Schedule I-Exempt Income

[szbenne]

Hi All,
I have learned that the Veteran's Disability Income and child support that I receive are exempt, only about $350.00 total. Why does Schedule I ask for this information when calculating income if it is exempt? I still pass the income test but seems to be misleading to include exempt income.

I appreciate any help you guys can give.

Thanks!

[HHM]

Because Assets and Income are different things.

Your right to receive those benefits...the asset...is exempt. Most creditors cannot directly garnish those types of benefits.

HOWEVER, those benefits also represent a "source of regular income" which might be used to pay at least something back to your creditors.

[szbenne]

WOW!!! Thank you for such a quick answer! Just when I think I am understanding this whole process a new question pops up. You guys are great!