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Child maintenance and informal overtime
Comments
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Do you have annual reviews of the amount? Surely if you have low overtime one year then the following year's CB estimate will be lower, even if you then have higher overtime, so after the first year, it all comes out in the wash. For example:
Year 1 - high overtime
Year 2 - low overtime; high CB (based on year 1)
Year 3 - low overtime; low CB (based on year 2)
Year 4 - high overtime; low CB (based on year 3)
Year 5 - low overtime; high CB (based on year 4)
Year 6 - high overtime; low CB (based on year 5)
Year 7 - high overtime; high CB (based on year 6)
Year 8.......
So you're overpaying in years 2 and 5 but underpaying in years 4 and 6. So if you can save the underpayment in the low CB years, that should cushion the high CB years.0 -
If I work 50 hours overtime in year one, they're going to assume I will work 50 hours overtime in year two and bill me accordingly but that means if I work no overtime in year two I'm significantly worse off because CMS will charge me as if I did do overtime. It's almost not worth doing overtime because unless I work 50 hours in year two onwards I'll be financially worse off0
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MrMCalavera1 said:If I work 50 hours overtime in year one, they're going to assume I will work 50 hours overtime in year two and bill me accordingly but that means if I work no overtime in year two I'm significantly worse off because CMS will charge me as if I did do overtime. It's almost not worth doing overtime because unless I work 50 hours in year two onwards I'll be financially worse off
There are extra things that need to be reported about the paying parent. Either parent can tell the Child Maintenance Service if the paying parent:
- misses a payment when using Direct Pay
- makes any voluntary payments on top of existing payments
- has an income change of 25% or more, or no longer has an income
- is spending more or less money in order to see the child, for example on transport costs
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its reviewed annually on your P60 so there is no escaping it but you will only pay for the hours worked even though its a year in arrears.sheramber said:MrMCalavera1 said:If I work 50 hours overtime in year one, they're going to assume I will work 50 hours overtime in year two and bill me accordingly but that means if I work no overtime in year two I'm significantly worse off because CMS will charge me as if I did do overtime. It's almost not worth doing overtime because unless I work 50 hours in year two onwards I'll be financially worse offThere are extra things that need to be reported about the paying parent. Either parent can tell the Child Maintenance Service if the paying parent:
- misses a payment when using Direct Pay
- makes any voluntary payments on top of existing payments
- has an income change of 25% or more, or no longer has an income
- is spending more or less money in order to see the child, for example on transport costs
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13 x 390W South spit over two flat roof areas at 5 to 20 degrees inclination.
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I'm in a very similar situation, I did a fair bit of un-planned/non guaranteed overtime last tax year, and CMS think that because I earned X last year that's exactly what I will earn this year, which of course isn't true. the 25% rule is absolutely shambolic, I can be earning 24.9% less or on the flip side earn 24.9% more( I'm assuming) and they wont look at it. It really needs to change because 25% is a massive amount, looking through some of the other posts and forum threads, a lot of people feel the same, they don't want to earn more money as if you work Overtime that's indirectly benefitting your ex partner, and I'm not trying to get out of paying whatsoever, I want it to be fair, it should be based on your basic salary, not extra un planned overtime.0
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