CMEC CALCULATIONS

CMEC will calculate maintenance based on Gross Income and not Net Income.   Calculations will be based on the latest information held by HMRC thereby removing the need to rely upon NRPs to supply verification of income by pay slips etc.

The calculation of maintenance will not take into consideration any expenditure of  the NRP such as mortgage, gas, electric etc.  Pension contributions  have been confirmed as an allowable expense and thus will be taken into account, although there are measures now in place  to prevent the NRP from diverting large amounts of income into a pension fund in a bid to reduce maintenance payments.

CALCULATION:

The new rates  applied against Gross income will be :

12% for one child

16% for two children

19% for three or more children

If the NRPs GROSS weekly wage is higher than £800pw, there will be an additional element to pay.

In such cases, the NRP will have the above rates applied to the first £800pw of income, plus the following rates will be applied to any income over and above £800pw

9% for one child

12% for two children

15% for three or more children.

If the NRP has children in the current family, the relevant rates as detailed above will be applied before applying the rates relevant to income levels.

The maximum wage to be included within CS calculation has been raised from £2000pw, to £3000pw.

The Flat Rate amount will be raised from £5pw to £7pw