Social Security and Supplimental Security Income (SSI) as ONLY sources of income

[Allen]

If my ONLY sources of income are Social Security and Supplimental Security Income (SSI-a low income source of income administered through Social Securtiy) am I allowed to file a Chapter 13?

[optimistic1]

From Nolo Chapter 13 Bankruptcy book,


2. You Must Have Stable and Regular Income
You must have "stable and regular" income to be eligible for Chapter 13 bankruptcy. That doesn't mean you must earn the same amount every month. But the income must be steady -- that is, likely to continue and it must be periodic -- weekly, monthly, quarterly, semi-annual, seasonal or even annual. You can use the following income to fund a Chapter 13 plan:

regular wages or salary
income from self-employment
wages from seasonal work
commissions from sales or other work
pension payments
Social Security benefits (although one court has ruled that Social Security payments do not constitute regular income to fund a Chapter 13 plan)
disability or workers' compensation benefits
unemployment benefits, strike benefits and the like
public benefits (welfare payments)
child support or alimony you receive
royalties and rents
gifts of money from relatives or friends, and
proceeds from selling property, especially if selling property is your primary business.


So as long as you have enough $$$ left after living reasonably, then you should be able to propose a confirmable plan, as long as you pay what needs to be paid.

[DeadManCrawling]

A new ruling states that SS payments of ANY sort are exempt. Even large lump-sum payments (17k in the court decision at hand).

They cannot be legally taken for any reason. Whether they can be considered as a source to fund a CH 13 I do not know. The ruling I cite (which is linked in another section on the forums), may be too new to have determined the answer to this.