Calculation of Disposable Income

[had6010]

What is the name of your state? OH

I have asked several questions here and oyu have all been helpful so I thought I would spring another on you...

I am filing Chapter 7 next week and have been worried about the whole possibility of being forced into Chapter 13 if your dispoable income is too high. However, it dawned on me today that when I was trying to determine my disposable income and coming up with about $100 each month or a little less, I was not including my credit card payments because I haven't paid them in a few months (minimums of about $750/month). When a trustee looks for substantial abuse or calculates disposable income he will include the monthly expenses I list plus my secured debts as well as my student loan payments and credit card bills, even if I have not been paying the credit card bills, right? If so, I have nothing to worry about because that leaves my disposable income in the hole $600 or more. I know I am beyond broke but I was afraid it wouldn't look that way on paper if they don't include the debts I am not paying each month (i.e. credit card bills)

 

[angelic70]

disposable income

I am in Pa although I believe the rules for this are the same everywhere....you do not calculate your cc payments...as you will not have these if you are successfully discharged....But you will list your rent,utilities,food ,car,gas and stuff...school loan payments since from what i have read school loans can only be discharged under extreme hardship...Why don't you post some numbers and give us a chance to comment on them

 

[Ladynred]

Correct. You do NOT include payments for unsecured debts at all. What you deduct from your net income is your secured debt payments, your student loans, and all your NECESSARY living expenses, and don't leave any out ! Most people will seriously underestimate their true living expenses.

Try this expense calculator and see if your numbers come out any differently:

http://www.ca-bankruptcy-attorneys.com/calculators/expense_calculator.html

 

[me 2 mt]

I included living expenses such as dry cleaning, church donations, kids sports expenses, newspapers, pet supples, everything that I was used to paying every month but some would not think of as "necessary" living expenses. They were not questioned at all.

 

[had6010]

I used the link provided by ladynred and you all were right there were some items I missed. I am pretty sure I include dthese when I first spoke with my lawyer but I was able to print the shet out so I can take it with me when I go to see him next week to review my petition before I filed. After I included things like pet expenses, oil changes, gifts,and other small things I forgot about I ended up with a disposable income of about (-$350). That sounds more like how I am living!!! Thank you all for your help...I am sure my lawyer would have prodded me next week to get this additional stuff but I feel much better now...I knew I wasn't trying to abuse the process...now I can show it!
Wow, all those little things we pay for in life sure add up! Thank you!

Should I be concerned about my 341 meeting? should I expect to be asked how I got into debt and be grilled about my bank statements?