3 year plan

[mountanddo]

My bankrupcy will be a 3 year plan as my income is less than the median at $45,000/annually. Right now I am working a temp job but may get hired permanantly. I am wondering if my income goes over the median to say 46-50k will I be require to modify my plan into 5 years or would my DMI just go up and I would end up paying more monthly?

[justbroke]

No you will not need to change your plan to 5 years.

(I think that's my shortest post in months.)

[mountanddo]

Glad I could help ;) Thanks!

[justbroke]

However, your Trustee may seek to amend your plan to pay more money if your DMI (disposable monthly income) increases significantly.

[mountanddo]

Is there a percentage that the trustee looks at or is it a dollar figure? I'm wondering what would be considered significant? it could go up by 5k which was what I was making when I lost my full time job or it could stay the same. Wondering if I should consider maybe negotiating that they pay my benefits rather than take the salary.

[justbroke]

That would be right on the border. In some Districts, the Trustee's don't even CARE if you make more money. So long as you stay on plan! Do you know if your plan requires you to submit income tax returns to the Trustee for review? If not, then they aren't interested in what you make and you can just run out your plan.

Generally speaking, and this is not the law, the Trustee "might" seek to modify your plan if your income increases significantly over 10% in a year. As I wrote, some don't even care.

I'd review my Plan to see what provisions are in there.