Welcome to the forum staigster.

Have you confirmed with your trustee whether they have taken tax into account? This is something they certainly should do. I'd query with them whether they have if you think that a mistake has been made.

Trust deed payments are based upon affordability rather than the initial estimates. So, if your salary has increased, it's perfectly normal and reasonable for some increase in the monthly trust deed payment to be required.

Affordability also depends upon expenditure being factored in also - and tax liabilities are an essential part of that.

i am not sure that they have as my avg monthly tax is between £200 - £300 per month which would take my disposable income from £1396 which is my monthly gross and which they have listed as my income, which is why i believe they have not factored in my tax liabilities to Approx £1200 with my tax factored in, which it has been for the last 3 years

Tax and NI should definitely be deducted as it does have to be paid. Maybe it is just an oversight on the part of your Trustee, I'd get in touch with them to challenge their interpretation.

OK - mistakes can and do happen staigster.

If you think something significant and important has been left out of the calculation I'd suggest that you get in touch with them to point this out.

what are my options for recourse if they are insistent that they are correct , though i know that they are incorrect

You could submit a complaint to them staigster. This would mean that your case and these circumstances would be reviewed by a senior person with the autonomy to put things right.

Hopefully that will not be necessary though.

Hi staigster,

Is hopefully sounds like someone has made a calculation error when looking at your income and expenditure and payslips.

They should be able to tell very quickly from your payslips what your net income is and this is what your payment should be based upon. This calculation should be based on an average of at least 3 recent months payslips.

Give them a call and speak with them about it to understand how they have arrived at the figure they have. If you are not having any luck with the person you speak with you could always ask to speak with someone more senior. Failing that, as TDA has advised a complaint in writing could be considered.

Let us know how you get on once you speak with them about it.

I spoke to the insolvency officer and voiced my concerns. she will send me details of how she worked out her calculations. i have been informed that Overtime pay has been taken into account. i was unaware that this would have an effect on my contributions so have put myself on an overtime ban with immediate effect.

When i signed up for my trust deed i was not given this information and only found out with some research on the internet. I have got my payments down to £240.00 with the hope off getting it down further. Having spoken to the insolvency officer, i am to send another 3 wage slips with no overtime or as little overtime and have managed to do that, well with the exception of 4.5 hours.

I remain forever hopeful. can i also thank you very much for your advice, i found it to be very helpful

John

No problem John. I'm afraid overtime certainly does have an impact on the contributions you pay, as you now know. Whether you choose to now stop working overtime as it isn't worth your while is entirely up to you.

Hi staigster,

As Kevin has advised any overtime earned or bonus received does for part of your Trust Deed and can be ingathered for the benefit of your creditors.

Back when you entered your Trust Deed your Trustees approach to dealing with overtime might have been different. In April 2015 new legislation was brought in that made it clear that all of an individual's surplus income should be taken as the monthly payment. Prior to this Trustees used to find a balance when it came to overtime as if we took away the full overtime the client wouldn't do it and in turn the creditors wouldn't receive any additional funds.

Now as I have said all of a client's surplus income needs to me taken as the payment so if you do overtime you could stand to lose all of this. I can see why people would therefore not want to do overtime if it had no financial benefit to them.

Hopefully your final 11.9 payments pass quickly for you and you receive your discharge.