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How is a quarterly bonus dealt with?

HRabbit
Posted by
Elite Member

19 Apr 15 #460013 by HRabbit

Topic started by HRabbit

Have been on the CMS site but do not see this covered. Despite me paying well over my expectations for the last 12 months (I believe) my stbx has lately resorted to threatening to go to the CMS as a result of some issues she does not like. I am trying to estimate how much that would be and if there are any other impacts on me for going through this official route. I had been told that 20% of net pay was the rule of thumb but it seems to have moved to a gross calculation.

My circumstances are a basic salary and a quarterly bonus, but it is profits based and can be higher, lower or not at all. If CMS work this out based on my last years annual pay i would be underwater for 2 months of each quarter so how do they cater for this, if at all?

Can anyone advise what I would be likely to pay? I have 2 qualifying children and have one child on average 1 to 2 nights per week and the eldest less than once per week.

As ever, all help appreciated.

Thanks

WYSPECIAL
Moderator

19 Apr 15 #460014 by WYSPECIAL

Reply from WYSPECIAL

CMS go off your P60 or get information from HMRC so if you paid tax on it then it will be included in the assessment.

If you want to PM me some figures I can calculate it for you.

HRabbit
Posted by
Elite Member

19 Apr 15 #460016 by HRabbit

Reply from HRabbit

Thank you. What figures do you need beyond the ones given please?

WYSPECIAL
Moderator

19 Apr 15 #460022 by WYSPECIAL

Reply from WYSPECIAL

Gross taxable income for year, number of children, number of nights you have them.

Pretty much what you have posted if you are happy to have it on a public forum but if you PM me accurate figures I can be more precise.

Back of a beer mat calculation from info you have given would be £166.88 per week

Child Maintenance Options
Moderator

20 Apr 15 #460054 by Child Maintenance Options

Reply from Child Maintenance Options

Hello HRabbit

The child maintenance Service uses the amount of gross income given to HM Revenue and Customs (HMRC) by a paying parent, their employer or their accountant to work out the average amount of earnings, or, where the paying parent is self-employed, their taxable profits. For every case, the gross income figure will be reviewed each year in order to take account of newer income information given to HMRC.

If during the year earnings from employment change temporarily from week to week due to overtime or bonuses, this usually would not make a difference to the amount a paying parent must pay in the 2012 scheme. But if there is a more permanent change to current income and this differs from this by 25% or more from the income figure previously used then the paying parent can apply to have a temporary new calculation put in place. They will need to provide evidence for this but, if successful, the new calculation will usually apply at least up until the next Annual Review. I have included a link on how the Child Maintenance Service calculates child maintenance that you may find helpful, www.gov.uk/how-child-maintenance-is-work...ut-child-maintenance

For more information on the different ways to set up child maintenance and for a more personalised service, you can visit the Child Maintenance Options website at www.cmoptions.org

The DWP have a sorting out separation web-app that you may find useful. It offers help and support to separating and separated families. The link is: www.wikivorce.com/divorce/Sorting-Out-Separation.html

Regards

William

HRabbit
Posted by
Elite Member

20 Apr 15 #460063 by HRabbit

Reply from HRabbit

Hello WYSPECIAL, just to let you know I have sent you a PM, or at least I think I have, quite new to this and it did not fill in the recipient for me so just typed WYSPECIAL. Sure you have lots on so not pushing for an answer rather in case you haven''t received mine. Thanks

HRabbit
Posted by
Elite Member

22 Apr 15 #460185 by HRabbit

Reply from HRabbit

I ran this via the CMS online calculator and scared myself with a figure around double your estimated amount. I am hoping very much this is wrong as it would leave me penniless for 2 months of the quarter before the bonus (which is not guaranteed) is paid on the third month.

Hoping you can clarify for me.

Moderators: wikivorce team, rubytuesday, dukey, hadenoughnow, Tets, Forseti, Mitchum, WhiteRose, Lostboy67, WYSPECIAL, Bubblegum11

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