Taking elderly mother in law's income into account

[Flamingo]

Aren't social security payments made to retirees not counted as income for the means test?

I believe that is only for those filing the bankruptcy. If someone else lives in the household that receives a pension or SS or other income, it is counted toward the household income.

[KAKRN97]

I don't know...I'll have to ask my attorney that question tomorrow.

[keepinitreal]

Apparently because my 86yr old mother in law lives with us, the court takes her income into consideration! She brings in about 1700/month with her pension and social security and contributes approximately $500 to the household in the form of groceries.

Aren't social security payments made to retirees not counted as income for the means test?

[KAKRN97]

Well lets see...since Friday, I've dropped 3K in car repairs...new transmission, fuel filter, coil springs, tune up. Does that count??

[newbie2]

The household members DO increase by 1 as she does live with us. Wish she got less money from the govt and pension. My now-deceased grandmother who was the same age as my mother in law lived on less than $400/month SS income. Won't know any more till I speak with the paralegal tomorrow.

I see. I didn't realize you had already included her as a household member in your means test. I hope you can come up with other expenses to get you through a Chapter 7.

[KAKRN97]

The household members DO increase by 1 as she does live with us. Wish she got less money from the govt and pension. My now-deceased grandmother who was the same age as my mother in law lived on less than $400/month SS income. Won't know any more till I speak with the paralegal tomorrow.

[newbie2]

Just got off the phone with my lawyer. Apparently because my 86yr old mother in law lives with us, the court takes her income into consideration! She brings in about 1700/month with her pension and social security and contributes approximately $500 to the household in the form of groceries..her Medicare part B premium is only $200/month. She spends around $100/month getting her hair done, $50 month in prescriptions/vitamins, $100/car maintenance and gas...and that's about it!!
I'm afraid this may very well prevent me from filing Ch7 and we'll have to go with a Ch13...UGH! Attorney NEVER mention that they'd take her income into consideration when we originally met with him.

I'm hoping to file by Friday as if I wait till June we definitely won't qualify for Ch 7. I've got a phone meeting with the paralegal tomorrow afternoon and have to run papers out to their office in the morning...looks like I won't be going to work tomorrow night(12hr night shift--can take a sick day)

The big factor here is your quote: "She contributes $500 per month.." Ouch. Yes, that hurts.

Since you are including her income, ask if your household members also increase by 1, thereby possibly offsetting the income. Good luck.

[KAKRN97]

Just got off the phone with my lawyer. Apparently because my 86yr old mother in law lives with us, the court takes her income into consideration! She brings in about 1700/month with her pension and social security and contributes approximately $500 to the household in the form of groceries..her Medicare part B premium is only $200/month. She spends around $100/month getting her hair done, $50 month in prescriptions/vitamins, $100/car maintenance and gas...and that's about it!!
I'm afraid this may very well prevent me from filing Ch7 and we'll have to go with a Ch13...UGH! Attorney NEVER mention that they'd take her income into consideration when we originally met with him.

I'm hoping to file by Friday as if I wait till June we definitely won't qualify for Ch 7. I've got a phone meeting with the paralegal tomorrow afternoon and have to run papers out to their office in the morning...looks like I won't be going to work tomorrow night(12hr night shift--can take a sick day)