Can I Afford Bankruptcy

Can I Afford Bankruptcy

Since October 2005, the United States Bankruptcy Code was changed to include a limitation on how much money a person could make in order for them to qualify to file a Chapter 7 bankruptcy. The amount you can make is set forth as a yearly amount. Government screw up again, don't you know.
The current amounts can be found at:
1. The Evil Empire (mistakenly called the Internal Revenue Service) actually sets the income amounts. Not the bankruptcy court or the United States Congress.
2. The income limit is actually never correct. Why? Because you can make more than the table says by including your necessary and allowed expenses. Just how much you can make varies from state to state.
3. You have to show by documentation from a third party just how much money you make every month. Such documents include pay stubs, monthly bank statements, unemployment compensation pay stubs, so forth.
4. The gross amount of income received has to be used and considered. Not just the net income.
5. Income received for bankruptcy purposes includes wages, credit card advances, loans, gifts, income from the sale of goods or services, inheritance money. Practically any new money that flows into your hands in a given month.