How do I calculate my disposable income for Chapter 13 Bankruptcy?

Calculating your disposable income when filing for Chapter 13 bankruptcy in California can be complicated. The first step is to determine your average monthly income for the six-month period prior to the filing. This includes any income you may have received from employment, investments, or other sources. You should also include any tax refunds received during this period. Next, you will need to subtract your reasonable monthly expenses from your average monthly income. Reasonable monthly expenses include necessary items such as rent or mortgage payments, food, utilities, clothing, medical costs, insurance premiums, and transportation costs. You can also deduct any amounts that were paid as alimony or child support during the six-month period. The final step is to subtract the amount of priority debts from your disposable income. Priority debts are debts that must be paid in full under Chapter 13, such as certain taxes and back child support. Once you have completed all of the steps above, you will have calculated your disposable income for Chapter 13 bankruptcy in California. Remember to save records of your income and expenses, as you will need them throughout the bankruptcy process.

Related FAQs

What is the means test for filing Chapter 13 Bankruptcy?
Who is eligible for Chapter 13 Bankruptcy?
What are the consequences of not attending a court hearing in Chapter 13 Bankruptcy?
What assets may I keep when filing Chapter 13 Bankruptcy?
What happens at my creditors meeting during Chapter 13 Bankruptcy?
What is the Chapter 13 Bankruptcy repayment plan?
How long does it take to complete a Chapter 13 Bankruptcy?
What is an automatic stay under Chapter 13 Bankruptcy?
What is a creditor’s proof of claim in Chapter 13 Bankruptcy?
What are the requirements for filing Chapter 13 Bankruptcy?

How do I calculate my disposable income for Chapter 13 Bankruptcy?

Related FAQs

Related Blog Posts