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CMS direct from employer

  • TurboB
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12 Dec 14 #451478 by TurboB
Topic started by TurboB
Hi

Has anyone experienced the CMS going direct to an employer to collect CMS payments?

Do they charge an admin fee like the 20% added if you use their ''collect & send'' service?

Thanks

  • Fiona
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12 Dec 14 #451479 by Fiona
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That''s correct. There is a 20% fee for using the CMS Collect & Pay service whereas there is no fee when payments are made directly.

  • Gillian48
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12 Dec 14 #451483 by Gillian48
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I know the CSA were slightly different but I understand roughly what the CMS rules are. When I was received CSA payments they were made direct from the employer by way of attachment of earnings order but I received the money from CSA. So I presume the CMS would do the same thing collect from the employer then pay you - so as Fiona said they charge 20% fee for using the collect and pay service.
If payments were paid direct to you without using the CMS service there is no charge.

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12 Dec 14 #451494 by Fiona
Reply from Fiona
Just to clarify, with Collect & Pay the paying parent pays a fee of 20% and the recipient pays 4% so it is in both parents'' interests to use Direct Pay.

  • Child Maintenance Options
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16 Dec 14 #451722 by Child Maintenance Options
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Hello TurboB
Using the Collect and Pay service via the child maintenance Service, under the government''s plans the paying parent must pay a 20% fee on top of each child maintenance payment collected by the Child Maintenance Service. The receiving parent is charged a 4% fee each time the Child Maintenance Service passes on a child maintenance payment to them, along with the £20 application fee. Via the Direct Pay option there would only be the application fee.
If you would like further information on the Child Maintenance Service and how they calculate child maintenance, you may wish to visit the following website www.gov.uk/child-maintenance
For 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

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