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Paying mortgage and some house running costs

(38 Posts)
Teslaedison Mon 06-Jul-15 17:47:35

Hello, I'm am looking for some advice.

My partner is a farmer. He pays £3000 a month on a loan which pays for the land and the farm house. His stbxw and the children still live in the farm house.

The stbxw does not pay anything towards the mortgage. He pays the electricity bill, water, and house/contents insurance. He pays £400 a month plus extras towards his three children,

Stbxw wants £13,200 in maintenance per annum. His approx earnings are £80,000.

Have I missed something? Please help me understand.

fedupbutfine Mon 06-Jul-15 18:54:18

are you looking to understand what kind of claim the ex may financially? In which case, you may find posting in legal or on wikivorce will help you understand what is likely to happen in court should either party decide to take it through court.

I think without better understanding of how money was distributed during the marriage (who worked, how long the marriage was, who contributed what) the children's ages and needs, respective incomes, etc. etc. it is difficult to say what may (or may not) be reasonable. The ex will need to accept, however, that she will need to pay her own bills post-divorce. You will probably need to accept that on an income of £80k, your partner may well have to pay spousal maintenance. Loans are also essential outgoings as long as credit ratings need to be maintained. By all means stop paying, but if the ex's name is on the lone, she will be able to use her ruined credit rating as a means by which to bang him over the head - I know, I did it myself with my ex!

SurlyCue Mon 06-Jul-15 19:00:08

£13,200 is around 16.5% if my math is correct. For 3 children that is low according to CSA guidelines although i believe they may have changed recently. Is his what you are questioning? That he would be paying too little?

mynewpassion Mon 06-Jul-15 19:14:25

That loan is also for land that he uses as part of his farming operations, right? So he would still pay it regardless if the ex and children live there or not, correct? If so, then its part of his business.

maybe 16.5% maitenance is in lieu of him continuing to pay household bills. Seems fair enough.

MsColouring Mon 06-Jul-15 20:57:57

I'm just trying to get my head round him earning 80k as a farmer...

Melonfool Mon 06-Jul-15 21:26:31

Well, and paying £3k towards a loan, take home on £80k is about £4.7k, which I know is loads, but £1.7k isn't loads left really.
Unless the £3k comes from the business and his £80k is after the business has paid its expenses, including the loan.

bloodyteenagers Mon 06-Jul-15 21:33:48

£100 a month for the children on an 80k income is nothing. Should be closer to £800 a month.
Who has the issue with the proposed yearly amount?

MsColouring Mon 06-Jul-15 21:36:15

So 13,200 pa works out about 1.1k per month which would leave him about 600 per month to live on. What legal advice has he had?

SurlyCue Mon 06-Jul-15 21:42:28

So 13,200 pa works out about 1.1k per month which would leave him about 600 per month to live on. What legal advice has he had?

£80,000 divided by 12 is £6,666 per month, take £3000 for loan and £1100 for maintenance leaves £2566 left to live on. Where have you gotten £600?

SurlyCue Mon 06-Jul-15 21:46:42

Oh sorry £6,666 would be before tax, NI etc. ignore me.

antimatter Mon 06-Jul-15 21:47:37

re 89K earnings before or after tax?

Teslaedison Mon 06-Jul-15 21:55:01

Basically he earns approximately £80,000 a year. He pays £36,000 for the mortgage (mind boggling I know) per year. Which leaves £48000 a year.

She wants £13,200 in maintenance. To live in the farm rent free. No ultilites to be paid.

I would just like to know, do people think this is reasonable?

SurlyCue Mon 06-Jul-15 22:02:43

Well it is 16.5% of his pre tax income for 3 children so it is actually what CMO would calculate that he should pay. So yes i think it is reasonable. 48,000- 13,200 leaves him £34k to live on pre tax. For a single man that is decent enough tbh.

SurlyCue Mon 06-Jul-15 22:03:58

He really just needs to sort it through with his solicitor tbh. Whether you or we think it reasonable has zero effect on whether she gets it or not.

bloodyteenagers Mon 06-Jul-15 22:05:46

Why wouldn't it be reasonable?
This is the minimum that he should pay.

What does he think is a reasonable amount? Surely not £100 a month for 3 children

Teslaedison Mon 06-Jul-15 22:14:07

Surlycue, you are correct. I suppose when one sits down and sees £13,200 a big gulp is taken.

She lives in a mahoosive house, pays almost minimal utilities and would like £13,200 a year. I would just like a bit of perspective, that's all.

It's £80,000 before tax.

Teslaedison Mon 06-Jul-15 22:21:34

Bloodyteenagers I have never said it is unreasonable.

I am asking peoples' opinions. That is all. I have never stated my opinion. I am asking people to help me understand.

K888 Mon 06-Jul-15 22:26:38

I don't know enough about this, but it may help with a solicitor to separate the mortgage/maintenance. Do some agreements allow the ex to stay in the house until the children are 18 and then split profit etc? Because then the £3000 would be partly building up his own equity.

bloodyteenagers Mon 06-Jul-15 22:35:28

I don't see what there is to understand.
He had children. He has a life long financial obligation to his children.
A percentage has been set by an agency based on income and it works out roughly the figure she has mentioned.

SurlyCue Mon 06-Jul-15 22:59:59

Well yes £13,200 is a large amount however if you consider that had they remained together he would have been paying for his children proportional to his income. It isnt as if he would be earning the £80k and pocketting it all apart from basic essentials for the children. For most people, as their incomes increase, the lifestyle they provide for their children changes to reflect that. If they were a together couple both she and the children would have (and probably did before the split) benefitted from that income. They shouldnt experience a dramatic change to their lifestyle just because their parents separate- not when that income hasnt changed. Obviously if he has more children later then yes it will reduce which is what happens in together familes too but right now, he is still earning that amount and shouldnt withold it from his children because he no longer loves their mother. Presumably she is a SAHP and enabled him to achieve an income of £80k so....

Melonfool Mon 06-Jul-15 23:12:51

Sorry, if it's £80k before tax he has nothing line £48pa left to live on.

£80k post tax is c£4.7kpm, take off the £3k and he has c£1.7k left pm. Then he pays her maints.

He can't afford to live and support his kids. They need to sell the farm.

SurlyCue Mon 06-Jul-15 23:17:59

Yeah that £36k loan repayment is humungous. That's what's eating up his income, the maintenance is a fair amount based on his income. Its the loan that is disproportionate. Why is it so high?

Raveismyera Mon 06-Jul-15 23:22:50

What don't you understand OP?

Is the £3k a month paid from
The business or from his £80k wage?

Presumably it's so high as it's the rent for the house plus farmland which could obviously be very large

Teslaedison Mon 06-Jul-15 23:46:14

I suppose I have never actually sat down and thought huw much children cost!

I shall think about what others have said.

Quesera21 Tue 07-Jul-15 19:23:16

He pays a £3000 pcm loan on his business and that used to include the farmhouse.

Now he does not live in the house so his cost base has just soared.

He has two options, keep the farm and his job and make his wife and kids homeless or he keeps the farm and give her a percentage of the equity so she can find somewhere she and the DCS can live.

he pays the elec, water and insurance because much of that will be related to his business and hence probably a bigger cost than normal.

As to paying £400 per month for 3DCs - it is quite frankly insulting on £80K per annum.

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