New Job BEFORE 341 hearing...

[gman]

I am taking a new job before my 341 hearing. (I know that many in the bkforums will say to delay accepting the job is the solutions - but delaying is not a realistic option.)

The new job has steady income (salary) whereas my old job was 100% commission so I had ups and downs in income. The "new job" pays more than the average last 6 months of commissions.

Also, my income will be above my state median with the new job.

From a MEANS TEST perspective - I am 99% sure that the new job has NO IMPACT as I would still qualify for a Chapter 7. Why? Well my MORTGAGE PAYMENT was over $4,600 and I have seen that there is caselaw in my district that allows one to use this payment EVEN IF I AM SURRENDERING THE HOME - which I plan on doing as we are now renting (at $1,700 per month).

My concern is this:

HOW DOES A TRUSTEE LOOK AT SCHEDULES I and J ("CURRENT" INCOME and EXPENSES) when you are surrendering a home? Do I list my $4,600 mortgage payment OR the $1,700 rental payment?

I also have two rental properties (each about $1,700 per month) with NO RENTERS that we are surrendering. Should these be included in our CURRENT EXPENSES?

I figure if we can include them some or all of these mortgage payments - we will still qualify. If we cannot - then I doubt a Chapter 7 will work.

Does anyone have any input?

I figure the trustee will inquire about any new job and I cannot hide the new salary income - so I might as well deal with that as a given.

I am SO CONFUSED as to what one is supposed to do when filling out the SCHEDULE J form when you have homes you are surrendering.

Anyone know how to handle this???

Note: We are NOT interested in a Chapter 13 as we have no assets to protect.

Thanks to all who chime in.

[laurannm]

You are correct, the new job will not have any impact on your means test, since that is a 6-month look-back (assuming you have already filed).

However, I am almost 100% certain that you will have to list your rent payment on your schedules and not your mortgage, since your schedules represent your current income/expenses.

The trustee will more than likely ask if there has been any change in income (although we were NOT asked that by our trustee, so it is possible you won't be either).

[BROKENN]

I agree, your rent will go on the proposed budget. My atty did that because we are surrendering the house.

If the new income comes up versus your new proposed budget, does it come up with disposable income? And how much?

[mynameainttracy]

My husband was in your situation and was 100% commission. he got a new job prior to the 341 and we couldn't say no. We told the trustee at our 341 and he just wrote it down and kept going. He didn't even ask about the income.

[gman]

if i show my new job income and my rent (not my mortgage payment) - then i have disposable income on my current schedules even though i pass the means test for a chapter 7.

does anyone know if i can claim the mortgage payments on my two rental properties on my schedule j.....

i have no current rental income

i would be surrendering both properties.

if i have these properties on my schedule j then i have no disposable income.

any ideas????