Is there such a thing as making too much to qualify for chapter 7 or 13 bankruptcy? 35 Answers as of April 30, 2013

I am single and have $73,000 yearly income.

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Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
It is possible to make too much money and have too much disposable income to file for Chapter 7.
Answer Applies to: Indiana
Replied: 4/30/2013
Mauritz Van Niekerk, Attorneys at Law
Mauritz Van Niekerk, Attorneys at Law | Christiaan van Niekerk
Yes absolutely call the means test.
Answer Applies to: New York
Replied: 4/29/2013
Philip R. Boardman, Attorney at Law
Philip R. Boardman, Attorney at Law | Phil Boardman
You probably make too much to qualify for a chapter 7. You will probably have to file a Chapter 13.
Answer Applies to: Virginia
Replied: 4/25/2013
Ray Fisher Law Offices
Ray Fisher Law Offices | Ray Fisher
It is possible to make too much to file chapter 7, and you may be there. It is not possible to make too much to file chapter 13. Talk to a lawyer about this.
Answer Applies to: Texas
Replied: 4/25/2013
Wasson & Thornhill
Wasson & Thornhill | Leeann Thornill
Yes, there is an income limit, but there are various issues that come into play - it is not solely based on your gross income.
Answer Applies to: Kentucky
Replied: 4/24/2013
    The Law Office of M Grater LLC
    The Law Office of M Grater LLC | Mark O. Grater
    As a single person in your household, $73000 would be too much if you live alone, unless you have extraordinary high expenses not counting the credit card debt.
    Answer Applies to: Connecticut
    Replied: 4/24/2013
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    You will most likely need a ch13 as you make too much money for a ch7. That might change, based on your secured debt. You need to see a good lawyer.
    Answer Applies to: California
    Replied: 4/24/2013
    Heineman Law Office
    Heineman Law Office | Jeff Heineman
    No, how much you make does not, by itself, prohibit you from filing a Chapter 7 or 13.
    Answer Applies to: Idaho
    Replied: 4/24/2013
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    There is no income limit but you must be legally or equitably bankrupt under the law. You should make and appoint with an attorney and discuss your situation.
    Answer Applies to: Michigan
    Replied: 4/24/2013
    Underwood & Riemer, P.C.
    Underwood & Riemer, P.C. | James D. Patterson
    Yes - there is the means test calculation for each state. In Alabama, a single individual making around $40K or less would "generally" qualify for Chapter 7, income wise. So, it appears that you are indeed above the means test calculation and would not qualify for Chapter 7 bankruptcy. You should contact a local bankruptcy attorney and discuss.
    Answer Applies to: Alabama
    Replied: 4/24/2013
    Troutman & Napier
    Troutman & Napier | Gregory A. Napier
    Yes, you must pass a means test in order to do a Chapter 7. This test compares you income minus certain allowed deductions to the median income for your family size in the region in which you live. If you live in Kentucky, your income makes it unlikely that you could do a Chapter 7, though you should consult an attorney to look at any exceptions and deductions you may be eligible to take. You can always consider a Chapter 13 as long as you have income.
    Answer Applies to: Kentucky
    Replied: 4/24/2013
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Yes, there is a threshold income and if you make too much then you have to take an additional income test to qualify, called the means test.
    Answer Applies to: New York
    Replied: 4/24/2013
    Weber & Phillips, P.A.
    Weber & Phillips, P.A. | John G. Phillips
    You can make too much to qualify for Chapter 7. There is a debt "ceiling" for Chapter 13 but no income "ceiling" so you can file for Chapter 13 no matter how much you earn.
    Answer Applies to: Arkansas
    Replied: 4/24/2013
    SmithMarco, P.C.
    SmithMarco, P.C. | Larry P. Smith
    No, your income should not matter. If your debts are so high such that they cannot be paid despite your income, then you would qualify.
    Answer Applies to: Illinois
    Replied: 4/24/2013
    Reger Rizzo & Darnall LLP | Kathleen DeLacy
    Yes but if expenses exceed income there may be grounds to rebut that presumption
    Answer Applies to: Delaware
    Replied: 4/24/2013
    Gregory J. Wald, Attorney at Law
    Gregory J. Wald, Attorney at Law | Gregory J. Wald
    It is possible to make too much to file Chapter 7, but it is not possible to make too much to file Chapter 13. The income limits for Chapter 7 increase with the number of members of your household and your dependents, and also depend to some degree on your living expenses. There are no income limits for Chapter 13.
    Answer Applies to: Minnesota
    Replied: 4/24/2013
    Davis Law SC | D. Nathan Davis
    There is no such thing as making too much money to file a Chapter 13 or a Chapter 7. If you make too much money, taking into account your bills, then you may not be able to receive a discharge in a Chapter 7 case. In a Chapter 13 case, you may be paying so much to your creditors that the creditors will be paid in full. Even if that occurs, in many situations creditors will not receive interest or late charges while being paid. Your situation is one I see often. You make a lot of money, but, you are still struggling with your bills. If you were not struggling, you would not be asking this question. You need to contact an attorney who can review your situation and advise you if bankruptcy can help you getting your finances under control.
    Answer Applies to: South Carolina
    Replied: 4/24/2013
    The Law Offices of Kristy Qiu
    The Law Offices of Kristy Qiu | Mengjun Qiu
    Yes, there is a qualification test, or means test for Chapter 7, and you make too much to qualify for Chapter 7 in any state (assuming that you don't have any dependent). Anybody can qualify for a Chapter 13, as long as his or her debt is not over the jurisdictional debt limit, or if it's over, as long as nobody objects. The monthly payment for Chapter 13 is based on your disposable income, or your nonexempt assets. I urge that you speak to an attorney, as Chapter 13 can be rather complicated.
