Commission income

[grandmasusan]

I finally filed my papers on Friday. I had to do it because the IRS wage garnishment took more than 50% of my take home pay and because the IRS was going to levy my spouse on the 24th of the this month. Out of the goodness of their hearts, the IRS doesn't garnish at the same time, LOL.

So here's my question, my schedules and income looked ok but I am a little nervous because my income fluctuates so wildly month to month. I am in real estate sales so I get a draw per month that goes against my commission. In a month my commission can be 0 or 10,000. Right now I am getting a guarentee of 6000 for the next 60 days but after that I don't know what I will get. Would I have to send in my paystub each month to the trustee for income reporting purposes? I was told by my attorney that any increase of income over 10% needs to be reported. My average 6 month income was 9000 so I would only report if I made 10,000? This is my biggest concern and confusion in doing the BK.

Any input would be greatly appreciated.

[lrprn]

So here's my question, my schedules and income looked ok but I am a little nervous because my income fluctuates so wildly month to month.

You've run into one of the most frustrating areas of the "improved" bk law - how to work out Ch 13 payments with a very irregular income in a system designed to work with regular income.

The only way to make your Ch 13 payments on time each month is (1) hope your income averages out over time, (2) save the money from the good income months to carry over to cover the shortage in the bad income months, (3) see if you can find a more regular source of dependable income, and/or (4) pray nothing bad happens financially!

You're in a tough spot. Be sure to let your congresspeople know how their vote for BAPCPA has made your right to relief from crushing debt much more difficult.