Child maintenance avoidance and company director

[yosemite78]

My child’s father was paying over £900 per month child support. He had a well paid job, earning over 2.5k per week! He recently quit this job to set up his own company. He has opened an agricultural retail store, employing 2 people. He has told the CMS he is now earning £160 per week which mean I will only receive £59 per month. He has done this knowing I am currently unemployed after being made redundant last year. He Surely didn’t give up a very well paid job to earn less than minimum wage! Is there anything I can do in the short term? I am aware of asking CMS to look at dividend payments, but I doubt he has paid himself any yet as it is a new business. Any advice would be welcome as I am worried I am not going to be able to provide for our son. Thanks!

People starting a business often take a large pay cut so that the business can get established.

You can apply to the CMS for a variation on the basis that he has unearned income (e.g. dividends) and/or is diverting income (e.g. owning a business making substantial profits but not paying himself a dividend). However, as this is a new business it is possible his income really is that low and that it is not yet making much, in anything, in the way of profits. If that is the case, I'm afraid there is nothing you can do. You can't make him pay money he hasn't got.

@prh47bridge I know him and this is about control, always has been which is why they CMS were involved in the first place. I agree he currently probably doesn’t earn what he was doing but when he can pay over £200 month to a dog sitter and only £59 for his son, something tells me he is priorities are all wrong !

I am a gp carer and my gs's dad went self employed, remaining in the same job. He cannot supply alternative workers, has no equipment and has to be ferried in the company van. He works where he is told to so is not genuinely self employed with his own business. It was an avoidance tactic but yours is different as he actually does have employees.

He got a nil contribution decision when he had been earning £60,000 pa, now insisting he earned £5 ph in the same job.

Given the long history of avoidance tactics - CMS took out a liability order, sent bailiffs, it was with arrears and enforcement etc - I requested Fraud look into it. This was a struggle I will not lie.

I know it was a difficult one for my worker. But I asked him to try and achieve a lump sum settlement. This was because £5,000 was due in arrears even after bailiff collection etc. I said I would settle for a lower figure and Fraud said they were surprised when he emailed agreeing - after 10 days of daily phone calls. The team worker told him he was not happy with his "books" and he needed to submit more paperwork.

It was in my account the same day. Perhaps I took the easy way out but it was better than the stress with CMS and continual changes in the decision process.

You could try this route but it will be dependent upon past compliance. You can go over your case workers head. I found out who was head of CMS and emailed them. This resulted in my matter being passed to Financial Investigation or fraud.

I sense your frustration op. Good luck.