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Hi,
First post here and hoping for some advice.
I pay my ex for 1 child and have always paid on time and based on the CMS calcs. I currently pay just shy of £600 a month based on their salary from the HMRC of £65k (after pension deductions).
As a train driver we’ve just received 3 years of back pay after the strikes etc. So I had an extra £15,000 in my last pay. This is before tax.
This will take my income after pension but before tax and NI at the end of the tax year up from £65k to around £85k (I’ve had some overtime as well). An increase of about 30%.
Without the back pay my salary next year will have increased by about 7% so no requirement to tell them
My yearly review is April/May time.
Im stuck whether I should tell them now about the back pay or wait until the review. If I tell them now as it’s over 25% they’ll recalculate but not sure on what figures. When it drops by over 25% from every month after could I ask them after 3 months to recalculate?
Im already giving my kids (one over 18 so no CMS) a lump sum from my back pay but sadly my ex will want every penny she can get.
Thanks in advance.
hi,
as this back pay has pushed your income over the 25% level, it would be wise to report it asap. if you don't and they find out, they can backdate the payments all the way to the date you received the back pay, and you could be worse off with much higher monthly payments.
I recommend you join this support group for paying parents:
https://www.facebook.com/groups/239699060076601/?ref=share