Partners Income and Bankruptcy
Are my partner’s wages taken into account in bankruptcy payment orders
The short answer is yes, but only what they contribute to the household. A lot will also depend on whether your partner is also going bankrupt, as she might have her own expenses. Let’s take, for example, John who is going bankrupt but Janet is not and she earns £1000 per month. Janet might have personal expenses of £600 (loans, car payments, etc) and is therefore only able to contribute £400 to the household and it is this lower figure which is declared. The other point is that although her income is included, the expenses also double up and it’s often the case that there is no surplus income.
Compiling an accurate income and expenditure statement is the single most important part of preparing the bankruptcy paperwork as, if you get it wrong, you could end up contributing in an Income Payments Agreement for the next three years. We know what may claimed when it comes to preparing an income and expenditure, and we’ll gladly talk you through it.
Call us on 01425 600129 or 07479 739139 / 07894 481175 with any further bankruptcy questions or for bankruptcy help.