Category Archives: Bankruptcy and the Means Test

Means Test-Median Income Change April 1, 2016

The median income amounts for the means test change on April 1, 2016.  The figures for a Florida means test have a slight increase for household sizes of one and two and a slight decrease for household sizes of three and four. The median income in Florida for a household of 1 is now $ 43,136.00;  for a household of 2 is now $ 53,654.00;  for 3 is now $ 57,080.00; and for 4 is now $ 66,588.00.   The median income increases for each additional member of the household  $8400.00.00.

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Florida Means Test Changes Nov. 1, 2014

The Florida bankruptcy means test figures change again on November 1, 2014.  The median income figures both increase and decrease.  For a household of 1, there is a slight increase to $42,036.00;  for a household of 2, a slight decrease to $51,584.00;  for a household of 3, a large increase to $57,052.00;  and for a household of 4, a large increase to $66,461.00.  The median income increases an additional $8100 for each additional member of the household.  Overall, the median income figures have increased.  This means higher incomes will be considered as under median income for purposes of eligibility for chapter 7. (This also affects the length of the required fort lauderdale chapter 13 bankruptcy.  You can contact us to explain the “applicable commitment period” of 3 or 5 years.)

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Child Support Income and Bankruptcy

Child support income in bankruptcy can raise some tricky issues.  I recently posted a blog on social security and bankruptcy, and there are some related issues.  A recent case may help debtors in chapter 13 not to have to use their child support income. Child support income is included in the chapter 7 means test (unlike social security).  The child support income, together perhaps with other income, might show that the debtor is not eligible for chapter 7 (there is a presumption of abuse).  However, in chapter 13, child support income is deducted from the total income.  This could actually show that the chapter 13 means test would show that no payments are required in the chapter 13 though the chapter 7 means test would require a chapter 13. Bankruptcy attorneys must evaluate not only the means test income, but what I call the “real budget” as reflected on Schedule…
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