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

Calculating your disposable income for Chapter 13 Bankruptcy in Virginia is a multi-step process, which considers your income and expenses in different categories. To begin, your total monthly income should be determined. This includes wages, commission income, child support, Social Security and tax returns. Once you have the total monthly income figure, you must subtract out any necessary expenses as defined by the Bankruptcy Code. These expenses can include court-ordered payments like child support and alimony, taxes, and certain reasonable living expenses. Expenses vary greatly from person to person, but may include any necessary housing costs, transportation costs (including car payments), educational expenses, medical costs, and other necessities. Once you have subtracted out these necessary expenses from your monthly income, the remaining amount is considered your disposable income. This disposable income must then be paid to the bankruptcy trustee in order to be used to repay your creditors. It is important to note that the calculation of disposable income does not consider any secured payments, such as mortgage payments or car payments. Because of this, it is important to make sure to include all necessary expenses in your calculation in order to ensure that you are accurately representing your financial situation.

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

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