Bankruptcy Questions / Disposible Income

[LizzyLiz]

Washington / Chapter 7 bankruptcy

What is deducted from my income (IE: Taxes, Medical insurance, etc?) before my disposible income is figured)

How much disposible income am I allowed to file Chapter 7 (two married adults and 1 child in the household if that makes a difference)?\

Thanks!

[Ladynred]

Disposable income is your NET pay, less all normal living expenses plus payments on secured loans (car or mortgage), provided you intend to keep the collateral. What's left after all that is 'disposable'. Ideally you want to be as close to zero on disposable income as possible. If you're over $100.. it could be a problem.

[LizzyLiz]

Thanks, that helps alot.

So I presume that you fill out some worksheet on your imcome and expenses?

Do you have to provide pay stubs and bills (like electric etc) to show how much your daily living expenses are and how much you make?

Is cable TV and internet part of normal living expenses?

Sorry if my questions seem dumb, I haven't talked to an attorney but plan to on Monday, but I am stressing myself over this today and just wanted some immediate questions I have asked before I know if I can proceed.


Thanks again!

[Ladynred]

So I presume that you fill out some worksheet on your imcome and expenses?

Pretty much, yes. Most lawyers will give you a package of forms to fill out from which they will fill out your schedules. If I were you, pull as much of that together that you can BEFORE you go see a lawyer, the more prepared you are the better. They typically ask for the last 2 year's tax returns (verifies yearly income), recent pay stubs, and at least 1 month of bank statements. List out all your expenses (on a spreadsheet if you can do it). Take all your monthly bills, add up a year's worth and get an average monthly number. Best not to go to the lawyer with a shoebox full of bills, its quicker if you're organized up front.

Is cable TV and internet part of normal living expenses?

As long as the charges aren't excessive, most Trustee's won't question cable and internet any more. They don't consider cell phones a luxury any more either.

Sorry if my questions seem dumb,

They're not dumb questions Here's a link to an expense calculator you can use to help you out:
[url]http://www.ca-bankruptcy-attorneys.com/calculators/expense_calculator.html[/url]

[LizzyLiz]

That is a great calculator! Thank you so much!