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jonnym
Starting Member
19 Posts |
 Posted - 16 April 2009 : 14:53:03
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| Pension Contributions. Hi I have recently been made bankrupt and am currently unemployed. When I start working again I am likely to have the option of contributing some of my salary into a pension scheme. Will the OR/Trustee stop my from doing so and if not what would be an acceptable % contribution. Finally, are they likely to claim some of my pension when it pays out in 20 years time. Thanks. |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 16 April 2009 : 17:51:09
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I'm pretty sure that you will be able to contribute into a pension scheme. Skippy13 who posts on here contributes to one.
Your pension will be perfectly safe when it pays out in 20 years. No one will touch it.
The glimmer gets brighter all the time
Jan
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chester2005
Average Member
United Kingdom
786 Posts |
Posted - 16 April 2009 : 17:53:30
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Firstly welcome to the forum
If whilst you are undischarged your income rises, it is likely that the OR will set up an IPA which will last for 36 months (unless your wages dropped)
As far as i know pension contributions are not accepted as expenses in yout Income and expenditure calculations so you would have to pay it out of your share of the DI.
Any pension you are given in 20 yrs will not be taken by the OR
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurman)
Life's too short!!! |
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jonnym
Starting Member
19 Posts |
Posted - 16 April 2009 : 20:28:04
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Thanks for the response Kallis3. My wife and I feel a lot better now we have started down this road, but still very much dealing with the OR.
Chester2005, I have got a couple of supplementals from your response. Firstly, you mention an IPA being set up if my income rises before I am discharged. By this do you mean within the, hopefully, automatic period of 1 year, or if it rises at any time during the subsequent 3 years? I was under the impression that they were assessing my income over the whole 3 year period for an IPA, not just whilst an undischarged bankrupt.
Secondly, if they are looking at pension contribution, does this mean they are looking at gross income rather than net? I usually work as an IT contractor, which means that I tend to have high expenses. These appear in my gross figures, but net pay is kept relatively low as items such as child care vouchers and pension contribution can be made before tax.
Finally, thanks for the welcome, 1/2 a day as a member and it is already proving invaluable. :-)
quote:
Originally posted by chester2005
Firstly welcome to the forum
If whilst you are undischarged your income rises, it is likely that the OR will set up an IPA which will last for 36 months (unless your wages dropped)
As far as i know pension contributions are not accepted as expenses in yout Income and expenditure calculations so you would have to pay it out of your share of the DI.
Any pension you are given in 20 yrs will not be taken by the OR
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurman)
Life's too short!!!
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 16 April 2009 : 21:15:08
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Hi jonnyn,
Your IPA can go up if your income goes up, similarly, if you experience a loss of pay then it can go down.
This is for the whole three years of the IPA.
The glimmer gets brighter all the time
Jan
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jonnym
Starting Member
19 Posts |
Posted - 16 April 2009 : 21:55:29
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Hi Kallis3, what I am trying to fathom is if I remain unemployed until discharge, can a IPO/A be made once discharged. I have been reading the enterprise act, and it seems to indicate no. It is a little open to interpretation, as it appears that an IPO can not be made against me once discharged, but an IPA could. But as I understand an IPO to be an enforcement tool for an IPA, it would appear that my future earning would be safe. I pasted the relevant section of the Enterprise act below for any further comments. May be worth opening this as a different thread as well. Thanks for all your help, Jonny
Quote:
(3)After subsection (1) insert—
“(1A)An income payments order may be made only on an application instituted—
(a)by the trustee, and
(b)before the discharge of the bankrupt.”
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 16 April 2009 : 22:21:12
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I think that once you have been discharged, if you are not paying anything into an IPA, then you don't have to pay one.
I could, however, be wrong. Hopefully one of the experts will pick up on this.
The glimmer gets brighter all the time
Jan
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Skippy
forum expert
United Kingdom
3290 Posts |
Posted - 17 April 2009 : 08:52:08
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If you have no IPA at the time of discharge you won't get one as this must be in place prior to discharge.
If you have an IPA before you are discharged you must report any changes in circumstances to the OR, and your IPA will be adjusted up or down accordingly.
I was allowed to carry on paying my pension which is deducted at source so it's not taken out of my surplus income.
Tomorrow is a mystery, yesterday is history, today is the present, a gift to make the most of.
View my blog at http://skippy13.blogs.bankruptcyhelp.org.uk/
22 IPA payments made, 14 to go - on the home straight! |
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Pension Contributions.
