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What are we each entitled to in our divorce settlement?

What does the law say about how to split the house, how to share pensions and other assets, and how much maintenance is payable.

What steps can we take to reach a fair agreement?

The four basic steps to reaching an agreement on divorce finances are: disclosure, getting advice, negotiating and implementing a Consent Order.

What is a Consent Order and why do we need one?

A Consent Order is a legally binding document that finalises a divorcing couple's agreement on property, pensions and other assets.


CSA Gross Income

  • maisymoos
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04 Oct 12 #359298 by maisymoos
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I believe under the new CSA3 rules the CSA will use Gross rather than net income. Does anyone know if this means before any deductions at all? or are pension contributions still deducted?

Is it true they will also be going straight to the tax office for income figures? rather than relying on the NRP?

  • WYSPECIAL
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04 Oct 12 #359303 by WYSPECIAL
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Yes pension contributions allowed in full although apparantely there is a cap of 15% on contributions.

Yes figures straight from HMRC. I expect there will be a lot of sudden interest in salary sacrifice schemes.

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04 Oct 12 #359308 by maisymoos
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Thanks WY

I suppose if there is a suddenly an increase in salary sacrifice schemes one has to kind of assume that some NRP''s may not have been totally frank and honest in salary disclosure under the previous scheme? Getting income info from the Tax Office shouldn''t in theory make any difference to what is paid? Or am I missing something?

So in theory are we likely to see a big rise in Company Cars and a reduction in car allowances?

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04 Oct 12 #359311 by WYSPECIAL
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Company cars are taxable.

I was thinking more along the lines of cycle to work schemes and share investment plans. A lot of pension schemes are also operated as salary sacrifice now as well so in theory someone with a lot of money could pay into their company scheme via a salary sacrifice and then pay 15% (assuming this is the max they allow) into a stakeholder scheme.

Before people start shouting about how could such people do this and watch their children starve I''m not condoning it but where there appears to be a loop hole some people always seem to find it.

  • somuch2know2
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04 Oct 12 #359314 by somuch2know2
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I dont think this is a loophole at all. Many people who have gone through divorce would have seen their pension pots shrink considerably, would have lost the majority share of their house, and had every other asset split or given to their other half- usually because it was deemed for the benefit of the kids.

A lot of people on here will have to pay fixed SM for a long time if not for life, and most (those who were the earners) will feel they now need to look at their finances more carefully to rebuild.

If I am legally ''entitled'' to reduce CM based on the new govt. rules and equations on salary than I will.

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04 Oct 12 #359317 by dukey
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One of the reasons the rules have changed is to stop NRP`s paying high contributions to a pension so they pay less CM.

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04 Oct 12 #359321 by WYSPECIAL
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somuch2know2 wrote:

If I am legally ''entitled'' to reduce CM based on the new govt. rules and equations on salary than I will.


Don''t blame you at all and whether or not it should be described as a loophole it is there to be used by the look of things.

The only reason for my comment about not condoning it is that it is such an emotive subject that some people seem to think that if you don''t pay a minimum of 100% of your earnings to the PWC then you are a disgrace despite the fact that the child is in their twenties and chooses to not contact you from one years end to the next.

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