# wife returned to work - but paid through the Governments wage subsidy scheme?



## Merowig (20 Jul 2020)

Hi 
my wife is a beautician and returned to work end of June. She was announced today that this month they will be paid through the government wage subsidy scheme.

Does anyone know why by chance if she is working full time since the 29th of June. 

I am now applying for a mortgage on my own but we want to do a joint application - which won't be possible to my knowledge if above is appearing.

Thanks


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## Sconeandjam (20 Jul 2020)

The company will receive the covid wage subsidy for anyone on the payroll in Jan and Feb of this year if the company has had a drop in sales. They would have been closed for the last few months and now slowing building sales back up. The payment would be the subsidy plus a small amount if the company can afford it.
The employe has no choice but to accept or risk of loosing their job.

The subsidy could be applied to part time as well as full time workers.

The Government are trying to make sure businesses keep going and not close down. It looks like it will apply to new staff as well in the next few weeks. The Government have also decided to extend the wage subsidy to next year as part of a stimulus package. Heard on the rte news yesterday.

All you can do is ask your bank if they will accept someone that has covid subsidy on the mortgage application. Your wife’s income is still income even if there is a small amount with the subsidy. You could also go to a broker and see what they say as they might have a few options for you.


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## lughildanach (20 Jul 2020)

The company may be permitted to access the scheme, but she is still entitled to payment for hours worked.  As far as I can gather, the banks have rolled back on their position regarding wage subsidy scheme.  They will likely exercise additional caution, as access to the scheme demonstrates that the employer is under financial pressure, but the banks have said that it won't by itself be a reason to refuse a mortgage application.  However, do expect additional scrutiny, perhaps along the lines of requesting a letter from the employer to confirm that they expect that her position will remain long term.


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## FCBC12 (20 Jul 2020)

Banks are not letting applicants drawdown a mortgage if the TWSS is showing on the most recent payslip. My wife and I are at this stage and have been dealing with a broker. 

They are effectively saying anyone whose employer is availing of the TWSS, their whole income is not considered in the 3.5 times income affordability test. Prudent behaviour by the banks, but frustrating for those of us who are now stalled in 'no mans land'.

On the other hand, I've read articles that the main banks are allowing people apply for mortgages with the TWSS on their payslip, but again, drawdown won't be possible until it disappears.


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