Schedules I / J / 22C - Please review and provide opinions

[FishersMike]

Okay I received my rough draft from attorney's office of the petition. I have made modifications. Please review my schedules and advise your opinions and if any suggestions on changes. Any help/advice would be appreciated.

SCHEDULE I:

INCOME:
Monthly Gross Wages: $3905.10
Estimated Monthly Overtime: $100.00
Subtotal: $4005.10

DEDUCTIONS:
Payroll Taxes and social security: $732.00
Insurance: 324.22
Other-
401k/Pension Deductions - 5 percent: $194.37
Subtotal of Payroll Deductions: $1250.59

TOTAL NET MONTHLY TAKE HOME PAY: $2754.51

Other Monthly Income-
Roommate: $600.00

COMBINED AVERAGE MONTHLY INCOME: $3354.51

SCHEDULE J:

Rent (all taxes/insurance included): $975.00
Electricity and heating fuel: $250.00
Water and Sewer: $35.00
Telephone: $39.00
Other-
Alarm System Monitoring $40.00
Cellular Phone: $80.00
Cable Television: $60.00
High Speed Internet: $60.00
Total Other Utility Expenses: $240.00
Home Maintenance: $40.00
Food: $250.00
Clothing: $50.00
Laundry and Dry Cleaning: $25.00
Medical and dental expenses: $120.00
Transportation (not car payments): $250.00
Recreation/Entertainment: $50.00
Charitable Contributions: $31.10
Auto Insurance: $80.00
Other-
Lawn Maintenance/Snow Removal $50.00 (can get Dr. note due to bad back if needed)
Personal Grooming: $75.00
Dog Food (1 Dog): $20.00
Cat Food & Litter (2 Cats): $20.00
Pet Maintenance Plans (Dog & Cat): $40.00
Total Other Expenses: $205.00

AVERAGE MONTHLY EXPENSES: $2640.10
AVERAGE MONTHLY INCOME: $3354.51
MONTHLY NET INCOME: $714.41

22C:

Gross Wages, salary, tips, bonuses, overtime, commissions: $3984.05
Amounts paid by another person or entity towards household expenses: $600.00
SUBTOTAL: $4584.05

Annualized current monthly income: $55008.60
Median Family Income Limit (IN & 1 person Household): $39487.00
** Over median, 5 year plan - Disposable income is determined **

CALCULATION OF DEDUCTIONS FROM INCOME:
National Standards: Food, apparel and services: $526.00
National Standards: Health Care (I am under 65): $60.00
Local Standards: Housing and utilities; non-mortgage expenses: $360.00
Local Standards: Housing and utilities; mortgage/rent expenses: $1149.00
Local Standards: Transportation; vehicle operation/public transportation: $210.00
Local Standards: Transportation ownership/lease expense; vehicle 1:
IRS Transportation Standards, Ownership Costs: $496.00
Average Monthly Payment for any debts secured by Vehicle 1: $373.18
NET Ownership/Lease Expense: $122.82
Other Necessary Expenses: Taxes: $732.00
Other Necessary Expense: Life Insurance: $13.50
Other Necessary Expense: Health Care: $60.00
Other Necessary Expense: Telecommunication Services: $100.00

TOTAL EXPENSES ALLOWED UNDER IRS STANDARDS: $3333.32

ADDITIONAL LIVING EXPENSE DEDUCTIONS:

Health Insurance: $164.86
Disability Insurance: $20.84
Health Savings Account: $125.00
SUBTOTAL: $310.70

Charitable Contributions: $31.10

TOTAL ADDITIONAL EXPENSES ALLOWED: $341.80

DEDUCTIONS FOR DEBT PAYMENT:

Chrysler for 2007 Jeep Commander: $373.18
<$19775.00 NADA Value / 60 months + 5% Till>

Payments on prepetition priority claims: $274.08
<Includes $17873.15 Taxes & $1998.65 Attorney Fees>

Qualified Retirement Deductions: $194.37
<Included only the 5% contributions and NOT the 401k Loans>

PROJECTED AVERAGE MONTHLY CHAPTER 13 PLAN PAYMENT: $647.26 (car, taxes, legal)
+ 9.10% = $58.90 Trustee Administrative Fee
TOTAL PAYMENT: $706.16

MONTHLY DISPOSABLE INCOME: $8.40

Okay alot of information, but figured with all you experts you can help with this. Obviously I want the Monthly Disposable Income to remain about the same, but can modify the Schedule J but if I move from one, need to add to another as the figures need to be above $706.16 I believe?? The plan payment I do not want to change as it is needed to pay the vehicle and IRS.

