For Inline + Mrs Inline

[Crasherfromwayback]

There must be KBers with expertise in tax law who can provide advice as to the best way to allow funds to be transfered without tax implications for the recipients. Speak up, Bean Counters!

Yeah Dude....if you want, I'll put you in touch with Phil who I worked with at WMCC for 8 years. He's a good mate and has since moved on to law.
He works for the IRD.....yeah yeah....I know! He's all good though!
PM me if you're interested.

Pete

[Meekey_Mouse]

Best wishes to Inline and familly, I will see what I can do about scroungin some money up.

My dad came really close to Inline's injuries... scary stuff.

Jas

[Blairos]

Once the account is up & running, count me in for a hundy...

[Lissa]

All the best to Mr and Mrs Inline.... hope everything goes ok. I'll diff be happy to help out.

[Sniper]

In regards to donations guys, heres what Donna posted up in the other thread

I will go and see Public Trust on Tuesday and then let you all know about how to make donations. I will get it set up for John with his boy Brett (aged 6) as next-of-kin on it as I can still work and support us.
God bless you all Donna

S

[Macktheknife]

and it can be a long term thing cause it is the future that is important cause right now ACC will do good but once they need a mobility vehicle which he can drive etc tnhen ACC get twitchy and these vehicles cost $120,000 so a Trust may help bridge gaps like this.

Actually thats not entirely correct, almost any vehicle can be modified to accomodate a person with a disability. I have been involved with the process from time to time. Hell I even know a guy who races his modified car!
As far as ACC goes they are required under the legislation to provide certain things for the injured person, knowing what and how makes a big difference to getting things done smoothly.
Donna, let me know when you want help with ACC, I can get you all the info you need to get it done right.
Mack

[Ixion]

AS most are aware, an injured person is entitled to a weekly compensation payment of 80% of pre injury earnings.

What is often overlooked , and ACC will not point it out, is that those earnings can (and should) include any overtime, allowances, payments in lieu etc.

So, Mrs Inline , when putting in the info for ACC, make sure that the relevant earnings include everything.

ACC in my experience (quite a bit) are usually a pack of cunts. Leavened by the occasional ACC bod who is helpful and proactive. The trick is to get a good case manager. The good ones are wonderful, the bad ones are horrible. And demand (politely) what you are entitled to.

Incidentally you can probably claim for travel expenses to visit him, now and in the future. And lots of other stuff. Including household help, payments for lawn mowing, and a lot of help with modifications to house, vehicles etc.

But you do have to ask. And ask again. Until you get what you are entitled to.

[Macktheknife]

AS most are aware, an injured person is entitled to a weekly compensation payment of 80% of pre injury earnings.

What is often overlooked , and ACC will not point it out, is that those earnings can (and should) include any overtime, allowances, payments in lieu etc.
.

Ummmm sorry Ixion, but you are incorrect.
The legislation specifically prevents this from being considered, the calculations can only include the standard working hours of the contract. If your employment contract specifies that you work for 50 hours then that is the calculation figure, if you happen to work overtime to 60 hrs then that is not taken into account, ACC does not have a choice in this, it is fixed in the legislation.

[crashe]

So many things to now consider.

[Sniper]

The other thing that they will also need to look at is ...............

So many things to now consider.

Apologese if I seem rude crashe. But Im sure John and Donna wouldnt like stuff like that being talked about on a public forum.

[Ixion]

Ummmm sorry Ixion, but you are incorrect.
The legislation specifically prevents this from being considered, the calculations can only include the standard working hours of the contract. If your employment contract specifies that you work for 50 hours then that is the calculation figure, if you happen to work overtime to 60 hrs then that is not taken into account, ACC does not have a choice in this, it is fixed in the legislation.

Can you specifiy where? I don't see it in the Act

Note that i'm dealing here with employees. It's more complicated for contractors and self employed but I presume that IL4, as a nurse , is on salary.


