Will bankruptcy affect my employment - will bankruptcy affect my job?

Will bankruptcy affect my employment - Bankruptcy will only affect your employment if you are in high profile employment. Such as company director, solicitors, accountants, police officers and civil servants. If you are in normal employment like an office worker, shop assistance or trades person (plumber, electrician, builder) then bankruptcy should not have an affect on your employment. This means that you will be able to carry on working after the bankruptcy has been granted.

What will the affects be on my employment? 

If you are not currently in employment that will be affect by bankruptcy as listed above, there will be no affect in regards to your occupancy. However the income that you earn can be affected by the bankruptcy. If you are a high earner and have disposable income left at the end of the month then this can be taken to repay your creditors. This is classed as an income payment agreement that can be attached to your bankruptcy. 

Income payment agreement (IPA) example:

Your monthly wage = £1500
Cost of your household expenditure = £1200

Disposable income and potential IPA = £300

Will bankruptcy affect my employment - does my employer have to know?

No, your employer does not need to know about your bankruptcy. Unless you have added them as a creditor is you owe them money which you would like to include into the bankruptcy. The only change is your Tax code which will change from whatever it is now to NT which stands for No Tax. The tax that you would normally pay will be distributed between your creditors as a gesture of repayment. 

If you need more information about how will bankruptcy affect my employment then give our bankruptcy experts a call on 08001303007 alternatively click on the banner below and one of our bankruptcy experts will give you a call.

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