How is My Plan Calculated?

[JimBK2009]

Hello,

I was working with the means test and it turns out i am $1600 over (above medium)

Now, on my schedule I and J it says I have $2000 extra each month after income and expenses.

So, would my plan payment be $1600 or $2000 (I have no assets, no secured property and no tax debt that would be paid in the plan. I am 100% unsecured debt - about $140k)

[lrprn]

I was working with the means test and it turns out i am $1600 over (above medium) Now, on my schedule I and J it says I have $2000 extra each month after income and expenses.

Filling in the B22C forms yourself is difficult because legal interpretations of the Ch 13 bk law remains quite inconsistent in some areas from court to court. Judges and trustees can interpret the bk law differently even within the same local court, so you really need to be familiar with the customs of your local bk judge, trustees, and also with prior case law decisions around Ch 13 in your local court and bk district.

In other words, any results you get completing the Means Test and Schedules yourself could really be off depending on what will fly in your local court. Your figures really aren't reliable.

Instead set up 3-4 free initial consultations with experienced bk lawyers in your area. The good ones can take an educated guess where you are going to fall (Ch 7 or Ch 13) after looking over your income and expenses. They also know how much "wiggle room" there is with the local Ch 13 trustee gives setting reasonable expenses so you can have a liveable 13 plan for five years. You'll also learn a lot about what possible problem areas (if any) you might have.

A filer's Ch 13 payment is going to be whatever disposable income (if any) over $100/month that they show on the Means Test and Schedules after a qualified Ch 13 attorney completes them. Anything under $100/month means the filer can file Ch 7.

[optimistic1]

It depends on how your local court interprets the bankruptcy law.

Typically, above median debtors will be paying out what the means test calculates, and the amount listed therein is what unsecured creditors are entitled to receive, your other debts, or non-exempt assets will be paid for seperately and this might increase your plan payment.