Living Expenses

[13in2010]

Maybe a dumb question, but is there any allotment at all for "recreation" when computing your living expenses in anticipation of a 13? In other words, do you get even a dime for a "time-out?" ;) But seriously, are you stuck with just living day-to-day and never being able to even see a movie or have a date night with your spouse? With 3 young children, that may be a deal-breaker. ;)

TIA.

[momofthree]

Yes, you are allowed a monthly "entertainment" expense, but I'm not sure how much you're allowed to claim. Our budget would only allow for $35, so that's all we claimed. We also found that, for us, the IRS standards were much higher than what we spend on food/clothing, so if we actually had room in our budget, we could have padded that category and had an extra $500-$600 a month easily. Unfortunately, our budget is so tight that we were having to find places to CUT expenses just to figure out how to fund a 13 (stripping a 2nd so can't go with ch.7). But for those with wiggle room, you may find that you can just budget tightly on groceries/clothing/transportation, etc and use the extra allowance towards savings, recreation, or whatever.

[TexasEx]

Yeah, its pretty much up to your trustee and how strict they are when it comes to your budget. In our budget we had $150 for pure "recreation" expenses which was not questioned at all.

On top of that we had padded all other areas so we thankfully have a very flexible budget (like momofthree said, we probably have as much as $600 a month of wiggle room). That will definitely pay for at least a couple of dates a month plus a few other small luxuries. In our situation (and everyone's is different) we found that our lifestyle changed very little from before the 13.

We spent a lot of time planning for it however so we knew exactly what to expect (almost a whole year before we actually filed). Not everyone has the advantage to plan it out however. Educate yourself on the process as much as possible before you file and keep asking questions in the forum. Wish you the best of luck.

[forgotten]

I was only able to claim $60/mo entertainment. Every district is different, however.

[13in2010]

Thanks everyone. That's a relief.

TexasEx - can you give me some examples of how you planned for your BK? That's exactly what I'm trying to do right now. I've asked DH to save all receipts for a month (and I am too) so that we can realistically figure out what we're spending, for one. As an example, I have no idea exactly what we spend on diapers, but I'm sure it's a nice chunk. Any advice you have would really help.

TIA!

[contemplate]

District Expenses Online?

This is a great thread. Can anyone share: is there a way to find out what your district allows for expenses? Is there a place to look online? Or can that info. only be provided by an attny? We haven't hired one yet. Thanks!
P.S. How do you even find out what district you are in? Thanks so much!

[TexasEx]

Here is where you find which district you are in: http://www.uscourts.gov/courtlinks/
As far as the expenses, I don't think many courts will tell you out right. Ask here for other people that are in your district. An attorney will be a much better source of specific information however since they will have filed plans and will know specifically what the trustee in your district will allow or not.

[bvolvo]

Maybe someone can answer this for me: I thought that the court determined your payment in a chapter 13. I do not recall seeing any line items on my forms that permitted entertainment, etc. All these lines are taken up by IRS mandated figures. Am I missing something?

[jange]

It is on the schedule J, line #9. My attorney put in $378. Our 341 is not until the end of March, so I hope the Trustee doesn't take it out.

[ednasouth]

I asked my attorney about this line today (line 9, sch J). Was hoping I could but my children's soccer and tumbling classes under that rather than un Educational Expenses where we had them and the TT objected. Mine has $50 for rec, clubs, newspapers, etc. He said that is the limit or standard. I guess for MS. I'm going to check with him again. That really seems low since a family membership to the YMCA down here is about 75+/month and that is one of the least expensive gyms/pools.