who used federal exemptions instead of state exemptions???

[Lalalink]

One great thing to know is that if you haven't lived in your state for 2 years prior to filing, then you have to use the exemption rules from your old state. BUT and this a big but (no not that kind,) many states don't let you use their exemptions if you are no longer a resident or a domicilary (ie. live there). Then you are "forced" into using federal exemptions. That was our situation and it was beneficial.

Bingo! We didn't realize this was our situation until our attorney advised us. We have not lived in our current state for more than 2 years and can no longer use our prior state's exemptions. We are forced into the federal exemptions also.

[JEM]

We used Federal vs. state because the exemptions fit better for what we needed to exempt. LOL

We don't have a lot of equity in our house. (Not underwater, but currently owe just under what it could sell for) Therefore, the generous homestead exemption that TX had didn't really benefit us. We didn't need to exempt much for our vehicles. The federal with the wildcard and unused homestead were more beneficial because we had a tax refund that we wanted to exempt.

[StrawberrySu]

Relieef, that ain't fittin, it just ain't fittin! Were you able to use the Federal homestead exemption, or just use it as a wildcard?

[relieef]

I filed Federal because I own a mobile home on leased land which is not considered a homestead exemption under the state exemption unless you own the land that the mobile is sitting on .

[IHateChase]

In NJ they would also prefer you live in a box, so I imagine most of us here go with Fed.

[StrawberrySu]

What about contributing to a exempt IRA?

Well I think I already have to have that in place, and I don't

[jacko]

What about contributing to a exempt IRA?

I will be using Fed Exemptions when I file, because I will have moved to North Carolina. I will have almost $24,000 in wild card exemptions I can use that way. Some will be used to cover excess value in our vehicles, the rest will be cash. I am so happy about that, too!

I, along with probably most people, have no equity in my home. Everyone says "stop paying the house payment and save up the money." But then BK doesn't allow you to have much money. So what do you do with the money you save? I know, I know, all the stuff you put off paying for, and I plan to do that. But I will feel so much more secure going into a BK knowing we will at least have a little savings.

They say the BK system doesn't want you to be destitute, but yet you are only allowed a small amount of DMI every month. No savings unless you can get it through an exemption. Maybe I am used to having too much DMI, but the thought of having less than two hundred bucks left over each month terrifies me more than a trustee, lol.

[StrawberrySu]

I will be using Fed Exemptions when I file, because I will have moved to North Carolina. I will have almost $24,000 in wild card exemptions I can use that way. Some will be used to cover excess value in our vehicles, the rest will be cash. I am so happy about that, too!

I, along with probably most people, have no equity in my home. Everyone says "stop paying the house payment and save up the money." But then BK doesn't allow you to have much money. So what do you do with the money you save? I know, I know, all the stuff you put off paying for, and I plan to do that. But I will feel so much more secure going into a BK knowing we will at least have a little savings.

They say the BK system doesn't want you to be destitute, but yet you are only allowed a small amount of DMI every month. No savings unless you can get it through an exemption. Maybe I am used to having too much DMI, but the thought of having less than two hundred bucks left over each month terrifies me more than a trustee, lol.

[rustymich]

Me in Pa,Pa perfers you live out of a box afterwards much better advantages with Federal...

[BAR]

I used ther Fed too. It gave me alot better advantages then my state does.

[daylate]

Yes. You can use the wild card portion of the fed exemption if you surrender a house in bk (assuming using fed exemptions is allowed). And to answer your question, people use whichever is most advantageous to them if they have a choice. If no choice, you are pretty much stuck with what you get. One great thing to know is that if you haven't lived in your state for 2 years prior to filing, then you have to use the exemption rules from your old state. BUT and this a big but (no not that kind,) many states don't let you use their exemptions if you are no longer a resident or a domicilary (ie. live there). Then you are "forced" into using federal exemptions. That was our situation and it was beneficial.

[StartinOver]

Can you use the federal homestead exemption as a wild card if you do own a home but are surrendering it? (If it matters, it's underwater and we are in foreclosure, planning to file just in time to stave off the sheriff sale to buy some time)

[backtoschool]

I used Federal exemptions because of the generous wildcard, and because I could used the homestead exemption as a wildcard because I don't own a home.

[music12]

also be aware that only some states allow you to use fed exemptions, so you don't always have a choice.

[gwar11d2]

I used Fed because I had a property I was surrendering out of state and also, my Lawyer advised me to do it.