Living expenses and disposable income - a qstn

[amynrich]

I know in bankruptcy the amount of money brought in every month is looked at as are the monthly living expenses and the disposable income left over is determined. Right?

But what is considered reasonable monthly living expenses? My husband and I are of differing opinions on this... I'm hoping he's right, but it seems excessive.

He thinks reasonable monthly living expenses are:
rent
car payment
car insurance
electricity
water
phone
cable
internet
prescription costs
doctor's visits (I have to go every month)
Food and basic living stuff (shampoo, etc)
gas for the car
basic upkeep (oil changes, etc)

Is all that included in figuring reasonable monthly living expenses? Is there anything else?

So basically, after living expenses are figured out it's subtracted from our income and what's left is considered disposable, right? How much is to much disposable income for a chpt 7?

[tinroofrusted]

Actually when you file, or if you can get a copy of some forms to look at, it will list a huge pile of things that are considered "monthly expenses." Everything should be on there for you to take a gander at!

[HRx]

You basically want to demonstrate that you're broke after you've paid all your fixed monthly expenses.

Good Luck!

[amynrich]

Thanks! I just found the form that lists out what's allowed for monthly expenses... there's a LOT more on there than I would've expected! I kind of thought we'd be required to get rid of internet and cable, healthclub memberships, etc... you know, be forced to live barebones, no fun... but looking at this form it doesn't look that way... I'm sure we can't go overboard with things (couldn't afford to anyway), but it's nice to know we can still watch TV!

[duperpooper2000]

amynrich forms

could you give me the web address where you got your info on exemptions? thank you, rick

[HHM]

All those items you listed would be reasonable items. Its not so much what you spend it on, but how much you spend, and as Todd mentioned, you want to show that you have no money after you pay all your expenses. But you also need to be honest. Most people tend to underestimate their expenses unless they use software that tracks their expenses.

Some other items you could use,
Clothing
Laundry
Rental Insurance
Recreation, Clubs, Entertainment, newspapaers, magazines, etc,
Charitable Contributions
Child's Allowance (if you have children)
Health Insurance

The list can be quite expsansive. You will want to find a blank copy of Schedule J to get an idea....

[snickerdoodle]

if they question your expenses being more than income

[QUOTE=HHM]All those items you listed would be reasonable items. Its not so much what you spend it on, but how much you spend, and as Todd mentioned, you want to show that you have no money after you pay all your expenses. But you also need to be honest. Most people tend to underestimate their expenses unless they use software that tracks their expenses.

Some other items you could use,
Clothing
Laundry
Rental Insurance
Recreation, Clubs, Entertainment, newspapaers, magazines, etc,
Charitable Contributions
Child's Allowance (if you have children)
Health Insurance

The list can be quite expsansive. You will want to find a blank copy of Schedule J to get an idea....[/QUOTE

You can always say that your family buys you groceries. Never say they give you money, then it's considered added income. You could also say they help you by filling up you tank for you.