Bonus and vacation pay?

[Liaah]

We plan on filing probably in Sept or Oct this year.

In Jan my husband gets his vacation check in one lump sum. Would the trustee be interested in that?

Also, in March my husband gets a bonus. This amount depends on how profitable the company was the prior 6 mos. What about that?

Both of these my husband will earn in 2008 and we are filing in 2007.

Just wondering?

Thanks

[jal1129]

I think we would need more info on this. What state are you filing in? What chapter are we talking about? How much of a bonus are we talking, a couple hundred or several thousand?

[Liaah]

Chap. 7

Indiana

Really depends, but probably at least $1000, after taxes.

My husband now has 3 weeks vacation pay, this years check was $1800 after taxes.

[lrprn]

Since both amounts sound like they will be over $1000 and either or both could arrive before discharge or certainly within the six months after discharge, if the trustee finds out about the money, he/she is likely to want it for your creditors.

This is a great question to ask your lawyer who will be familiar with the customs around bonus and employer-provided vacation money in your bk district. Please let us know what you find out!

[SinkingFast]

We filed in IN, Liaah. I wish I could tell you an answer, but alas, I cannot.

The Trustee did ask at our 341 if Hubby was entitled to Bonuses. He isn't so that was the end of that. I don't know what our Trustee would have done if Hubby was entitled to and did in fact receive a Bonus.

Our Trustee did hold our BK Open waiting to see how much refund we would get for '06. Fed and State combined was less than $600 so the Trustee abandon our refunds.

Our attny did tell us typically the Trustee only goes for amounts in excess of $1K as Lrprn already suggested.