Hi,
About a year ago it became evident that my wife and I should explore the option of a BK. We had simply got way in over our heads and were in denial about alot of things.
We met with a BK atty last May for an initial consult. After reviewing our situation, he felt we had a simple no asset Ch. 7. At the time, the only thing that held us back was the atty fee.
Thankfully, we got enough $$ on this years tax return to be able to afford the atty. I have a meeting with him tomorrow (May 13) at 1pm. On to my question....
My wife is employed as a nanny to a local family. She began this job back in 2007 but was laid off last Sept. 2008. They decided to hire her back in Nov. 2008 and has been there ever since. The family knew of our impending BK and decided to pay my wife under the table through the end of 08 and begin reporting the $$ on Jan 1. Here is the wrinkle.... Her salary is approx. $1050 every 2 weeks (take home). They pay her only $230 on a check and the remainder is cash. We typically deposit all of this into our checking acct to pay bills. My question is, should I disclose this to my Atty tomorrow? Technically only $230 is being reported and this is what her paystub shows. The family my wife works for decided to do this to help our BK by keeping the recordable income down.
I sort of feel guilty about this but know if we get away with it it will help our BK go through smooth. On the other hand, I feel like it is not ethically right and want to tell the atty because nothing would be worse than the Trustee discovering this and mucking alot of things up.
Sorry for the length but I wanted to get the whole picture across. Thanks!!
About a year ago it became evident that my wife and I should explore the option of a BK. We had simply got way in over our heads and were in denial about alot of things.
We met with a BK atty last May for an initial consult. After reviewing our situation, he felt we had a simple no asset Ch. 7. At the time, the only thing that held us back was the atty fee.
Thankfully, we got enough $$ on this years tax return to be able to afford the atty. I have a meeting with him tomorrow (May 13) at 1pm. On to my question....
My wife is employed as a nanny to a local family. She began this job back in 2007 but was laid off last Sept. 2008. They decided to hire her back in Nov. 2008 and has been there ever since. The family knew of our impending BK and decided to pay my wife under the table through the end of 08 and begin reporting the $$ on Jan 1. Here is the wrinkle.... Her salary is approx. $1050 every 2 weeks (take home). They pay her only $230 on a check and the remainder is cash. We typically deposit all of this into our checking acct to pay bills. My question is, should I disclose this to my Atty tomorrow? Technically only $230 is being reported and this is what her paystub shows. The family my wife works for decided to do this to help our BK by keeping the recordable income down.
I sort of feel guilty about this but know if we get away with it it will help our BK go through smooth. On the other hand, I feel like it is not ethically right and want to tell the atty because nothing would be worse than the Trustee discovering this and mucking alot of things up.
Sorry for the length but I wanted to get the whole picture across. Thanks!!
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