Notifications
Clear all

new job

7 Posts
4 Users
0 Reactions
1,482 Views
 coco
(@coco)
Active Member
Joined: 13 years ago
Posts: 8
Topic starter  

I may have chance of a new job with a company car and more money. I'm worried this will be of no benefit to me. Will the trustee take all of any new income? Also to complicate matters my wife and I have split and she is looking for maintenance for my son. It a good opportunity to take the new job but I'm scared I will be far worse off as my expenditure is likely to change can anyone offer any advice?


   
Quote
(@gillian)
Reputable Member
Joined: 14 years ago
Posts: 355
 

One way to look at it is that your tax code will change. This will reduce any potential salary increase. I'm not sure what the implication will be, there'll probably be something online somewhere that might give you a rouch idea. To counter that, you'll no longer have road tax, service costs or insurance to pay. Your trustee will weigh all that up. It might be different with you but when I got a bonus, I paid half of it to the trustee and got to keep half. It might be the same with the salary increase. See if you can get a salary figure from the other employer and work out what the take home will be. Once you know that, add up the allowances for servicing, road tax and insurance and put these figures to the trustee. They should be able to tell you what implication this may have on your payments.

As Trust Deed Assistant says, if they were to take everything, there'd be no incentive for anyone to do overtime, work for bonuses or get a better job. Good luck with what you decide.

Nothing left to discharge - everything's done and dusted!


   
ReplyQuote
TDA (Debt Adviser)
(@tda-debt-adviser)
Illustrious Member
Joined: 16 years ago
Posts: 13594
 

Welcome to the trust deed forum coco.

Gillian has answered your question very well.

If your salary increases and you have reduced car-associated costs, but at the same time you're paying more tax and have a commitment to pay maintenance, it will be appropriate for a review of your trust deed to take place.

Your contribution will still be based upon income minus reasonable expenditure (provided that the trust deed remains suitable for you after the changes).

In terms of the question about not getting any benefit from increasing salary I think it's worth taking a long-term view. It's possible that your salary increase might not benefit you today if it exceeds the increase in your expenses (as the trust deed contribution will increase). However, it certainly will benefit you in the long-term when you have put the trust deed behind you.

Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds


   
ReplyQuote
Shona Maxwell
(@shona-maxwell)
Honorable Member
Joined: 14 years ago
Posts: 634
 

Hi Coco

TDA is right, you should look at this long-term. I think a full review sounds neccessary. You have a lot of changes going on, and all the factors have to be taken into account. Although your expenditure has increased, you now have maintenance, and the housing costs to pay from one salary. Any increase in contribution may not be as much as you think.

Shona is not currently posting in the Trust-Deed.co.uk forum.


   
ReplyQuote
 coco
(@coco)
Active Member
Joined: 13 years ago
Posts: 8
Topic starter  

Many Thanks for your advice I should find out this week if I got the job. I am only 3 months in to my deed and it is now protected. I was paying a debt management plan for two year previous ( Bad advice)and never missed a payment but one creditor would not accept my offer of payment so it went bad and I ended up in court with my car being reposessed. This all scares me if im honest as family & freinds have no idea about my money problems.


   
ReplyQuote
 coco
(@coco)
Active Member
Joined: 13 years ago
Posts: 8
Topic starter  

I have agreed my wife could take the car as part of our split also as I really dont want to go down the road of paying lawyer etc it has been amicable so far .Its an old car with not much value will there be issues with this?


   
ReplyQuote
Shona Maxwell
(@shona-maxwell)
Honorable Member
Joined: 14 years ago
Posts: 634
 

Hi coco

Whilst you are in a Trust Deed you cannot dipose of any assets without speaking to your Trustee. I would advise you to contact your Trustee and let them know what is going on in your life, and you reason for wanting to give your car away. Depending on the car's value, the Trustee may not be too concerned, but I think they would want a full review done.

Shona is not currently posting in the Trust-Deed.co.uk forum.


   
ReplyQuote
Share: