# New Annex FM Section FM 1.7 from April 2013



## Joppa (Sep 7, 2009)

UKBA has now incorporated the changes introduced this month in Appendix FM:
http://www.ukba.homeoffice.gov.uk/s...DIs/chp8-annex/section-FM-1.7.pdf?view=Binary
It clarifies several items which we have already been discussing on the forum.

1. Salary and wages paid in cash. While they are now acceptable, the only amount you can put towards the financial requirement is the net amount you have actually transferred to your bank account if you don't pay in the lot. So supposing you are paid cash-in-hand £100 a week (gross) and £80 net. Of the £80, you put £60 into your bank account and keep £20 in cash to pay for groceries. You can only count £60 of your cash pay towards the financial requirement. So the moral is put your entire cash pay into your bank account first, and then withdraw money as necessary to pay for things. Then the whole of £100 will be taken into account.

"5.5.3. The gross amount of any cash income may be used in meeting the financial requirement, where the correct tax has been paid on that income and where all the relevant evidential requirements in Appendix FM-SE are met. So, for example, where a person's wage slips show their gross cash income and the tax paid, and their specified bank statements show all of that post-tax income, they can count the gross amount of the cash income shown on the wage slips towards the financial requirement. But, where that person's specified bank statements only show a proportion of that post-tax income, only the amount shown on the bank statements can be counted towards the financial requirement."

2. Under Category A, it's the gross amount of the lowest pay in the last 6 months that is taken into account to calculate the annual income. The rule says: "gross annual salary which equals or exceeds the level relied upon in the application", which amounts to the same thing. If in addition or alternatively, you are paid hourly or according to the amount of work you do (they call it non-salaried employment), they calculate by taking the annualised average during the 6 months. So you add up all your 6-month wages, divide by 6 and multiply by 12, or just double your 6-month total. 

3. Cash savings you rely upon can have been transferred from your investment, such as shares, bonds and trust funds within the last 6 months. So you no longer have to sell (liquidate) your investment first and deposit the proceeds as cash and keep it there for 6 months. You can sell it at any time in the 6 months prior to your application, provided you held the investment at the start of the 6-month period. The only stipulation is that the value of the investment at the start was at least as much as the amount you rely on. So even if the value of your investment doubled in the last 6 months, the amount you can rely on is the value it had at the start of the period.

I haven't looked at closely the self-employment rules, and there may be others I have overlooked, but these seem to be the main changes.


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## Leanna (Oct 22, 2012)

Thank you Joppa that is really helpful.


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## NabilAffan (Jan 15, 2013)

Leanna said:


> Thank you Joppa that is really helpful.


Thanks a lot Joppa, you are very helpful.

According to in the HC1039, before the new rules came to effect:

_To clarify that those working in the UK at the date of application can include earnings from employment in the UK and overseas, where they are required to show the amount of their earnings from employment in the 12 months prior to application.
_

and in the new Rules, under 5.5. Salaried and non-salaried employment – general requirements:

_5.5.4. Where the applicant’s partner (and/or the applicant if they are in the UK with permission to work) is in salaried or non-salaried employment, this may include work overseas, subject to the couple meeting the requirement that they intend to live together permanently in the UK._

This seems to me like, my wife can include Overseas payslips. She worked from Apr 2012 to Aug 2012 in Dubai then Sep 2012 up to now in UK. By including both she will have full 12 months payslips and more total received pay.

Is what I understood is right?


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## suraj4utd (Mar 22, 2013)

Thanks for clarifying....but I've got a question regarding my 2nd job which is cash in hand....i get paid rpughly around 48 pounds after tax (weekly) and I started this job back in november ...since I'm working full time in my other job i never got the chance to deposit this small cash...i did however deposit £300 cash into my account ( the amount i saved over couple of months period from the cashi get paid from this job) ....would i be able to count this in?


From my fulltime job I'm on 18100 pa just 500 short of the limit and i thought this part time would cover it all...I'm thinking of applying under category B in the first week of june....

Can you advise please.... Obviously going forwards I'm planning to deposit every week and might start doing extra hours as I've still got 8 weeks left before we submit the application.


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## tosi1 (Oct 7, 2012)

Joppa thanks for posting this info: As you maybe remember from my previous threads my wife applied for spouse visa and was refused because we didn't submit the (SU) form. My question is... she applied again on the 28 march with the missing docs, but I am just worried now. I get paid in cash and I sometimes didn't pay the full net amount into my bank account, I did include a explanation letter for this... I just want to know if her application will be considered under those rules or the rules before 4/April? And we applied under cat (A)
Thanks.


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## Inaya (Oct 12, 2012)

i work two jobs one full time during the week and one at the weekend. if i show my p60 from both jobs would be that enough? because from the second job i dont deposit in the bank as i need to pay my childs nursery fees at the beginning of the month. therefore i dont deposit my cash payment into the bank. Does this rule mean that a p60 does not count either now?


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## Joppa (Sep 7, 2009)

Inaya said:


> i work two jobs one full time during the week and one at the weekend. if i show my p60 from both jobs would be that enough? because from the second job i dont deposit in the bank as i need to pay my childs nursery fees at the beginning of the month. therefore i dont deposit my cash payment into the bank. Does this rule mean that a p60 does not count either now?


P60 alone was never enough. In the past, you had to deposit the whole cash amount into your bank account for it to count, now only the net amount you deposit will be taken into consideration. As you don't deposit anything, none of your cash income will count. So I suggest you start depositing the whole amount first (and withdraw whatever you need), and once your total actual income from two jobs comes to £18,600, you can apply.


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## Altair (Mar 21, 2013)

For category A does income from overtime count towards the requirment? I am just short by few pounds.


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## Joppa (Sep 7, 2009)

Overtime has always counted. You still need to meet the minimum £1550 every month for 6 months (including overtime where necessary).


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## NabilAffan (Jan 15, 2013)

Joppa said:


> P60 alone was never enough. In the past, you had to deposit the whole cash amount into your bank account for it to count, now only the net amount you deposit will be taken into consideration. As you don't deposit anything, none of your cash income will count. So I suggest you start depositing the whole amount first (and withdraw whatever you need), and once your total actual income from two jobs comes to £18,600, you can apply.



According to in the HC1039, before the new rules came to effect:

To clarify that those working in the UK at the date of application can include earnings from employment in the UK and overseas, where they are required to show the amount of their earnings from employment in the 12 months prior to application.


and in the new Rules, under 5.5. Salaried and non-salaried employment – general requirements:

5.5.4. Where the applicant’s partner (and/or the applicant if they are in the UK with permission to work) is in salaried or non-salaried employment, this may include work overseas, subject to the couple meeting the requirement that they intend to live together permanently in the UK.

This seems to me like, my wife can include Overseas payslips. She worked from Apr 2012 to Aug 2012 in Dubai then Sep 2012 up to now in UK. By including both she will have full 12 months payslips and more total received pay.

Is what I understood is right?


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## Altair (Mar 21, 2013)

Thanks Joppa, right now I am covered till May and thats a total of 6 months of Payslips, over £1550 gross . I have read conflicting advice on other forums where category A, is only for the people whose basic salary is £1550, mine is £1543.3.


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## Joppa (Sep 7, 2009)

It's not just the basic pay, but other allowances you are entitled to (list on FM 1.7). So if you earn £1550 or more every month including those extras, you can apply under Cat A.


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## Altair (Mar 21, 2013)

Sorry to ask again, in my scenario can I, definitely apply under CAT A because my overtime has covered the shortfall ? By end of May, I will have six payslips and my overtime this month is paid at the end of May.


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## Joppa (Sep 7, 2009)

Altair said:


> Sorry to ask again, in my scenario can I, definitely apply under CAT A because my overtime has covered the shortfall ? By end of May, I will have six payslips and my overtime this month is paid at the end of May.


Have you earned £1550 minimum every month for 6 (including overtime where applicable)? It's no good if for one month you earned less than £1550 but you will be getting overtime payment in May to compensate. This is the crucial test: every monthly pay slip must show gross £1550 minimum. If it's so, and you have all other documents in support, you can apply under Cat A.


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## Altair (Mar 21, 2013)

Thanks I have six months covered from last December, I just need this month and next month payslip.


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## Laboksi (Feb 24, 2013)

Joppa said:


> Have you earned £1550 minimum every month for 6 (including overtime where applicable)? It's no good if for one month you earned less than £1550 but you will be getting overtime payment in May to compensate. This is the crucial test: every monthly pay slip must show gross £1550 minimum. If it's so, and you have all other documents in support, you can apply under Cat A.




Regarding income that is below 1550 monthly but with the same employer more that six month, can I still apply under category A as I will be supporting my application with cash savings


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## Joppa (Sep 7, 2009)

Laboksi said:


> Regarding income that is below 1550 monthly but with the same employer more that six month, can I still apply under category A as I will be supporting my application with cash savings?


Category A + D will be acceptable, provided your savings meet the requirement, i.e. in the same account for 6 months, and the minimum balance throughout the period is: amount of shortfall x 2.5 + 16000.


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## Laboksi (Feb 24, 2013)

Joppa said:


> Category A + D will be acceptable, provided your savings meet the requirement, i.e. in the same account for 6 months, and the minimum balance throughout the period is: amount of shortfall x 2.5 + 16000.


 

The savings has been in investment for 2 years and I have liquidated the investment and have it transfer into my savings account.

I have the investment certificate for 2 years ago and I also requested for 2 years bank statement showing how the cash was transfer into investment and also how it was returned in April back into the savings.

I hope with these documents I should be able to fulfil the savings requirements?


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## Joppa (Sep 7, 2009)

Laboksi said:


> The savings has been in investment for 2 years and I have liquidated the investment and have it transfer into my savings account.
> 
> I have the investment certificate for 2 years ago and I also requested for 2 years bank statement showing how the cash was transfer into investment and also how it was returned in April back into the savings.
> 
> I hope with these documents I should be able to fulfil the savings requirements?


Under the new rules that came in a few days ago, the value of your investment 6 months ago must be at least equal to the value of savings you are relying on, and your investment must have been transferred to a cash account within those 6 months. So what they will be looking for is the value of your investment 6 months before application, and transfer of the amount you are relying on at any time in the last 6 months. If your evidence clearly shows both, you will be fine.


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## niks.p (Oct 10, 2012)

hey joppa..
As u say 1550/month is complusory..for 6 months..in cat a.

for a non salaried it is the average of six months...what if in that case..we have a payslip less than 1550..but the average / 6 * 12 more than 18600..


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## Leanna (Oct 22, 2012)

niks.p said:


> hey joppa..
> As u say 1550/month is complusory..for 6 months..in cat a.
> 
> for a non salaried it is the average of six months...what if in that case..we have a payslip less than 1550..but the average / 6 * 12 more than 18600..


Then you should apply using Category B and supply 12 months of payslips. If you have a single payslip under 1550 gross and apply using Category A, theres a very good chance you will get refused.


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## niks.p (Oct 10, 2012)

ok i do have cash saving in that case..to cover the shortfall..but i thought if it is taking average * 12 then im much relaxed..but still .
what does this mean
"If in addition or alternatively, you are paid hourly or according to the amount of work you do (they call it non-salaried employment), they calculate by taking the annualised average during the 6 months. So you add up all your 6-month wages, divide by 6 and multiply by 12, or just double your 6-month total. "


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## MrsMole (Apr 16, 2013)

*New Visa fees, old application form*

I have a question. I understand that from April 6th new fees came into effect alongside new application forms, but that the older forms would be accepted until April 27th. I became filling out my online form on April 3, and used the reference number to secure a biometrics appointment, and submitted the online application today. However, on checkout, the only payment option was for the old fee of $1363 USD, not the new one, as listed on the website, of $1404 USD. The UKBA website says, unequivicably, that applications not reflecting the new amount will be refused.

What on earth am I to do? The automated dating system on the online application filled out "April 18th" for me, so why would they not update their fee system to reflect the fact that old online forms will be accepted?

I am forming an(other) ulcer over this whole process.


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## AmyD (Jan 12, 2013)

niks.p said:


> ok i do have cash saving in that case..to cover the shortfall..but i thought if it is taking average * 12 then im much relaxed..but still .
> what does this mean
> "If in addition or alternatively, you are paid hourly or according to the amount of work you do (they call it non-salaried employment), they calculate by taking the annualised average during the 6 months. So you add up all your 6-month wages, divide by 6 and multiply by 12, or just double your 6-month total. "


Are you sure you understand how the shortfall is calculated? It the shortfall x 2 + 16,000.


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## Leanna (Oct 22, 2012)

AmyD said:


> Are you sure you understand how the shortfall is calculated? It the shortfall x 2 + 16,000.


Shortfall x 2.5, not 2.


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## niks.p (Oct 10, 2012)

yes very well..
if i have a payslip with 1350 than it will be 1350*12 = 16200..but we need 18600 so i have a shortfall of 2400..in that case ..

i need 2400 * 2.5 + 16000 = 22000.

but my question is 
"what does this mean
If in addition or alternatively, you are paid hourly or according to the amount of work you do (they call it non-salaried employment), they calculate by taking the annualised average during the 6 months. So you add up all your 6-month wages, divide by 6 and multiply by 12, or just double your 6-month total. " 

if we have non salaried employment..still we have to use the shortfall calculation ?


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## xiaoqiaodan (Feb 19, 2013)

*They must have been paid throughout that period of 6 months at a level 
of gross annual salary or income which equals or exceeds the level relied upon in the 
application.* 

This applies to me, it used to say (at the lowest level in the last 6 months) is this still the case? or is it calculated differently now?

Do I still take the lowest level and times by 12?

I am applying under CAT A (more than 6 months) and returning to the UK with applicant.

