Filing A Ch 7 and Sch J Shows $ 4300 Expenses

[booboo]

And Gross income is $ 4800. Is this a problem? What are the limits that the Trustee will allow to continue with a Ch 7?

Means test was passed.

Any insight will be appreciated. See attorney tomorrow 6-23.

BooBoo

[Amy26]

I assume your net income is less right? My income - my expenses was using net income not gross. I was only left with 168 dollars after passing the means test.

The less money you have left over after your expenses the better.

[JoeBankrupt33]

Hey booboo! You need to fill out schedule I, which will take taxes and insurance out of that $4800 gross income. That is what will be compared to your $4300 in expenses.

[booboo]

Thanks Joe, I did all that and still show $ 500 left over. My total unsecured is going to be $ 135K, so that $ 500 would be less than 25% of my debt over 5 years, so I think I will make it, but not sure.

So worried

BooBoo

[floridian]

ive got 400 left over and 40k in unsecured debt... im still a candidate for "indentured servant" chapter 13 status...

maybe in october when the supreme court hears the lawyer bk case, they will rule in our favor... then the lawyer will be allowed to help me up my expenses...

[JoeBankrupt33]

Thanks Joe, I did all that and still show $ 500 left over. My total unsecured is going to be $ 135K, so that $ 500 would be less than 25% of my debt over 5 years, so I think I will make it, but not sure.

So worried

BooBoo

Oh. You said that $4800 was gross, so I assumed that taxes were not taken out.

I don't really know about how to get forced into 13, but it looks like you need to find more expenses. Remember, the expenses on schedule J are the expenses that you expect to have in your new life without debt, and not necessarily based on your past expenses. For instance, I put down expenses for clothing and car repairs/maintenance that were "luxuries" in my previous life.

[booboo]

Actually I think I just did. I owe $ 2700 in back property taxes and that would give me an additional $ 223 in monthly expense to catch this up over the next year. I think this should be allowed.

BooBoo

[aces67]

Make sure your listing all your expenses. It's easy to overlook one or two and leave them out. Go back through your bank statements and see what you've been paying and make sure it's all listed.

I know for us we have so many bills that I had to track with my bank statements b/c I couldn't remember it all.

Good Luck!

[Amy26]

So, your net income is 4800 then? You did say that was gross. Did you account for insurance, personal property tax, medical expenses, travel?

[tra2555]

If it's base on Gross Income...can we deduct ( as expenses) the Federal taxes, and other usual payroll deductions when doing the Mean test?

[pcn]

ive got 400 left over and 40k in unsecured debt... im still a candidate for "indentured servant" chapter 13 status...

maybe in october when the supreme court hears the lawyer bk case, they will rule in our favor... then the lawyer will be allowed to help me up my expenses...

What supreme court case is that? And what would be the impact?

[booboo]

An update:

Went and met with the attorney last week and he ran the paperwork, reworked the expenses and told me that we were A-OK. Have to get a few more docs to him and now are set to file our Chap 7 on 7-23-09! Wahoo!!

Oh yeah, I had put down expense for cigarettes and he said we need to bury that into entertainment and supplies as the Trustee would never allow that, so that is what we did.

Thanks again....BooBoo