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Clare
Clare, Family Solicitor
Category: Family Law
Satisfied Customers: 33283
Experience:  I have been a solicitor in High Street Practise since 1985 and have specialised in Family Law for the last 10 years
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I am paying csa based on my salary plus my assets were also

Customer Question

I am paying csa based on my salary plus my assets were also taken into account when amount was calculated...other person has now contacted a solicitor to take me to family court looking for me to pay more based on same assets...is it possible that my assets can be used against me twice for basically the same thing?
Submitted: 2 years ago.
Category: Family Law
Expert:  Clare replied 2 years ago.
Hi
Thank you for your question.
My name is Clare
I will do my best to help you but I need some further information first.
Could you explain a little more about your position - how old is the child/children and what assets are involved?
Clare
Customer: replied 2 years ago.

I have 3 children with my wife, ages 17, 14 & 9 but also have another child age 11 resulting from an affair. Up until a few years ago I was seeing the child on a weekly basis when communication lines were open; these have since broken down drastically & I no longer play a part in his life.

The mother of the child applied for CSA, which I have been paying for the most of the child's life. At first the amount was solely based on my income but the mother knew I had assets in the form of properties (none owned outright or solely) & some other investments. She applied for these to be taken into account & was awarded a new amount based on the value of these assets - not the income that these assets could produce.

A few years ago I agreed to pay amount directly to the child's mother as CSA system kept breaking down & payments were not reaching her on time.

Twice she applied to family court seeking a property for herself & her children to live in (she also has another child with someone else who never lived with her - I do not know what financial aid she is getting from the other father) & twice she awarded a settlement that never worked in her favour so she never carried through with them.

The first time she was to seek a mortgage for half the value of the house & I was to pay outright for the other half which would be put in trust in the childs name. She applied to the court again several years later saying she could not gain the mortgage. This time I agreed to buy a house in an area that she could name & which they could live in until the child reached 21 or later if he was still in full time education & then the house would revert back to me. An offer was put in for a house & accepted by the vendor but she refused the house.

This last agreement was over six years ago. She has now applied again to family court again seeking a contribution for suitable accommodation, transport costs, periodical payments for holidays & a lump sum for the child.

Six years ago I would have been in a position to buy a property outright as per agreement but this is no longer the case. Due to the current economic climate my own monetary situation has changed. Several of the properties have negative equity, & some of the investments have collapsed drastically. I do have some capital which I use to live off.

Even though my monetary situation has changed I have never asked CSA to recalculate the amount I am paying so I know I am already paying more than I should.

I am seeking advise as to whether my assets can be taken into account a second time to provide financial assistance when the value of them has already been used to calculate the amount of CSA I pay.

Expert:  Clare replied 2 years ago.
Hi
May I ask what you average annual income is and what is the extent of your capital assets ?
Clare
Customer: replied 2 years ago.

I do not work & any income comes from my investments...my tax return for April 2013 showed an income of £15,000. Capital & other investments have a value of £300,000 approx. I do have some rental properties but some are in negative equity so basically at the moment the bad are cancelling out any good ones.

Expert:  Clare replied 2 years ago.
Hi
What is the CSA assessment actually based on?
Clare
Customer: replied 2 years ago.

CSA is based on the value of the assets...a variation was applied for as my income only allowed for a payment of £5...the assessment was several years ago & I've never looked for a reassessment even though the value has probably decreased since then

Expert:  Clare replied 2 years ago.
Hi
Ah I see
The calculation will have been based on a notional income of 8% per annum from those assets
However it seems that she is making a claim for matters that have previously been dealt with which makes it highly unlikely that this application will be any more successful from her point of view than the two previous ones
In addition you can of course point out that any reduction in your capital will in fact reduce her income.
I hope that this is of assistance - please ask if you need further details
Clare

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