odd question/ publishing

[One Half Full]

Hi, I have a strange question. I have a writing degree, and years ago began studying and honing my skills to write novels. I have several good half-finished novels, and right now am working on completing my latest novel, which I believe will be good enough to publish. (All last year I was working on it). Since this book was planned, worked on in this period prior to BK and will probably be finished before I actually go into BK-- Would any income from this book be considered a windfall like a lottery ticket. Would the raw manuscript be considered an asset if I publish, and would all my other manuscripts have "value" as opposed to "hobbiest" work? Should I delay publishing or signing a contract until after the BK? (Authors are paid for Advanced copies)

This book can have a value anywhere from "0" dollars to six figures. So the value is not established, and it might be utterly valueless. If it has value though, will the trustee come after what I make on it (if anything) in the future. If accepted for publication, this book will probably take up to 2 years to publish, so when and if I sign the contract, I would have to wait 2 years until it was actually on the book stands. I do not know if the "Advance" is given before the books are actually printed and out on the shelves. The advance for a first time novelist are only about 5000 for the first printing, so it is not enough income to live off of.

This is a weird post, right?

[poor@budgeting]

Seems similar to a outstanding lawsuit that is expected to bring $$$ which the trustee would view as income. Are you going for 13 or 7?

[epiphany]

This is a weird post, right?

On the contrary, you have some very legitimate questions.

I think I know from your history that you qualify for a Chapter 7 but would like to know when you plan to file. If it is soon, I would definitely wait.

ep

[lrprn]

Half-finished books have no value until they are finished AND you have a signed contract with a publisher in hand.

Finish the books, then go peddle them to publishers after your discharge. A book deal does not qualify to be seized by your trustee within six months of filing Ch 7.

[One Half Full]

epiphany. I lost my job and was advised to hold off with the CH7 until I got another one. I am losing everything, but I have enough in my 401 k to live on if I pay only bills. I am working on my writing full time for a month or so, as well as looking at the job boards till the end of summer since summer is a crappy time to find a job. I am also getting started writing free-lance articles-- also in anticipation of finally breaking free of the 9 to 5 world. The lawyer told me not to do anything, let it ride, hold my bucking bronco, sit chilly, and wait. The possibility that I might get hit by a car still exists and without insurance and a job, I should not risk playing my CH7 card.

I really don't know how to sort this out. The manuscript has absolutely no value until there is a book contract, and then, I can not say, and no one can say if it has much value beyond a first printing until it hits the stands. As an out of work person, I decided to try to use my skills to work on things that will bring me income without me needing to "get a job" but these things are in the works. I am in the studying and testing phases.

I don't know if it would be considered as similar to a "future lawsuit" as to a college education. I mean, if I was in school now and going Ch7, they couldn't take future income if I started a job after school if the school led to a job. Or, if I was going Ch7 and was looking for a job, and looking led to a job. Is something you are doing while preparing for ch7 if it brings in money liable after the ch7. Now, people have said Gambling, but no one has said "acting in a film," or "creating animation films for an international film contest." Both are creative pursuits that can lead to millions, and just as easily lead to nothing. This is also the way all writer's start. It is very painful and iffy for a while. This is the beginning phase of a potential career, not a stab at picking horses in a race.


So, is being a self-employed author considered a job, or a wind-fall? The only difference between hourly wages and contract wages (based on advance+royalties) is the delayed paycheck. I would do the work one year and the money would come in 2 years later. So even though I am sitting on my butt and unemployed, I am working on an eventual paycheck.

If they are able to take money from an unfinished novel after CH7, then they can take money from an out of work gas station employee who gets a job after BK.

I do see the opposite. They could say I am sitting on something of possible substantial value. But the funny thing is if I don't finish it, it has no value.

This is a cool legal question. I certainly could not sell the materials back to the lumber-yard, or auction it off.

I could wander through life with a little "data stick" filled with writing, with potentially 100K in it with absolutely no value in reality. It's like hog belly futures! That's it! Investing in something that does not exist.

I don't by the way, think I will make a fortune on it. But think if JK Rolling was in the US instead of England and she was Unemployed and going through a BK and when she worked on the book she wrote while unemployed, and made a million. Could they take her money? Interesting.

Interesting question.

[FLBK7]

epiphany. I lost my job and was advised to hold off with the CH7 until I got another one. I am losing everything, but I have enough in my 401 k to live on if I pay only bills. I am working on my writing full time for a month or so, as well as looking at the job boards till the end of summer since summer is a crappy time to find a job. I am also getting started writing free-lance articles-- also in anticipation of finally breaking free of the 9 to 5 world. The lawyer told me not to do anything, let it ride, hold my bucking bronco, sit chilly, and wait. The possibility that I might get hit by a car still exists and without insurance and a job, I should not risk playing my CH7 card.

My response will not address your actual question, since I do not know the answer. I am replying solely because you mention losing everything, but having enough to live on your 401K. You also mentioned that your lawyer said not to do anything and wait? Wait for what?? 401K savings are EXEMPT in bankruptcy. This is something I wish I had known before raiding my 401K in a desperate effort to avoid BK. I cashed in my 401K, paid hefty taxes on that, paid bills with the proceeds, and STILL had to file BK. Knowledge is power, and cashing in my 401K was possibly *the* most stupid thing I ever did in my life because of ignorance.

Why did your lawyer say to wait? And why are you depleting your 401K?

[One Half Full]

My response will not address your actual question, since I do not know the answer. I am replying solely because you mention losing everything, but having enough to live on your 401K. You also mentioned that your lawyer said not to do anything and wait? Wait for what?? 401K savings are EXEMPT in bankruptcy. This is something I wish I had known before raiding my 401K in a desperate effort to avoid BK. I cashed in my 401K, paid hefty taxes on that, paid bills with the proceeds, and STILL had to file BK. Knowledge is power, and cashing in my 401K was possibly *the* most stupid thing I ever did in my life because of ignorance.

Why did your lawyer say to wait? And why are you depleting your 401K?

I have only 4000 dollars in my 401K and nothing in the bank. I don't have retirement savings or savings at all. I was being paid barely enough to live on for 10 years in an area where there are few jobs over 8-9 bucks an hour unless you are a doctor or a few other things. I couldn't afford to drive to another town, or rent a truck to move out. My 401k is not enough to live off of. It is enough to pay basic bills for a few months while I try to get a job. Otherwise, I have no money and will be without lights, water, heat, or food in one month. Not enough time to find a job around here.

I would still need to file BK, and lose the house. Being fired pretty much sealed my fate.

The lawyer said wait because I do not have any health insurance. If I file now and break my leg, without a job or health insurance, I will never get out of debt.

Thats why.

[epiphany]

I have only 4000 dollars in my 401K and nothing in the bank. I don't have retirement savings or savings at all. I was being paid barely enough to live on for 10 years in an area where there are few jobs over 8-9 bucks an hour unless you are a doctor or a few other things. I couldn't afford to drive to another town, or rent a truck to move out. My 401k is not enough to live off of. It is enough to pay basic bills for a few months while I try to get a job. Otherwise, I have no money and will be without lights, water, heat, or food in one month. Not enough time to find a job around here.

I would still need to file BK, and lose the house. Being fired pretty much sealed my fate.

The lawyer said wait because I do not have any health insurance. If I file now and break my leg, without a job or health insurance, I will never get out of debt.

Thats why.

Well that certainly sounds like a crap shoot, damned if you do, damned if you don't. BUT, you just lost your job so you don't have any health insurance right now. You have no idea when you are going to get another job, correct? And you have no idea whether or not that job will even offer health insurance?

I think in your shoes I would push the bk through asap. It doesn't seem like you have much choice from your history.

However, if you are anticipating "breaking a leg" (do you have health problems that could pose a problem?) then maybe you should wait. Tough call and sorry I am not more help.

PS--I have about a half dozen unfinished books milling around here so I can totally relate.

ep

[BigJohn]

I don't know if this will help, but I have a book about ready to be published. In my case, it will be self published. From what I have seen, it is very difficult for first time authors to get their work published unless they self publish themselves. Even self publishing opens up another can of worms. One problem is how to distribute the book. As for me, I once did own a newspaper. It was published once a month and consisted of 2 sections both totaling 48 page - tabloid size. For me, it was a lot of work with very little income to put into my pocket.