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What are we each entitled to in our divorce settlement?

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Advice on redundancy and CM payments

  • Emma8485
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10 Jul 12 #342260 by Emma8485
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Hi wonder if someone could advise.

We got dealt a blow last week as my partner has been notified he is being made redundant in early September. He has contacted his ex about the CM payments as he wanted to give her the maximum amount of time possible. He has said that he would do the following:

currently pays £210 per month via the CSA - this includes a reduction for his overnight stays.

If he gets another job (which we are hoping he will) then he will have a re calculation done only if he takes a pay cut of more than £3k per year, otherwise he will pay at the same rate. This would give her the same money which is a little bit more than the CSA rate.

If he doesnt get another job straight away, he will use some of his redundancy and will still pay her the same amount for three months, then half the amount for 3 months, and then if he is still out of work after 6 months then he will pay what he can afford on top of the CSA minimum.

He thought that was fairer to her and to their daughter.

He also told her he wants to put some of the redundancy money away for their daughter with the two of them as joint trustees - only a couple of thousand, but enough for a little nest egg when she is older. His redundancy lump payment amount is £10k.

However she has told him that she has taken advice from the CSA this morning and theyve said he has to maintain the payments for as long as he has his redundancy money in the bank, but also will have to give her a lump sum of it as well.

He wasnt trying to do her out of any money or anything - just wanted to warn her of the worst case scenario, hes going to call the CSA when he gets home, but is now worried if he doesnt get another job immediately, then £10k wont go far with his living expenses, travel costs to see his child which he pays 100% of, plus a lump sum to her and continued payments of £210 per month.

Does anyone know much about redundancy payments and CM ?
thanks

  • maisymoos
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10 Jul 12 #342268 by maisymoos
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I am pretty sure redundancy payments don''t count as income for CSA purposes. It sounds like he is being reasonable on continuing CM payments. Do give the CSA a call to check, obviously he needs to continue to pay until redundancy takes effect.

  • Fiona
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10 Jul 12 #342280 by Fiona
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Statutory redundancy isn''t considered income for CSA purposes but contractual redundancy pay is.

  • Emma8485
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10 Jul 12 #342284 by Emma8485
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Hi Fiona, would you be able to tell me the difference? He gets 2 weeks pay for every year he has been there so I dont know which that is?

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10 Jul 12 #342285 by maisymoos
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  • Emma8485
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17 Jul 12 #343806 by Emma8485
Reply from Emma8485
Thanks for this, it was really useful and he called the CSA as well for some advice. He has to wait until he gets his formal letters but they said its unlikley he will have to pay her a lump sum.

He then got a letter from her solicitor - funny how they are alway quick when its for her benefit saying that they hoped that he recognised his daughters needs dont change purely because he wont be employed, and that they believed having looked at my position that we as a couple could afford to maintain the CM payments, that they expect him to do this or they will raise it at the next hearing as him trying to undermine their client.

I think thats a bit unfair especialyl as he is offering to pay more than he has to legally in order to make sure his daughter is ok - at the end of the day he wont be working and the amount of redundancy he will get wont last forever!

Dont get me wrong, I would help out and in fact I have kitted out her room in our house, plus bought her clothes, toiletries, some toys so she has her own things here, but I dont think its fair to say if I dont continue then they will raise it as part of the residency case?

  • zonked
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17 Jul 12 #343882 by zonked
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Hi Emma

In your ptr''s shoes I would write to the solicitor stating that sadly I had been made reduntant, the csa had been informed and would assess the change of circumstances. I would add that they were free to raise this or any other issue they felt relevant at future hearings. At the end of day, the solicitor is blowing hot air.

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