[Pandora]

All of those numbers were confusing the way you have them posted, so lets see if I have it straight.

Gross Income w/OT (you): $4005.10
Income from roommate: 600.00

Total income: $4605.10

Payroll deductions: $1250.59 (incl. health insurance of $324.22 and 401 of $194.37)

Net Monthly before expenses: $ 3354.51

Schedule J amounts / expenses: $2640.10

Then you have "additional living expenses" listed for total of $ 341.80 - (which is confusing because you're already claiming health expenses of $324.22 in your payroll deductions as well as an additional $120 in your Sch. J. Is the $341.80 in addition to the $324.22 in Payroll ded and the $120 in the Schedule J under Medical/Dental?)

If in addition to ... then I get:

3354.51 (net)- 2640.10 (expenses Sch. J) - 341.80 (additional expenses) = $372.62 DMI



But you still have to pay:

Chrysler for 2007 Jeep Commander: $373.18

Payments on pre-petition priority claims: $274.08


Totals: $647.26 required to pay plan, lawyer, trustee, secureds


Leaving you -$274.64


??????


Thats how its reading to me anyway. Take all income, deduct payroll taxes, insurance, etc to get net income and add in roommate's income to net = what you have left over to fund your plan to pay secureds and priority.

ETA: I missed something - are you calculating your trustee's fees of 9.10% only once? I dont believe that's correct - I believe they get paid their % each time they cut a check to pay your bills. Example: Our trustee just paid our attorney fees in full and our property taxes in full last week, this amounted to approximately $3700. Out of that, the trustee was paid roughly 7% ($259) for administering that payment. The amount can go down or up based on the $ paid out each time, or at least thats how its working for us, but the % stays the same.

Over the course of our plan, our trustee will get approximately $2500 or therebouts.

If your plan is taxes (17873.15), attorney fees (1998.65), car payment (373.18) and nothing else, that totals $39,646.80. Divide by 60 =$660.78 monthly payment.

[FishersMike]

Hi Pandora,

Sorry if how I put them in looked wrong. I wish I could have attached a PDF of the form from Best Case.

Based off Schedule I - my income with overtime and roommate is $4605.10 per month. Out of this I have payroll deductions of $1250.59 which does include my insurance (Dental and Medical), my Medical Savings account, and 401k deductions.

This leaves my NET income at $3354.51 per month.

My total deductions on Schedule J are $2640.10 which then leaves my complete NET take-home pay at: $714.41.

And yes I am claiming additional medical expenses in addition to insurance and Medical Savings Account as the MSA only pays my annual deductible and the additional I am using is for medication, etc.

As for the car the amount financed over 60 months with the 5% Till interest rate is actually $22390.00 by 60 months + $1998.65 attorney fees + $14445.95 taxes (secured portion I messed up above, sorry) = $38834.60 and divide by 60 = $647.24. I then input the 9.1 percent in Best Case and it made $58.90 a month in fees for a grand total of $706.16 plan payment.

This left DMI on 22c as $8.40 --

Sorry it was so confusing once again

[Pandora]

You're confusing your DMI Your DMI isnt $8.40 - its the $741.41 (gross - payroll deductions - expenses = DMI)

However - you still need to account for that additional health expenses. Add it to the expense deductions of $2640.10, so it would be a total of $2981.90. You still have to include your car payment of $373.18 as that is something you plan to keep, correct? Was it crammed down at all?

$2981.90 + 373.18 = $3355.08 total expenses.

Your net income (3354.51) minus your expenses (2981.90 w/out car) = $372.61 left over to pay car payment and anything else required in your Ch. 13 plan.

You're in the red already - you cannot pay your car payment as its more than what you have left over.

