FLR - my income - wifes income and savings

[darren1971]

Planning ahead a bit here, never a bad idea.

For my wifes FLR application we will be combining incomes with cash savings. I have read all the guidance but still can not decide if we meet the requirement. Any advice appreciated.

Here is a list of how I would like to meet the requirement.

£10,600 from salaried employment - 6 months evidence

£5,400 from non-salaried - employment more than 6 months (hourly pay which varies every month) - 6 or 12 months required???

The remaining £2,600 requirement covered by stocks and shares ISA, FSA regulated UK broker. (more than £22,500 would cover the £2,600 shortfall). I would have 6 months statements from the broker showing the required amount for 6 months prior to application. The official guidance says "In a personal bank account" - but contradicts itself in other parts saying in a stocks and share account is acceptable???

thank's in advance

[7by7]

On 9/10/2019 at 9:37 PM, darren1971 said:

The remaining £2,600 requirement covered by stocks and shares ISA, FSA regulated UK broker. (more than £22,500 would cover the £2,600 shortfall). I would have 6 months statements from the broker showing the required amount for 6 months prior to application. The official guidance says "In a personal bank account" - but contradicts itself in other parts saying in a stocks and share account is acceptable???

 

From the financial requirement appendix, 7.4. Cash savings – further guidance:

 

Quote

7.4.4. For example, in the UK a ‘stocks and shares’ Individual Savings Account (ISA) does meet the definition of a savings account and the funds can be considered as cash savings if all the requirements above are met. Likewise, a pension savings account from which savings can be immediately withdrawn

 So a stocks and shares ISA is counted as a personal bank account and the amount held therein as cash savings for this purpose; provided the account meets all the requirements listed in the table at 7.4.3..

[7by7]

On 9/10/2019 at 9:37 PM, darren1971 said:

£5,400 from non-salaried - employment more than 6 months (hourly pay which varies every month) - 6 or 12 months required???

 

From 5.1. Category A: With current employer for 6 months or more –  person residing in the UK  

 

Quote

5.1.4. The only difference in Category A between salaried and non-salaried employment is how gross annual salary or employment income is calculated.........

 

Where the person is in non-salaried employment – the level of gross annual employment income relied upon in the application will be the annual equivalent of the person’s average gross monthly income from non-salaried employment in the 6 months prior to the date of application (where that employment was held throughout that period).   
  
To calculate this annualised average for non-salaried employment in Category A the following calculation should be used:

(Total gross income from employment held throughout the 6 month period, divided by 6) multiplied by 12 = Income from non-salaried employment that can be counted towards the financial requirement. 

 So 6 months.

[7by7]

 

On 9/10/2019 at 9:37 PM, darren1971 said:

£10,600 from salaried employment - 6 months evidence

 Is this the annual salary, or what was earned in the 6 months?

 

If the latter, then surely this gives an annual salary of £21,200? Which is enough to meet the requirement on it's own.

[darren1971]

6 hours ago, 7by7 said:

 

 Is this the annual salary, or what was earned in the 6 months?

 

If the latter, then surely this gives an annual salary of £21,200? Which is enough to meet the requirement on it's own.

Annual salary.

 

So I'm on a fixed annual salary of £10,600, my wife works in the same business paid hourly and we have all our savings in a stocks and shares ISA.

 

Based on your replies I think we are ok to combine all 3 with 6 months bank statements from me and my wife and our last 6 months statements for our ISA.

 

 

Thank's for the replies.

[7by7]

2 minutes ago, darren1971 said:

Based on your replies I think we are ok to combine all 3 with 6 months bank statements from me and my wife and our last 6 months statements for our ISA.

 I think so, too.

 

[rasg]

On 9/10/2019 at 9:37 PM, darren1971 said:

The official guidance says "In a personal bank account" - but contradicts itself in other parts saying in a stocks and share account is acceptable???

If Premium bonds and not acceptable, somehow I doubt that a stocks and shares ISA will be.

What documents should you provide?

These are some of the common requirements:

• Bank statements to show that cash is held in a personal bank account in your name or jointly with your partner.
• Bank statements for a period of 6 months if you are relying on general cash savings.
• If savings are a gift you must declare the source.
• Savings must be held in cash and able to be immediately withdrawn if required.
• You are in control of the account.
• Source of income is legal and the money has not been received illegally.
• Money has been declared.
• Letter from your conveyance lawyer detailing source/validity of the savings.

[7by7]

2 minutes ago, rasg said:

If Premium bonds and not acceptable, somehow I doubt that a stocks and shares ISA will be.

 With respect, see my earlier quote from the financial requirement appendix: 

9 hours ago, 7by7 said:

7.4.4. For example, in the UK a ‘stocks and shares’ Individual Savings Account (ISA) does meet the definition of a savings account and the funds can be considered as cash savings if all the requirements above are met. Likewise, a pension savings account from which savings can be immediately withdrawn