Raise expenses?

[Winger19]

My Atty informed me that I may have to convert to a Ch13.

If this happens what can I do to lower my Ch 13 payment? Please don't flame me for asking I'm just wondering what is acceptable or not. Here are some of the things I'm wondering about.

Getting more expensive cable package

More expensive phone service

Can I still take out a life insurance policy?

I would lower my auto ins. deductible as there is no way I could come up with $400 if I'm on a payment plan

Are there other things that you've done to maximize your budget?
Thanks for any help.

[HHM]

Time to back up for a bit and think of your priorities...your in BK for a reason (it really doesn't matter what it is, at this point). Whatever happened, you got to the point where your income was not enough to cover all your expenses.
So even though you face the prospect of a chapter 13, the last thing you want to do is increase you expenses. Plus, by increasing your expenses to try to lower your chapter 13 plan payment, you DON'T save any money, so its a wash.

Also, for many of your expenses, there is a maximum you can claim, and if you pay more than the max, you don't get any benefit from that. Talk with your attorney about which expenses have a maximum and which are flexible.

[Winger19]

You're right that would be a wash. That's a good way to look at it.

We are doing all right for now. The reason I filed (singley) is because I had a judgment against me. They garnished my wages to the tune of almost $800 monthly. I had to file because with that there was no way we could make it.

With the garnishment on a stay we are able to meet our payments and have a little left over every month to put in savings. Not much but around a hundred a month which will help in the case of an emergency.

I'm mostly thinking that if I'm in a repayment plan and something happens to one or both vehicles I'd be looking at $400 to $800 to pay for a deductible. We'd have trouble coming up with $400 right now let alone in a Ch 13.

I really am a little short in life insurance also. My limited policy through work would be enough for a funeral with a bit left over but not much. Just trying think of the worst possible situation and plan accordingly. The cable bill and such is really just grasping at straws.

[SinkingFast]

There have been people post on here that the Trustee took a portion of their monthly cable bill, pet expenses, other "frills" type expenses to up their Ch 13 payments.

You've got to be careful about what you increase, if anything immediately prior to filing BK also. If you've had a deluxe cable package in place all along, that's one thing. But to just go an add it prior to filing BK looks suspect.

[aa06a47]

I think if your lawyer suggested it as a way to be able to file a chapter 7 vs a 13, I would do so. You can always drop the extra insurance / etc after you bk case is over, so your "temporary" expenses could prevent 5 years of trustee control.

Have you filed yet, or is your attorney just looking things over? Sounds like (if you filed anyway) that the trustee is balking on your chapter 7.

[Winger19]

I did file already but the trustee said she would like an amended means test. My atty didn't add my wifes income.

He's turned in the new means test and there have been no red flags yet. We are over $10K over the median income for our state but he said with our expenses he said we're going to be close.

I don't know if it depends on who you have for a trustee or if it depends on what the trustee had for lunch that day or what. Sometimes it seems that way. He said he's had clients with higher income pass. Just preparing us for the worst case senario. I guess I just feel like things aren't going my way and that this won't go my way. I'm trying to stay positive but you know how it goes...not a full nights sleep in quite awhile.

I do appreciate all the different view points I've received.

[davids]

Bk..

There have been people post on here that the Trustee took a portion of their monthly cable bill, pet expenses, other "frills" type expenses to up their Ch 13 payments.

You've got to be careful about what you increase, if anything immediately prior to filing BK also. If you've had a deluxe cable package in place all along, that's one thing. But to just go an add it prior to filing BK looks suspect.

I was trying to explain that to my attory today, he did not give a crap...

Attory: You have $500/mo disposible income...

ME: I have unexpected bills also...how do you figure?
for instance...I did not expect to pay a $200/vet bill 3 days ago...

Attory: You have a $500/mo disposible income...

Judge Dread: "I knew you was going to say that..."

ME: but I have -$500 monthly....

Attory: you have $500/mo disposible income....

Its a freaking catch 22, they do not allow you true
life expences, they use numbers that benefit them.

[HHM]

I was trying to explain that to my attory today, he did not give a crap...

Attory: You have $500/mo disposible income...

ME: I have unexpected bills also...how do you figure?
for instance...I did not expect to pay a $200/vet bill 3 days ago...

Attory: You have a $500/mo disposible income...

Judge Dread: "I knew you was going to say that..."

ME: but I have -$500 monthly....

Attory: you have $500/mo disposible income....

Its a freaking catch 22, they do not allow you true
life expences, they use numbers that benefit them.

you can thank congress for this one, its not the attorney's or judges fault, it was the creditors who essentially drafted the new BK law, and they screwed everything up. Your allowed expenses are now partially based on with the IRS allows for living expenses.

[davids]

Thank-You Congress

you can thank congress for this one, its not the attorney's or judges fault, it was the creditors who essentially drafted the new BK law, and they screwed everything up. Your allowed expenses are now partially based on with the IRS allows for living expenses.

Thank-You congress for giving my nickel raise,
I hope you enjoy your $5,000 raise...

it seems they have a lot to be thanked about...