Unless I'm figuring it incorrectly... but the numbers I'm using are the numbers you provided, so how do you have a $600+ Ch. 13 plan if you are in the red?

[FishersMike]

The medical deducted already on J and the additional $60.00 on 22c since already get $60.00. I was advised DMI goes off the 22c. However even if goes off schedule J figures once you subtract plan payment it equals only a few bucks more than the 8.00 DMI anyway.

[Pandora]

Ok, maybe I'm confused then but you stated that the $344.80 was in addition to your payroll deduction of $324 as well as the $120, so that would bring your total medical to $788.80 per month - correct?

[FishersMike]

No the $321.00 is from payroll deductions on Schedule I. The $341.00 was breakdown on means test 22c so they are same but shown in different spots. On 22c it also has the charitable contributions in it. I am not double dipping if that's what you're thinking.

[Pandora]

LOL! No... I didnt think that at all (double dipping) .... as I said, I must've been reading it incorrectly (and I was obviously) since you had stated it was "in addition to". Now I understand what you're saying; its not an additional expense, its just that you did it separately on the forms.

I'm with ya now ;)

[Cristo]

The numbers all look pretty good to me. This is a good plan if you can afford it. It looks like you are claiming less than the IRS limits on the sch. J so you can show a viable plan. Looks like your attorney did a good job of making sure unsecureds get pretty much nothing and you only pay your car, taxes and attorney fees, which you would have to pay anyway. If you can live on the amounts you list you should come out pretty good at the end of your plan........provided I am reading this right.

If the taxes are less than 3 years old then they cannot be dismissed in a ch 7 or I would say try to get a 7.

[FishersMike]

Attorney hasn't seen these schedules yet. I did them all on my own in Best Case. My signing appointment is in about one hour.... hopefully I don't offend them. Can't do anything with Chapter 7 as I just recently filed returns and owe for 07/08/09 years. I wish though lol.

[Cristo]

Cool. Let us know how it goes. I think it's always best to do what you have done and try these things yourself so that you can have the best discussion with them. Don't worry about offending anyone, it's your future. My signing appointment took 3 hrs (and all next day to recover) but I'm glad I went through everything. good luck.

[FishersMike]

Thanks
They only advised would take an hour.

[HHM]

It appears your are double dipping the Car Payment on B-22. You took the IRS Ownership Cost and the Secured Debt Payment, that will not fly (this issue is in front of the Supreme Court right now). Or, at least the way you presented the numbers, it appears that way. You may need to "net out" the allowed out of pocket medical and the other medical expenses you claim.

Your schedule J is too tight in certain areas. Food is low. But, since you have to pay priority claims and secured debt, I guess there is a minimum payment you will need to make, so that makes sense.

[FishersMike]

Has something changed from October 15th that I am not aware of? Because to be honest I am 100 percent confused... and my attorney must be too.

The posts on the subject I thought was talked about on:

http://www.bkforum.com/showthread.php?63348-Cramdown-Questions-for-Auto-IRS-Issues-Too

And justbroke was saying the following:

When you cramdown the vehicles, you will get up to two allowances. First, there's the Ownership allowance. The national ownership allowance is $489 per vehicle. If your crammed down (or actual) payment is less than $489, then you get the difference as an additional allowance (on the Means Test). If it's more than $489, you'll probably get some trouble from the Trustee anyhow, but would be allowed to include the total payment on the Means Test.

First, in a Chapter 13, you'd probably be in a 60-month plan. You just take the balance of the car loan and divide by 60 (in a 5 year plan). So, $18K / 60 = $300. So your monthly payment plan would be $300 to the creditor. You'll get two credits towards your expenses. On the "Ownership" allowance, on Form B22C, you'll get $489-$300 = $189/month as an allowable expense. On Line 47, secured debt payments, you'll include the $300/month to the secured creditor! See how it works! Pretty cool stuff if you ask me. Additionally the $7K difference would be pooled with the other unsecured debt like your credit cards.

[FishersMike]

I got through the signing process. It will be filed on 11/10/10 as they do batch filing. Plan payment will be a little less than $720.00 total. Got to only pay 3.8 percent interest on vehicle as that is what original loan was for, otherwise he said he would have put in 4.25 percent. 0 money for un-secured.