Will they take my all of my bonus ?

[Scoutitout]

I'm about to file. Because I'm over the median income level, I must use the national standards for my form 22C. My expenses are actually much less and I'm hoping the trustee will confirm despite the fact that my disposable income is not as high under the 22C as it really is. I'm hoping to only pay off priority debt (taxes) and a small secured debt (car). I understand that there are cases where 0% goes to the remaining creditors.

My question is, will they automatically take all of my yearly bonus every year for the next 5 years? If so, that would put substantial money to remaining creditors (probably to the tune of $25K).

This is my debt and I'm responsible for it - just wondering if they will take it all.

[optimistic1]

If you have bonuses that are that high, you can almost expect the trustee to take them, but you never know.

[falken]

Your district may operate differently, but in mine you need to take any bonus and average them out in your plan payment.

If your DMI is $300/mo and you get a $1200/year(average) bonus, then your payment is $400/mo.

[Scoutitout]

How do I average out for a bonus I don't know I will receive? I won't have any idea until I get it, if I even do, or how much it would be. Part of me thinks I should just tell my employer not to bother giving me one.

[falken]

Have you gotten any in the past? If so, you will need to use them as an average.

My quartley bonus added $300/mo to my payment, and the bonus went way down right after that.

If you haven't gotten any yet and don't know how much they will be then I wouldn't mark anything down and just report it if/when you get one.

I had thought about saying I didn't want a bonus either, but I found some verbage about requireing income you are entitled to get. Meaning you need to claim it if you are allowed to get it and simply decide not to.

[detroit9]

Are you filing or with an attny?

Counter to what has been said here I did not have my bonus included and likely for future years there will be no effect as long as future bonuses don't go up much- no chance of that.

This may be a case where lots of different facts and timing, etc can have an effect.

[Scoutitout]

I have received bonuses for the last three years although my employer is unsure about the upcoming year as we have been quite slow. The more I think about this the less I like the sound of giving up this money in the 13. I am going rethink whether or not a 13 is for me afterall. It might be better to let the IRS garnish my wages and then pay them off with the bonuses!

[aa06a47]

Depends on trustee. Some trustees allow you to keep partial windfalls, others want it all. Chances are, most will have to be given to trustee. I would handle it on a bonus by bonus basis. I received one the first year I was in the plan. It was less than 1K. I asked my attorney about it and she checked and said keep it. (I had a couple of expenses I needed extra cash for and it might have been why the trustee allowed me to keep it).