Are IRA accounts exempt in a bankruptcy filing? 32 Answers as of July 08, 2013

I have been paying into IRA account for 10 years now but I am going to file for bankruptcy. If they aren't exempt I might not file for bankruptcy.

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Breckenridge and Walton
Breckenridge and Walton | Alan D. Walton
Yes, exempt up to $1.1 Million plus. But if you cash them out you lose the exemption.
Answer Applies to: Michigan
Replied: 8/5/2011
Law Offices of Michael J. Berger
Law Offices of Michael J. Berger | Michael J. Berger
In general, IRAs are exempt in an amount reasonably necessary for the retirement needs of the debtor. To get specific advice for your situation, I recommend that you consult a certified specialist in bankruptcy law - me.
Answer Applies to: California
Replied: 7/15/2011
Ariano & Reppucci
Ariano & Reppucci | Chris Ariano
Fortunately IRA accounts are exempt as long as you have not made any irregular contributions. Please contact me if you would like to discuss further.
Answer Applies to: Arizona
Replied: 7/15/2011
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
They are exempt.
Answer Applies to: California
Replied: 7/15/2011
Eric J. Benzer, Attorney at Law
Eric J. Benzer, Attorney at Law | Eric Benzer
Often, they are.
Answer Applies to: Maryland
Replied: 7/14/2011
    Mercado & Hartung, PLLC
    Mercado & Hartung, PLLC | Christopher J. Mercado
    Most likely yes, retirement accounts are exempt. Every state has different exemption amts.
    Answer Applies to: Washington
    Replied: 7/14/2011
    Rosenberg & Press
    Rosenberg & Press | Max L. Rosenberg
    Yes,They are exempt.
    Answer Applies to: Connecticut
    Replied: 7/13/2011
    Bird & VanDyke, Inc.
    Bird & VanDyke, Inc. | David VanDyke
    Yes, genenerally all qualified retirements, (including IRA accounts), are exempt under the bankruptcy code with some limitations. If you have been contributing for 10 years you should seek out a professional to make sure you have not exceeded the exemption limits.
    Answer Applies to: California
    Replied: 7/13/2011
    Bankruptcy Law Center
    Bankruptcy Law Center | Bill Zurinskas
    IRA's are generally exempt under Colorado exemption law, but there are exceptions. See CRS 13-54102(s). Get a free initial consultation with an experienced bankruptcy attorney and make sure Colorado Exemptions apply to your case.
    Answer Applies to: Colorado
    Replied: 7/13/2011
    Law Office of J. Thomas Black, P.C.
    Law Office of J. Thomas Black, P.C. | J. Thomas Black
    Yes, here in Texas IRA accounts are exempt under Texas law. IRA accounts are also exempt if you choose the federal exemptions (we have a choice here in Texas), but the IRA exemption under the federal exemptions is currently limited to $1,171,650, except that amount may be increased "if the interests of justice so require." However, beware of inherited IRA's. If you inherit an IRA from someone other than your spouse, there are court cases holding that those are NOT exempt and subject to seizure by a bankruptcy trustee.
    Answer Applies to: Texas
    Replied: 7/13/2011
    Hines Law Offices
    Hines Law Offices | Holly H. Hines
    Typically IRAs are fully exempted. As long as you have not made contributions to it annually that exceed the limit per your annual income.
    Answer Applies to: Massachusetts
    Replied: 7/13/2011
    Law Offices of Joseph A. Mannis
    Law Offices of Joseph A. Mannis | Todd Mannis
    IRAs exempt, see 11 U.S.C. 522(b)(3)(c).
    Answer Applies to: California
    Replied: 7/8/2013
    Bankruptcy Law office of Bill Rubendall
    Bankruptcy Law office of Bill Rubendall | William M. Rubendall
    IRA's are exempt in a bankruptcy filing.
    Answer Applies to: California
    Replied: 7/13/2011
    Law Offices of John J. Ferry, Jr.
