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New Means Test Income Numbers Effective November 1, 2012

Means Test Numbers Illinois

Means Test Numbers

New Bankruptcy Means Test Income Numbers Effective November 1, 2012.

The new income numbers are used to complete the Means Test and determine whether or not a person qualifies to file Chapter 7 bankruptcy in Illinois and other states will be changing.

The United States Trustee Program has posted “Census Bureau Median Family Income By Family Size” figures that apply to bankruptcy cases filed on or after November 1, 2012.

The new annual median income figures for Illinois households are:

  • Single Person $46,500
  • 2 People  $58,647
  • 3 People $67,328
  • 4 People  $79,138
  • * Add $7,500 for each person in excess of 4

If your gross household income falls below the applicable numbers, you pass the Means Test and qualify for a Chapter 7 bankruptcy.

If your household income exceeds these figures, you may still qualify for Chapter 7 bankruptcy if you have enough allowable expense deductions to offset your above median income or if the projected amount of disposable income would pay less than 25% of your total unsecured debt.  Also, if your debt is primarily business debt then you do not even have to do the means test and automatically qualify for Chapter 7 bankruptcy.

A person who fails the Means Test and does not qualify to file Chapter 7 bankruptcy may choose to file a Chapter 13 bankruptcy instead.

You may also want to read:  Qualifying for Bankruptcy and Business Debt and the Means Test

by Bradley Covey

Plainfield Illinois Bankruptcy Attorney Bradley Covey - Bankruptcy: not a failure...A Fresh Start! Let Bradley Covey help you understand your bankruptcy options including Chapter 7 and Chapter 13 bankruptcy. Call Today A Fresh Start!
24014 W. Renwick Rd., Suite 105
Plainfield, IL
60544
US
Phone: (815) 609-0231
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About Bradley Covey

Bradley Covey is an Illinois bankruptcy attorney helping individuals and businesses file Chapter 7 bankruptcy and Chapter 13 bankruptcy in Kane County, DuPage County, Kendall County and Will County, Illinois. Brad attended SIU undergrad and NIU College of Law. Brad served in the military at Ft. Stewart, Georgia and Ft. Sill, Ok as a Field Artillery Officer. Brad later served in the Illinois National Guard as a Major.