    Answer Applies to: Florida
    Replied: 4/24/2013
    Bankruptcy Law office of Bill Rubendall
    Bankruptcy Law office of Bill Rubendall | William M. Rubendall
    There is a means test to qualify for chapter 7. If you don't qualify you can file chapter 13.
    Answer Applies to: California
    Replied: 4/24/2013
    Moffa & Bonacquisti, P.A.
    Moffa & Bonacquisti, P.A. | John A. Moffa
    There is a complicated Means Test to see if you qualify for Chapter 7 which looks first at the type of debt (consumer vs. non-consumer). Then looks at income, then looks at the payments you make that are to secured creditors. Your yearly income is a part of that calculation. You are over the median income for a family of one (assuming you have no dependents), but that does not determine whether you qualify for Chapter 7, it is only one consideration.
    Answer Applies to: Florida
    Replied: 4/24/2013
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    If you have enough of the allowed deductions to qualify, you may still be eligible to file Chapter 7 even though your income is substantially more than the median amount. Going through the deductions can be a time consuming and complicated process so I would urge you to consult with a local bankruptcy attorney for more specific advice.
    Answer Applies to: Nevada
    Replied: 4/24/2013
    Law Office of Stuart M. Nachbar, P.C.
    Law Office of Stuart M. Nachbar, P.C. | Stuart M. Nachbar
    Since 2005 the federal government instituted the Means test in the bankruptcy code. In NJ, 73000 yearly income, is over the median income. You would need to be in a chapter 13.
    Answer Applies to: New Jersey
    Replied: 4/24/2013
    Stephens Gourley & Bywater | David A. Stephens
    You can make too much to qualify for chapter 7. You cannot make to much to qualify for Chapter 13. However, there are debt limits to chapter 13.
    Answer Applies to: Nevada
    Replied: 4/24/2013
    Stittleburg Law Office
    Stittleburg Law Office | Bernd Stittleburg
    Yes, there is such. If you make too much income, you may be precluded from filing a Chapter 7 case, however you could look at a Chapter 13 to solve your financial problems.
    Answer Applies to: Georgia
    Replied: 4/24/2013
    Law Offices of Joseph A. Mannis
    Law Offices of Joseph A. Mannis | Todd Mannis
    Yes, but it depends on what your expenses are as well. Without seeing those, and getting a full picture, it is impossible to tell you what Chapter better suits you. Advice: see an experienced bankruptcy attorney who can go over this with you. Most of the time, our consultations are free - mine always are.
    Answer Applies to: California
    Replied: 4/24/2013
    Steele, George, Schofield & Ramos, LLP
    Steele, George, Schofield & Ramos, LLP | Alan E. Ramos
    You may not qualify for Chapter 7 (as you are over the median income), meaning that you would have to file Chapter 13. However, a complete analysis must be done to make the final determination. The "qualification" for Chapter 13 is not income, but is maximum debt limits: $383,175 in unsecured debt and $1,149.525 in secured debt. If your debts exceed those limits, you would have to file Chapter 11.
    Answer Applies to: California
    Replied: 4/24/2013
    Danville Law Group | Scott Jordan
    Yes there is. Whether you qualify for a Chapter 7 or not depends on your income versus your expenses based on the Means Test. To determine whether you qualify, I would need more information to make the analysis, including your monthly living expenses. If you do not qualify for a Chapter 7, you would most likely qualify for a Chapter 13 bankruptcy, which is based on the amount of debt, both secured and unsecured. If you would like me to complete a free analysis, please feel free to call me to discuss.
    Answer Applies to: California
    Replied: 4/24/2013
    Law Office of D.L. Drain, P.A.
    Law Office of D.L. Drain, P.A. | Diane L. Drain
    Yes, but there are several factors that play into choosing between a 7 and 13. Please understand that filing for bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step.
    Answer Applies to: Arizona
    Replied: 4/24/2013
    Law Offices of Bill N. Jacob
    Law Offices of Bill N. Jacob | Bill N. Jacob
    The "means test" determines whether you can file a 7 or if your gross income for the 6 month period prior to filing is above the State median income average for your size family then you may be compelled to file a 13.
    Answer Applies to: Massachusetts
    Replied: 4/24/2013
    Bordeaux Law, P.C.
    Bordeaux Law, P.C. | Clifford Bordeaux
    You might make too much income to qualify to file Chapter 7 bankruptcy without a "presumption of abuse" arising. Your income would not be a problem for Chapter 13.
    Answer Applies to: California
    Replied: 4/24/2013
    Roya Rohani | Roya Rohani
    Yes there is for Chapter 7 however just the gross income is not the only determinitive factor, mortgage payments and some other expenses will come in play. Chapter 13's qualifications are based on amount of secured and unsecured debts.
    Answer Applies to: California
    Replied: 4/24/2013
    Deborah F Bowinski, Attorney & Counselor at Law | Debby Bowinski
    You may, or may not, be able to file a chapter 7 bankruptcy. It will depend on where you live and what type of secured debts and other expenses you have, but it is likely that you earn too much money to easily file a chapter 7. You should consult with an experienced bankruptcy attorney who filed both 7s and 13s to evaluate your options.
    Answer Applies to: Colorado
    Replied: 4/24/2013
    Law Office of L. Paul Zahn
    Law Office of L. Paul Zahn | Paul Zahn
    There is a requirement for chapter 7 that you cannot make more than a certain amount based upon how many dependents you have. Based upon your stated income, I don't believe you would qualify for a chapter 7 filing.
    Answer Applies to: California
    Replied: 4/24/2013
    Charles Schneider, P.C.
    Charles Schneider, P.C. | Charles J. Schneider
    Yes for a chapter 7 you may not qualify if you are above the annual median income for your size household.
    Answer Applies to: Michigan
    Replied: 4/24/2013
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