Income in means test

[vernors]

Taking a first look at the means test, I realize that we are real close on the median income(Florida). Let me know if there is a thread that details this out, I could not find it - The answers to these questions will make the difference. Please advise.

1) I have IRA(non- ROTH) distributions in the last 6 months. These are income as far as IRS, but are they counted for Means test?
2) Is income on cash or accrual basis? I get paid on 10/5 for last 2 weeks of September. Is this September or October income?
3) My mother-in-law was staying with us for 6 months. She gave us $150 per month and we bought her food at the grocery store. Would this be viewed as "contributing to household expenses"? She was reimbursing what we bought for her, and we actually spent more for her than she gave us. She gave us no other money.

Thank you.

[lrprn]

Welcome to BK Forum, vernors - glad you found us. I'm assuming you are hoping to file Ch 7. Having said that...

1) I have IRA(non- ROTH) distributions in the last 6 months. These are income as far as IRS, but are they counted for Means test?

Yes.

2) Is income on cash or accrual basis? I get paid on 10/5 for last 2 weeks of September. Is this September or October income?

You count paychecks, bonuses, etc. as income when they hit your pocket. And the pay you receive on 10/5 for work done in Sept counts as October income because that's when it hits your pocket.

3) My mother-in-law was staying with us for 6 months. She gave us $150 per month and we bought her food at the grocery store. Would this be viewed as "contributing to household expenses"? She was reimbursing what we bought for her, and we actually spent more for her than she gave us. She gave us no other money.

If MIL lived with you during the six month lookback to calculate your gross income, then the $150/month she gave you does count as income. However, you also get to count the extra she cost into your expenses.

I assume that MIL isn't living with you now. When you file, you can only count those adults and children who are living in the household at that time, so you can't count MIL into your family size.

Hope this helps. Keep asking questions - we'll help you sort things out as best we can.