Thanks


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## Joppa (Sep 7, 2009)

Yes, means the same thing.
They have now clarified how you can evidence non-salaried income, such as the hourly paid, on zero contract etc.


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## xiaoqiaodan (Feb 19, 2013)

The new statement of changes coming into effect on Oct 1st say that you can take the average of your income over the 6 months if the salary includes overtime and bonuses....


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## leeon2011 (Jul 23, 2013)

My wife salary 1200 after tax n before tax 1596 wich on I count ???


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## nyclon (Apr 3, 2011)

Before tax.


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## xiaoqiaodan (Feb 19, 2013)

leeon2011 said:


> My wife salary 1200 after tax n before tax 1596 wich on I count ???


Assuming your wife is the UK resident and your sponsor....use gross salary (before tax)


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## leeon2011 (Jul 23, 2013)

xiaoqiaodan said:


> Assuming your wife is the UK resident and your sponsor....use gross salary (before tax)


 Yes my wife British citizen 
Before tax 1596 pluse in account 3000 is that enough right ??


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## xiaoqiaodan (Feb 19, 2013)

What's in the account doesn't matter.. .you just need to show the money going in to account and corresponding pay slips


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## leeon2011 (Jul 23, 2013)

xiaoqiaodan said:


> What's in the account doesn't matter.. .you just need to show the money going in to account and corresponding pay slips


Thank you so much


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## Joppa (Sep 7, 2009)

Before tax, i.e. gross income.


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## Joppa (Sep 7, 2009)

Gross, before tax.


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## leeon2011 (Jul 23, 2013)

Thank you
joppa


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## leeon2011 (Jul 23, 2013)

Joppa said:


> Gross, before tax.


Hi my hearing finish on 28th November is Ben nearly 3 week n my wife call today in court n They told my wife 

it's on reserve

What's that means ???


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## Joppa (Sep 7, 2009)

Probably judgment is reserved, meaning it won't be made known for the time being. You may have to wait a few weeks or a month.


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## leeon2011 (Jul 23, 2013)

Joppa said:


> Probably judgment is reserved, meaning it won't be made known for the time being. You may have to wait a few weeks or a month.


Joppa 

One fink I ask u that judge told my wife within 12 days they will give outcome


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## leeon2011 (Jul 23, 2013)

Hi Joppa 

I need ur help 

Can u plz tell me y they reserved my decision ???


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## Joppa (Sep 7, 2009)

Usually because they wanted time to consider their judgment.


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## leeon2011 (Jul 23, 2013)

Joppa said:


> Usually because they wanted time to consider their judgment.


Thank you Joppa I guess now is Xmas I think is cam next year


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## Joppa (Sep 7, 2009)

In UK court, judgment is delivered verbally (off-the-cuff) by the judge at the end of the trial or hearing, but for whatever reason they want to take time over it, they 'reserve' their judgment so that they can buy more time and issue their judgment in writing.


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## leeon2011 (Jul 23, 2013)

Joppa said:


> In UK court, judgment is delivered verbally (off-the-cuff) by the judge at the end of the trial or hearing, but for whatever reason they want to take time over it, they 'reserve' their judgment so that they can buy more time and issue their judgment in writing.


Thank you 

how long is take time ??


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## Joppa (Sep 7, 2009)

I don't think there is a set time. Normally it's a matter of a few weeks, but there have been cases when judgment was handed down months later - but usually only in complex legal cases. I don't know what the typical delay is in immigration cases.


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## leeon2011 (Jul 23, 2013)

Joppa said:


> I don't think there is a set time. Normally it's a matter of a few weeks, but there have been cases when judgment was handed down months later - but usually only in complex legal cases. I don't know what the typical delay is in immigration cases.


Big big thanks Joppa u doing wonderful job


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## leeon2011 (Jul 23, 2013)

Hi Joppa 
I just received a email n I don't know really can u help me what they trying to say 

Thank you for your e-mail.

A sponsor (authorised or not) is not considered a party to an appeal and the Tribunal is therefore unable to provide you with the outcome of this appeal


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## leeon2011 (Jul 23, 2013)

leeon2011 said:


> Hi Joppa
> I just received a email n I don't know really can u help me what they trying to say
> 
> Thank you for your e-mail.
> ...


Joppa am waiting for ur ans am really stuck


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## leeon2011 (Jul 23, 2013)

Hello Joppa 
Am still waiting for outcome 
Is b n over month any idea how long is take n y this take time


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## Joppa (Sep 7, 2009)

What the email says is the tribunal only discusses the case with the applicant, not the sponsor.
I don't know what the delay is, but as we have just had a holiday period, wait a week or two.


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