so the experts in the forum can help further.

I was discharged a few months ago, and I can say I was never pushed into lowering my expenses or trying to fit into a budget that was unrealistic. I had a few costs that were outside of normal ranges and the OR did query them. But I was given ample time and space to explain why those costs exist, and once I'd given my explanation they were accepted without further question.

I would say - be honest but realistic. Use your current income and expenditure, and make sure you tell them immediately if your income increases as a result of work etc. Don't try to shoehorn your budget into something smaller than it reasonably is, but don't try to hide or add on things you don't usually pay for to give yourself extra money. Your IPA (if you get one) won't allow you to get Deliveroo 5 times a week or go out on the lash every weekend. But it will allow you to live and still have some semblance of a normal life without having to count pennies for 7p noodles or never buy new shoes.

The OR isn't there to judge you or make you feel bad. It's just a process that has to be done.

DataMat

Near bottom of table where it says Total Outgoings, that should say Total Income.

silvercar

You should remove your name from the statement of income before posting on here.

RAS

As a starting point, that OK but you are going to get in a mess quite quickly.

Are you paid by the calendar month or 4-weekly?

If you are paid by the calendar month, then you need to multiply the weekly amount by 4.333333 recurring to get the monthly cost and by 52 to get the annual cost.

If you are paid 4-weekly, you need to multiply the monthly cost by 13, not 12, to get the annual cost.

You should definitely add your portion of the Council Tax, as legally they could come after you for the whole cost if mum failed to pay. I'd also up the presents a bit.

And add in a line for a holiday, perhaps £10 a week? It'll allow you to attend the occasional social event and perhaps get a week's camping, particularly if you bike-camp.

DataMat

silvercar said:

You should remove your name from the statement of income before posting on here.

Hi, thank you and yes I have removed that.

The figures across are: per week , month, year.

DataMat

I am paid weekly.

RAS

See my query above as you've not calculated correctly.