Plan payment scheduled for review in June

[jrippon]

My Ch 13 plan was confirmed Dec 14th. Part of my Schedule J expenses are for a maternity deductible for a new baby due in May. The trustee has asked to "review" my plan in June to remove this expense.

Will the trustee require all the same documents as when I initially filed? (6 months paystubs, bank account statements, bills etc) Will I need to file a new 22C, I & J or just I & J? The reason I ask is that I have the option to take additional contract work but will refuse if it will end up inflating my plan payment. I assume the trustee is less likely to take the money after June.

The answer may be district specific but any advice or experience is appreciated.

[newbie2]

You will probably have to fill out updated income & expense schedules. Your attorney will help you with this. One thing to note: Even though you will be losing the expense of the maternity deductible, you will be gaining the expense of the new baby. It could all be a wash. Congrats on the upcoming addition to your family!

[momofthree]

Have to agree with newbie here. You'll get to increase your expenses (clothing, food, medical, etc) to account for another person in the house. Also add in daycare expenses, which can be quite expensive, and the contract work may not increase your payment at all. If I were you, I'd fill out an I&J with those new figures and see where it puts you. Then add in the contract work to your schedule I and see if it makes a difference. Like Newbie said, it could be a wash. And in the meantime, it'd be some money you could tuck away into an emergency savings account, or use to buy necessary baby items.

Good luck and congrats on your upcoming addition to the family!

[jrippon]

Thanks newbie2 and momofthree! My attorney already factored in future expenses for the new baby because he wanted to avoid changing the plan later, but the trustee didn't like that idea. I plan on increasing my life insurance and will be able to show higher expenses in six months. After going over the numbers my payment will probably end up a few hundred dollars higher. We have really tightened our belts (nothing motivates like losing the credit card safety net) and in just three months since filing saved over $4000! I never thought I would see a balance so high in my bank account for at least a decade. This money is all going towards the new baby, but even with a higher plan payment at least I know we can make it work.