Hello.great forum, really hope the experts can help. Desperate for the definitive answer, so much depnds on it. I'm discharged from bankruptcy but still 18 months into an ipa (from December 2009).I have recently discovered that I will have to retire at the end of March 2012 and will receive a lump sum commutation from my pension well into 5 figures and an income of just over £1000 pm. I have to take the sum as agreed in Matrimonial settlement years ago. Will my lump sum be classed as income and be taken or is it just the monthly pension that will be considered? Any advice or guidance greatly appreciated by my family and I. Regards Les
Unfortunately you will have to declare both your lump sum and monthly pension. A percentage of your lump sum is likely to be taken by the OR and, depending on your disposable income, after your pension is taken into account, some of that may also be lost. If you can put these payments off until December 2012, after your IPA ends, you could save yourself considerable sums of money.
All the best
John Blackadder Bankruptcy365
For help and advice on the easiest and most effective way to a debt free future, please go to www.bankruptcy365.co.uk.
Hello.great forum, really hope the experts can help
Posted - 17 July 2011 : 21:26:11