From the Act

INJURY PREVENTION, REHABILITATION, AND COMPENSATION ACT 2001
PART 1 - PRELIMINARY PROVISIONS
9. Earnings as an employee: what it means—

9.Earnings as an employee: what it means—
(1)``Earnings as an employee'', in relation to any person and any [tax year], means all source deduction payments of the person for the [tax year].
(2)This section is subject to sections 10 to 13.
Cf 1998 No 114 s 17

Subject to (none of them relevant in this case I think)

11.Earnings as an employee: what it does not include—
(1)``Earnings as an employee'', in relation to any person and any [tax year], does not include—
(a)any income-tested benefit, veteran's pension, New Zealand superannuation, living alone payment, or withholding payment; or
[(aa)any parental leave payments paid under Part 7A of the Parental Leave and Employment Protection Act 1987; or]
(b)any student allowance established in accordance with regulations made under section 303 of the Education Act 1989; or
(c)any amount allocated to a person or persons, other than the person who is the employee in question, under section GD 3 of the [Income Tax Act 2004]; or
(d)any amount deemed to be a dividend paid by any person, to the person who is the employee in question, under section GD 5 of the [Income Tax Act 2004]; or
(e)any redundancy payment; or
(f)any retiring allowance; or
(g)any pension from a superannuation scheme or pension fund not registered under the Superannuation Schemes Act 1989[; or]
[(h)any pension that is paid in the circumstances set out in any of the following provisions:
(i)section DF 4 of the Income Tax Act 1994 or section DC 2 of the Income Tax Act 2004:
(ii)section DF 8A or section DF 8B of the Income Tax Act 1994 or section DC 3 of the Income Tax Act 2004:
(iii)section FF 17 of the Income Tax Act 1994.]

(2)In this section, ``income-tested benefit'', ``veteran's pension'', ``New Zealand superannuation'', ``living alone payment'', and ``withholding payment'' have the same meanings as in section OB 1 of the Income Tax Act 1994.

Cf 1998 No 114 s 19

In short, if you paid PAYE income tax on it, it's entitled to be considered as "earnings" for compensation calculation. This includes overtime payments , most bonuses, commission payments etc. It gets more complicated for self employed and partnerships, but they don't apply (I think) in this case.

Sect 36 defines the calculation as being the "earnings" for a year, or the period of employment,, divided by the number of weeks .

Fair enough really. Part of each dollar you earn is taken for ACC premiums. it would be a bit rich if they took the premium but didn't include it in the compensation. Note that not all allowances will be included - reimbursing allowance payments are not taxed, therefore are not compensatable.

If you're on salary , the simple way is take the total taxable income YTD form your pay sheet and divide by the numbers of weeks YTD. Then take 80% of that (That's simplistic, you lose the frst week for example, but for a long term instance like this it's fairly close)

[Ixion]

BTW, IL4 should also be entitled to a lump sum payment, which may be up to $100000 (for 80% permanent disability and greater) .

[Crasherfromwayback]

BTW, IL4 should also be entitled to a lump sum payment, which may be up to $100000 (for 80% permanent disability and greater) .

I'm with you Ixion.....when I had my accident, they were good enough to calculate my weekly compensation from the complete year before. As I'm on commission, my weekely pay packet fluctuates massively. My yearly earn included ALL bonuses etc. The average time in Job for ACC case managers is six months, so it's bloody hard to get a good one!

Thank God lump sum payouts came back in (2003 I think?)....not that we wouldn't rather be 100% healthy, but they help you to get by.

[hXc]

Well, me being a student, can't afford a lot, but I'll save my pennies and donate some, even if it's only $20. I was shocked to hear this news, I've never reall had much to do with him, but he seems like a bloody great bloke. In my thoughts and prayers mate.

P.S: This is a deep and shocking reminder of the danger of motorcycles. As fun as they are, when your number's up, it's up. Some things just can't be stopped. Just ride safe out there guys.

[Macktheknife]

Ixion, PM sent, dont want to hijack thread.