I've read several different answers to one scenario in the whole bankruptcy process and I was wondering what the real answer was. I've read that it only matters how much money one has in your bank accounts on the day of filing and that all other wages earned after that (and deposited into those accounts) cannot be touched, basically that anything that's done after you file doesn't matter to the Trustee, except of course buying a yacht or some other high-end luxury purchase. Then I've read about people who've had their accounts looked at by the Trustee after they filed and money pulled from them because they had too much. So which one is it? Thanks so much!
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Your first description is accurate. Wages earned after the date of filing (in a chapter 7) are not part of your Bankruptcy. The only caveat is the question of when the money was "earned". Some trustees I have heard of get technical with the "earned concept". For example, if you get paid on Friday for the prior weeks work, and you file on the Thursday immediately before payday, but the check is deposited on the Friday the day after you filed BK, its technically "pre-petition" earnings even though the money was deposited in your bank account after you filed your petition because you "earned" the money before you filed BK. Nevertheless, most trustees take the practical approach and just use your bank balance at the day before filing to determine what balance you had.
If people had to turn over money received after the filing of BK, its probably because they tried to pull some shenanigans, hiding money etc, pulling all their money out right before they filed BK, only to put it back after, etc etc.
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