[Solved] Thinking Of Starting Own Business

a relative of mine whilst he was working for himself did not make any profit. he did not have to pay anything during the time he was self employed

The CSA will take your net weekly income from the business, or if they can't, then they'll use the gross income of the business as a starting point. Basically, if you play fair, you shouldn't have a problem.

If you do try to keep your income down artificially to avoid or minimise child maintenance, then your ex could go for a variation either on diversion of income or lifestyle inconsistent with income.

Hi Jasey78

Thank you for your post. I’m William the Child Maintenance Options consultant. For me to provide you with the correct information for your circumstances, can you please tell me how many children you have?

Thanks
William

Hi William

I have 1 child nearly 10 years

Thanks.

Hi Jasey78

Thank you for your reply. You have not mentioned what type of maintenance arrangement you have in place. If you and your child’s mum have a family-based arrangement in place, there are no strict rules or formulas that you have to stick to when working out a payment figure. It is between you and your child’s mum to decide how payments are calculated. Collaborating together to keep your family-based arrangement is better for your child.

Family-based arrangements are not legally binding, however, they and quick and easy to change if either you or your child’s mum has a change in circumstances.

Under the Child Support Agency (CSA) rules if the paying parent is self-employed, they usually work out the average weekly earnings for the most recent tax year. If they cannot do this because the paying parent has only recently started self-employed work, they use details of the gross income of the business, this means all the money it has earned. To work out the paying parent’s earnings, they take away from the gross income of the business:

• Any reasonable expenses paid to run the business (not including capital spending or business entertainment expenses), and
• VAT (value added tax).

Further information can be found in the CSA’s How is child maintenance worked out leaflet, this can be found on their website at http://www.direct.gov.uk/prod_consum_dg/groups/dg_digitalassets/@dg/@en/@benefits/documents/digitalasset/dg_198849.pdf.

If you have a Consent Order in place you will need to speak to the solicitor or court that started the original proceedings, in regards to how they would calculate your maintenance.

Thanks
William