top Ad Widget

Collapse

Announcement

Collapse
No announcement yet.

Expenses relative to your income, is there a defining rule for Ch. 7?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Expenses relative to your income, is there a defining rule for Ch. 7?

    My income is below my state's median, and so I automatically qualify for Ch. 7.

    I have been able to reduce my expenses by living with my family (reduced rent, borrowed car, but I still pay for food and several other things). I sought out this arrangement given my circumstances and to reduce my expenses. However, I would say that for 3 out of the past 6 months, I have still had trouble paying my debts on time.

    Since both my income and expenses are reduced due to my circumstances, I am curious what the qualifying factor for Ch.7 is in a case like this. I don't want to inflate my expenses (and wouldn't be going through with bankruptcy if it weren't for hardship), but I am now curious whether my expenses must be so much relative to my income in Ch. 7. Or is this irrelevant either way because my income is below the median? The main issue I have is income variability, because I am "unemployed" or perhaps underemployed, and my main source of income at the moment is some very variable freelance work (and thus my income per month varies pretty drastically, and has over the past 6 months or more).

    I am filing pro se and have a relatively simple case (no assets/mostly credit card debt that I began to accumulate after unemployment).

    Thanks, I appreciate any input.

bottom Ad Widget

Collapse
Working...
X