What counts as Spousal Maintenance payment?

Options
Beki88
Beki88 Posts: 1,356 Forumite
Name Dropper First Anniversary First Post
in Benefits & tax credits
Hi, just wondered if anyone could clarify this situation for me.

Have been separated from Husband for just over two years, currently not divorced.

He pays half towards the following:
Mortgage
Two loans (taken out to improve property)
Buildings insurance
Income insurance
Personal insurance

They all come out of my account which is why he sends me half of the money. The plan is once I am financially able to I will take over the payments for everything, other than the income and personal insurance which we will then take out our own single policies.

This is not a court order, but an agreement between the two of us as he is a higher earner and I had to leave my job when he left.

Would this be counted as spousal maintenance or not?

I am moving on to Universal Credits at some point and I would like to know whether it is likely to be considered spousal maintenance as I understand they take that into account when looking at income.

Many thanks in advance.

Everything will be ok in the end, and if it isn't ok then it isn't the end :)
«1

Comments

  • Comms69
    Comms69 Posts: 14,229 Forumite
    Name Dropper First Anniversary First Post
    Options
    Beki88 wrote: »
    Hi, just wondered if anyone could clarify this situation for me.

    Have been separated from Husband for just over two years, currently not divorced.

    He pays half towards the following:
    Mortgage
    Two loans (taken out to improve property)
    Buildings insurance
    Income insurance
    Personal insurance

    They all come out of my account which is why he sends me half of the money. The plan is once I am financially able to I will take over the payments for everything, other than the income and personal insurance which we will then take out our own single policies.

    This is not a court order, but an agreement between the two of us as he is a higher earner and I had to leave my job when he left.

    Would this be counted as spousal maintenance or not?

    I am moving on to Universal Credits at some point and I would like to know whether it is likely to be considered spousal maintenance as I understand they take that into account when looking at income.

    Many thanks in advance.
    It's complex, but I would say no at this stage. Assuming you are keeping track of the payments as part of any future equity dispute.


    IE you are not claiming to pay the whole mortgage etc on your own
  • Beki88
    Beki88 Posts: 1,356 Forumite
    Name Dropper First Anniversary First Post
    Options
    Comms69 wrote: »
    It's complex, but I would say no at this stage. Assuming you are keeping track of the payments as part of any future equity dispute.


    IE you are not claiming to pay the whole mortgage etc on your own

    Thank you.

    Without going into it all, the % of payments he has made will then be used as the % he will get when the house is sold or remortgaged, as it was a council house, the value will go up considerably compared to what it was valued at when we purchased it. That will mean he obviously gets more back than he has paid in so to speak, so in that respect it isn't income but having seen how complex UC are it wouldn't surprise me if they classed it as income.

    Everything will be ok in the end, and if it isn't ok then it isn't the end :)
  • poppy12345
    poppy12345 Posts: 17,961 Forumite
    First Anniversary First Post Name Dropper
    Options
    Having read this link i disagree that they will disregarded for UC purposes. They are classed as other income and payments will be deducted from UC £1 for £1. Unless i'm reading it wrong, if that's the case then i apologise on advance.
    https://www.cripps.co.uk/family-law/does-spousal-maintenance-affect-universal-credit/
  • Comms69
    Comms69 Posts: 14,229 Forumite
    Name Dropper First Anniversary First Post
    Options
    poppy12345 wrote: »
    Having read this link i disagree that they will disregarded for UC purposes. They are classed as other income and payments will be deducted from UC £1 for £1. Unless i'm reading it wrong, if that's the case then i apologise on advance.
    https://www.cripps.co.uk/family-law/does-spousal-maintenance-affect-universal-credit/



    It depends I think if the OP is claiming the full mortgage as an outgoing.
  • Beki88
    Beki88 Posts: 1,356 Forumite
    Name Dropper First Anniversary First Post
    Options
    poppy12345 wrote: »
    https://www.cripps.co.uk/family-law/does-spousal-maintenance-affect-universal-credit/

    I read that link as well. But the payments I get aren't technically spousal maintenance as it's not court ordered. I can't seem to get clarification anywhere as to whether it is only counted if it is court ordered. Hopefully that makes sense.

    Everything will be ok in the end, and if it isn't ok then it isn't the end :)
  • Beki88
    Beki88 Posts: 1,356 Forumite
    Name Dropper First Anniversary First Post
    Options
    Comms69 wrote: »
    It depends I think if the OP is claiming the full mortgage as an outgoing.

    Haven't had to as yet. I don't think.

    When he left I was getting income support, I gave them proof of the mortgage and other payments and showed exactly what he was paying to me. They said it wasn't a problem or classed as income. Tax credits don't take it into account either.

    Everything will be ok in the end, and if it isn't ok then it isn't the end :)
  • poppy12345
    poppy12345 Posts: 17,961 Forumite
    First Anniversary First Post Name Dropper
    Options
    Beki88 wrote: »
    Haven't had to as yet. I don't think.

    When he left I was getting income support, I gave them proof of the mortgage and other payments and showed exactly what he was paying to me. They said it wasn't a problem or classed as income. Tax credits don't take it into account either.
    Tax credits or legacy benefits such as IS don't class it as Income. UC does. Have you asked your local CAB for advice?
  • Beki88
    Beki88 Posts: 1,356 Forumite
    Name Dropper First Anniversary First Post
    Options
    poppy12345 wrote: »
    Tax credits or legacy benefits such as IS don't class it as Income. UC does. Have you asked your local CAB for advice?
    Can not get an appointment with them, not even a phone appointment.

    Everything will be ok in the end, and if it isn't ok then it isn't the end :)
  • poppy12345
    poppy12345 Posts: 17,961 Forumite
    First Anniversary First Post Name Dropper
    Options
    Beki88 wrote: »
    Can not get an appointment with them, not even a phone appointment.
    That's very often the case because they're always so busy. We do have some members here that work for CAB and some the used to, hopefully they will see this and give their views.
  • WhenIam64
    WhenIam64 Posts: 1,052 Forumite
    Options
    But the payments I get aren't technically spousal maintenance as it's not court ordered.

    It could be construed as a contractual obligation based on "consensus ad idem". Some contracts are court ordered but there is no need for a court if there is an agreement. Is the agreement documented**?

    ** Regular payments into a bank account is also evidence of an agreement even if it is not documented.
    Unlike some here, I am not omniscient. If I am wrong correct me. I won't take offence.

    The law is like an ocean - have a swim but don't drown.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards