Ok. We will be filing a CH7 BK in the next couple months.
Back in Nov. I had to have surgery for a broken jaw.
The doctor was not a plan participant for my medical insurance through work. Though the insurance company did have them on the approved list. (doctor was 200+ miles away, and the only one willing to take on the very complicated surgery)
Anyway. Just got a statement in the mail today from the insurance company. Included in the statement was a check to me.
For some reason, certain bills, they send me a check and have me reimburse the doctor myself. Usually it is no big deal. $30-$50 a pop.
Well, this check is like $1300.
So, now I am wondering. Since this check is made out to me, would it be considered income?
It makes a huge difference as that is more than I bring home in a month. (I gross $1512 in 4 weeks).
Is there any way the trustee would even find out about it that I would have to explain it?
In the past, I have never gotten anything like a 1099 from the insurance company, but I don't think there has been more than about $300 in any one given year to this point.
I do not plan on depositing this in my bank account and writing the doctor a check. If anything I will cash it, and send a money order.
I plan on BKing the balance of the bill though. As the total bill is around $5500 just for the doctor. And the insurance is only covering this $1300.
Also at this point thngs are so tight, I am considering floating this check a while. Cashing it and using some of the money to help until our tax return comes in. Things are so bad at this point, I have no idea if I even have enough gas to get back and forth to work until payday on Friday. After the tax return comes in, we will be fine until my wife finishes school in April and goes back to work.
I had thought about just keeping the check. But figured if the trustee finds out about it, it would definitely be considered income.
But if I keep the statement, and a reciept for a money order for the same amount it would pretty much prove that the check was nothing more than a pass-through and I did not benifit from it.
Would that probably fly with the trustee?
What are others opinions on this situation?
Back in Nov. I had to have surgery for a broken jaw.
The doctor was not a plan participant for my medical insurance through work. Though the insurance company did have them on the approved list. (doctor was 200+ miles away, and the only one willing to take on the very complicated surgery)
Anyway. Just got a statement in the mail today from the insurance company. Included in the statement was a check to me.
For some reason, certain bills, they send me a check and have me reimburse the doctor myself. Usually it is no big deal. $30-$50 a pop.
Well, this check is like $1300.
So, now I am wondering. Since this check is made out to me, would it be considered income?
It makes a huge difference as that is more than I bring home in a month. (I gross $1512 in 4 weeks).
Is there any way the trustee would even find out about it that I would have to explain it?
In the past, I have never gotten anything like a 1099 from the insurance company, but I don't think there has been more than about $300 in any one given year to this point.
I do not plan on depositing this in my bank account and writing the doctor a check. If anything I will cash it, and send a money order.
I plan on BKing the balance of the bill though. As the total bill is around $5500 just for the doctor. And the insurance is only covering this $1300.
Also at this point thngs are so tight, I am considering floating this check a while. Cashing it and using some of the money to help until our tax return comes in. Things are so bad at this point, I have no idea if I even have enough gas to get back and forth to work until payday on Friday. After the tax return comes in, we will be fine until my wife finishes school in April and goes back to work.
I had thought about just keeping the check. But figured if the trustee finds out about it, it would definitely be considered income.
But if I keep the statement, and a reciept for a money order for the same amount it would pretty much prove that the check was nothing more than a pass-through and I did not benifit from it.
Would that probably fly with the trustee?
What are others opinions on this situation?
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