    Law Offices of John J. Ferry, Jr. | John J. Ferry, Jr.
    If the IRA is reasonably needed for retirement it will be exempt.
    Answer Applies to: Pennsylvania
    Replied: 7/13/2011
    Law Office of Raymond J. Dague, PLLC
    Law Office of Raymond J. Dague, PLLC | Raymond J. Dague
    I have always gotten IRAs exempt from bankruptcy in New York State, including ones with substantial balances. They are generally safe in a bankruptcy provided the payments into it were not made on the eve of bankruptcy to try to shelter an amount of money from the trustee which he could otherwise grab for the creditors.
    Answer Applies to: New York
    Replied: 7/13/2011
    Benson Law Firm
    Benson Law Firm | David Benson
    Section 522 of the Bankruptcy Code states: (n) For assets in individual retirement accounts described in section 408 or 408A of the Internal Revenue Code of 1986, other than a simplified employee pension under section 408(k) of such Code or a simple retirement account under section 408(p) of such Code, the aggregate value of such assets exempted under this section, without regard to amounts attributable to rollover contributions under section 402(c), 402(e)(6), 403(a)(4), 403(a)(5), and 403(b)(8) of the Internal Revenue Code of 1986, and earnings thereon, shall not exceed $1,000,000 in a case filed by a debtor who is an individual, except that such amount may be increased if the interests of justice so require.
    Answer Applies to: Ohio
    Replied: 7/13/2011
    The Law Office of Marvin Wolf
    The Law Office of Marvin Wolf | Marvin Wolf
    IRA accounts and most retirement accounts are generally considered exempt in bankruptcy by statute under Section 522(b)(2) and (d)(10) and (12). If you have a few million dollars in there, there could potentially be a good faith issue raised (not saying they would win), but most people don't have as much as that. Just make sure the IRA or retirement plan is ERISA qualified or falls under one of the specified sections of the Internal Revenue Code - ask your plan administrator. You don't have to walk out at the end of a bankruptcy totally broke - that defeats the concept of getting a "fresh start."
    Answer Applies to: New Jersey
    Replied: 7/13/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    IRA accounts up to 1 million dollars are exempt.
    Answer Applies to: California
    Replied: 7/13/2011
    Ursula G. Barrios Law
    Ursula G. Barrios Law | Guillermo Machado
    Up to $1M.
    Answer Applies to: California
    Replied: 7/4/2013
    Law Office of Lynnmarie A. Johnson
    Law Office of Lynnmarie A. Johnson | Lynnmarie Johnson
    IRA's are generally exempt when filing bankruptcy. (remember OJ Simpson, that's how he still has money).
    Answer Applies to: Michigan
    Replied: 7/13/2011
    Sentinel Law P.A.
    Sentinel Law P.A. | Joshua Cossey
    Yes, IRAs are typically exempt. This response does not create an attorney-client relationship. Unless you are already a client of Sentinel Law, P.A., pursuant to an executed attorney-client agreement, you should not use, interpret, or rely on this response as legal advice or opinion. Do not act on any information in this response without speaking to an attorney, as there may be details surrounding your situation that would give rise to further explanation or clarification.
    Answer Applies to: Florida
    Replied: 7/13/2011
    Apple Law Firm PLLC
    Apple Law Firm PLLC | David Goldman
    Generally IRA accounts are exempt. THere are exceptions to recent or unusual contributions or very large IRA's
    Answer Applies to: Florida
    Replied: 7/13/2011
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    Most but not all retirement accounts in Georgia are safe in a bankruptcy IF they are properly scheduled and exempted. This is not something you can analyze yourself. An attorney needs to get details, and, even assuming you can keep it, incorrectly scheduling and exempting it can be a problem. So your IRA likely is safe. Use a lawyer to make sure.
    Answer Applies to: Georgia
    Replied: 7/13/2011
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