CSA - Child maint.

Hi,

Does anyone know How CSA will calculate the CM, if I become self employed.

I am an employee (PAYE) and looking to start contracting and become self employed, may be for the same company or for another employer.

I have been to the CSA website which says that they will look at my earnings, and if its a new business (which will be the case) they will ‘assume’ Gross Earnings. Will they assume based on my current earnings?

More specifically, if anyone has any knowledge of three options of being self employed, 1) Open my own company, 2) Umbrella Company, 3) Get Tax number and become self employed without opening any company (or business bank account).

At the moment I am paying 20% of my salary but still facing issues and its been months I haven’t seen my kids. I was wondering that if i become self employed and not forced to pay the amount, then I can agree with her that she will get the same amount from me provided she let me see the kids regularly.

Between both of us, she has always said that she does not want children to be away from me as I clearly love them very much and they are attached with me too, but she does not act or say the same when it involves court or council!!

Thank you in advance for sharing your thoughts and advising on this matter.

Firstly, CM and contact are not linked, so one should not depend on the other. You have to pay CM regardless of whether you see your children or not - and likewise, contact shouldn't be withheld if CM isnt paid.

To work out your earnings from a new company, they will subtract any reasonable expenses paid to run the business (not
including capital spending or business entertainment expenses), and VAT. They will then calculate your net weekly income in the usual way.

Im not sure if you are seeking to become self-employed with a view to pay less CM, or to force your ex's hand in the contact issue

Thank you for your reply.

Why are you not sure?

I sometimes wonder that why people think that a father will try to pay less for their children?

Both my children have full rights on the money I earn and I am always happy to keep on doing my best, as MOST of the fathers do. I just ALSO want to remain in continuous contact with my daughters as mere financial contribution is not enough for them rather they need my time and my love too. I adore my children, something my ex always admire too, apart from when she is in the court!!

It seems obvious that I wont be able to explain to you how I feel and what goes inside me due to the fact that I haven’t seen my kids for months although they live stone throw, they are the ones i adore the most. In the interest of my kids, i even withdrew my divorce and i never stopped paying for the mortgage or the child maintenance since April 2009, although there are no court orders.... I haven’t been able to celebrate their birthdays with them, however i arranged a party without them and send them gifts..... something any father would do.

I work very hard and bear all the challenges at work but even then i cant even afford my own living let alone any luxury or holidays. I am on medicines and my health & financial situation is going further and further into red and sometimes I ask myself that why am i working? The only convincing answer is that it is important for myself and my family for our self-esteem rather than going on benefits.

I am only trying to seek a route which allows regular contact with the children, without any hick-ups and the only think which motivates my ex is money, unfortunately. Current situation is just worst and i think atleast changing to self employment might help, and might not..... but I am sure that i cant live with the current status and current outgoings for long, and it must change before collapsing completely.

It will be nice to hear from someone who unfortunately experienced the same issue.
Changing to being self employed MIGHT ALSO help my cash flow, without compromising on the child maintenance.

I am not aware which route would be the best to move from employment to become self employed as to the best of my knowledge there are three possible options. 1) Open a company and start consultancy. 2) work under an umbrella company. 3) Become self employed without opening any company.

Does anyone know about these options and that how they differ?

Any suggestions would be hugely appreciated.

Thanks in advance.

I don't see how the CSA can possible know how much to deduct for reasonable expenses before you complete a year.
They will know how much you accountancy fees will be, how much you will need to spend on training or IT.
Is the contract on your doorstep or are you commuting half way across the country. Will you have to stay away.
Will the work be contiunuous or will you have to fund periods between assignments.
If the CSA can answer that then they are in the wrong business.

Hi Dreams,

1. I would speak to someone at your local Business Link for advice on which route to take for starting your own business:

www.businesslink.gov.uk/bdotg/action/hom...73858781&r.lc=en

They are very supportive and can aid you in the first year. Often there are start-up grants available and they will point you in the right direction for obtaining these. Funding is often available for advertising and marketing. You will have to prove where and how the money has been spent so keep ALL receipts. Also keep proof of business/earnings secured as a direct result of grants provided.

2. For a free guide to Contracting visit this site:

www.brookson.co.uk/guidance/Your-Choices...L_iaUCFWL92AodvyUBPA

3. For how the CSA work out your payments as a self-employed person visit this site:

www.csa.gov.uk/en/setup/self-employment.asp

Best Wishes,

S

yes I have been in the same boat and continue to be. The money is the only thing that I can and have used to see my kids.

If you are going contracting CSA will take your earnings and dividends into account. There is a way around this. Though I would always advise to pay what the CSA say they needs. However I do not believe that the CSA should tell you to pay over £1000 a month to supports the kids.

If this is the recommended amount then why does the government not pay this.

They also never take into account the money you have to pay to give your children a home at your house. It does not matter that they are there 1 - 3 days a week the resources needed to make them feel secure etc are the same.

CSA is not fair. I will welcome the day that they link the money to access. There will always be cases where it shouldnt happen but the majority of us want to see our children. The ex (man or woman) reduces this because the more we have them the less money they get.

Do they think that the little money saved from them being with the other parent is as much as it costs to have the children. Grrrr

Facebooked

Thank you all for valuable advise and information.

Does it mean that if i become self employed then CSA wont take any money for roughly a year? What about the money I will be paying to my children until CSA do not complete their assessment?

CSA might or might not be able to answer these questions but irrespective if this I guess they are in the right business but wrong way. A father is never reluctant to pay for their children’s need but he also needs to be able to survive otherwise the consequences will affect all concerned parties, in case father got severely ill or lose job due to bad performance or becomes bankrupt.....
For example, atleast they should consider the mortgage payment as maintenance.... but they don’t. They should look at the need of all the parties and then also ensure that the money provided for the children is actually spent on the children and not on their mother or their mother’s family!!!

I am more than happy to pay for my children but its not fair to know that the money i provide for my children is used by their mother in helping her parents or in having parties or on holidays!!! Is there a checking or monitoring system? Not that I am aware of any!! Fathers only ask for fairness. Adding insult to the injury, I cant even see my kids......

I agree with ‘facebooked’. If a child need say £1000 a month then why the government does not pay this much and why one father has been asked to pay pay £20 a month and other £1,000............... those who work hard always get the worst hit, and thoe who sit on their backside enjoys and laughs all the way.... It does not surprise me to know that unemployment has now hit record 1.5m............

CSA deducts Reasonable expenses, does anyone know what they classify as Reasoanable expenses?

Regards