Great timing - I think my DH is getting a bonus and we are about to file

[lrprn]

ok...does anyone know...what happens if we get it after we file? and we use it to pay bills? what happens?

You are filing Ch 13. If the bonus money comes in before you file, that amount will be added to your six-month income lookback - not good.

If the bonus money comes in after you file, then you are supposed to notify your trustee about any significant additional money that comes in after filing through the life of your plan. Doesn't mean that it always happens - it's just what you are supposed to do.

if you guys have suggestions throw them at me. Lets assume he is getting the bonus in the 4-6 weeks...WHAT DO WE DO ???

Unfortunately our crystal balls aren't working any better than yours.....

In your situation, if the bonus is a considerable sum of money that will significantly impact your disposable income, then you pretty much have four options:

1. If the bonus arrive before you file, then you will have to delay filing for six months so the bonus falls off your six-month lookback.

2. If the bonus arrives the day you file (it's happened before), then it's going to make your hiked payment non-sustainable over the life of your plan. If that unfortunate thing happens, then your lawyer can appeal to your trustee that it's a one-time bonus and see if just turning it over will be ok. If your trustee won't agree, then you'll have to consider dismissing your 13 and waiting for the bonus to drop off your income to refile.

3. If the bonus arrives between filing and your 341 and your trustee asks you under oath if something has changed in your finances, you'll have to disclose it then or risk lying to the court. A bonus is easy to prove, so I wouldn't go there. Worst case scenario here is that you either surrender the bonus to your trustee, or you prove to the trustee that certain situations exist that require you keep the bonus and your trustee agrees.

4. If the bonus arrives after your 341, then it's going to show up on your tax returns for the year. If your trustee is one that wants tax returns every year of your plan, he/she can see the bonus at that time. Whether anything is done about the one-time bonus is really up to your trustee.

[indebt00]

lrprn....thanks for the help. I am going to just go forward and get this BK going....murphys law says DH won't get one anyway and I will have fretted for nothing.

I can't wait to finally file and get things really going.

We will disclose and be honest if anything happens...we will not jeopardize this life changing much needed event for a couple thousand dollars....you know?

thanks everyone...I will keep you posted. Its finally happening....