The Means Test

The bankruptcy ‘Means Test’ is a way for the Court to compare your income and expenses with the averages for the number of people in a household and the median income in your region for that family size. If you are above median income there is a rebuttable presumption that you should be in a Ch.13 payment plan. The rebuttable factor is that you may have non-dischargeable debts (such as child support, taxes, etc.) that may actually leave you with no disposable income and thus eligible for a Ch.7 “Fresh Start” discharge.

DISCLAIMER: The materials available at this web site are for informational purposes only and not for the purpose of providing legal advice. You should contact an attorney to obtain advice with respect to any particular issue or problem. Use of and access to this Web site or any of the e-mail links contained within the site do not create an attorney-client relationship between this attorney and the reader.

Leave a Reply