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  • FIRST POST
    • CRAFTYC
    • By CRAFTYC 15th Jan 19, 9:35 PM
    • 1Posts
    • 0Thanks
    CRAFTYC
    1 million payout, how will it affect CMS payment
    • #1
    • 15th Jan 19, 9:35 PM
    1 million payout, how will it affect CMS payment 15th Jan 19 at 9:35 PM
    Hi.
    First time posting. I left my ex 3 years ago & am almost at the end of our divorce. We have 4 kids who reside with me & spend 2 nights with him a month (their choice). A week after we separated he had an accident & hasn't worked since.
    He receives disability benefit so only pays 30 a month as CMS dictates.
    Just been informed by solicitors he has been offered a million as his settlement for injury.
    My question is will he cease to get benefits because of this large payout & therefore could stop paying child maintenance altogether? Or would it partly be used to calculate future payments as supporting his kids was part of the reason he has been offered such a large amount?
    I havent pursued any money myself in the divorce but was shocked when someone told me if his benefuts stop because of the payout he may be able to pay nothing. Is this right?
    Any help? I understand this is a very unusual case. Thanks.
Page 1
    • Comms69
    • By Comms69 16th Jan 19, 9:46 AM
    • 7,008 Posts
    • 7,447 Thanks
    Comms69
    • #2
    • 16th Jan 19, 9:46 AM
    • #2
    • 16th Jan 19, 9:46 AM
    Hi.
    First time posting. I left my ex 3 years ago & am almost at the end of our divorce. We have 4 kids who reside with me & spend 2 nights with him a month (their choice). A week after we separated he had an accident & hasn't worked since.
    He receives disability benefit so only pays 30 a month as CMS dictates.
    Just been informed by solicitors he has been offered a million as his settlement for injury.
    My question is will he cease to get benefits because of this large payout & therefore could stop paying child maintenance altogether? Or would it partly be used to calculate future payments as supporting his kids was part of the reason he has been offered such a large amount?
    I havent pursued any money myself in the divorce but was shocked when someone told me if his benefuts stop because of the payout he may be able to pay nothing. Is this right?
    Any help? I understand this is a very unusual case. Thanks.
    Originally posted by CRAFTYC
    Lump sums can be used to calculate CMS payments. But if he is disabled - which seems likely - the calculation has to take that into account.


    Obviously if he has no income, he cant pay anything on going.


    Just as an aside, if he is sensible with the money, he would have income from interest and investments, which would count.
    • HoneyNutLoop
    • By HoneyNutLoop 16th Jan 19, 4:49 PM
    • 541 Posts
    • 421 Thanks
    HoneyNutLoop
    • #3
    • 16th Jan 19, 4:49 PM
    • #3
    • 16th Jan 19, 4:49 PM
    An assets variation has now been introduced to the scheme administered by CMS, but compensation for personal injury is specifically excluded from being taken into consideration.

    That means that if his benefit is stopped because of the payment (not all benefits would stop because of it - only means tested ones) then your calculation would reduce to nil.

    In the future, you could apply for an unearned income variation to take account of the internet received on the capital as income for the maintenance calculation, but there would be no point now as it is calculated on complete tax years. You would therefore need to wait until after April, as a minimum before applying for this tax year to be complete.

    In your shoes, I would talk to your solicitor to see if there is any avenue via the courts that is available to you.
    I often use a tablet to post, so sometimes my posts will have random letters inserted, or entirely the wrong word if autocorrect is trying to wind me up. Hopefully you'll still know what I mean.
    • ilovechristmas1
    • By ilovechristmas1 4th Feb 19, 9:00 PM
    • 36 Posts
    • 11 Thanks
    ilovechristmas1
    • #4
    • 4th Feb 19, 9:00 PM
    • #4
    • 4th Feb 19, 9:00 PM
    op that sounds unfair.hope there is a solution
    • jonesMUFCforever
    • By jonesMUFCforever 10th Feb 19, 11:54 PM
    • 25,563 Posts
    • 12,780 Thanks
    jonesMUFCforever
    • #5
    • 10th Feb 19, 11:54 PM
    • #5
    • 10th Feb 19, 11:54 PM
    I would think that the compensation would be put into a trust - IMO making it outside of any claim from CMS or indeed the benefits agency.
    What goes around - comes around
    give lots and you will always receive lots
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