Change in (take home) Income

[NewChanges4]

Based on gross income, my husband and I are well above the median income for a family of 3 in Georgia. However, our deductions for federal taxes was incorrect (not witholding enough) at the time of filing. Now that we have corrected this with our employer, our take home will decrease by anywhere between $600 and $1,700/mo (my income varies). When this happens, will it effect my DMI enough to the point of notifying my attorney? Will it effect my payments to the Trustee? Or will they tell me to suck it up and continue paying the same amount?

[lrprn]

...will it effect my DMI enough to the point of notifying my attorney?

You should always let your lawyer know if you are going to have a significant and long-lasting change in income, especially when the change is in a downward direction as yours is.

I hope that your trustee is one that allows changing withholdings after filing. Some don't. You need to talk about this with your lawyer as well.

Will it effect my payments to the Trustee? Or will they tell me to suck it up and continue paying the same amount?

Your confirmed Ch 13 payment will remain the same unless your lawyer files an amended Ch 13 plan that reflects your permanently changed income and your trustee agrees to the new plan.

You didn't mention if your plan has been confirmed yet. Has it?

[NewChanges4]

lrprn - Thanks! I am not yet confirmed. My attorney is taking care of objections from the 341 meeting. Confirmation hearing is on May 26th. I was advised that I did not need to be there for it, but a part of me is too nervous NOT to go! Is that crazy?

From what I overheard in the hallway about my trustee, he is the most lenient in my district. I guess we shall see once this gets underway.

[niko]

it's normal feeling, but you should go anyway. It will not only make you feel good but also make you understand how system works. Make sure your DMI is adjusted before confirmation.

[NewChanges4]

Thanks, niko! I'm going!

[lrprn]

Thanks, niko! I'm going!

It isn't necessary for you to attend your confirmation hearing. We did go to ours and I have to say that it's the most boring thing ever. We sat there for over an hour listening to case after case with the trustee and bk lawyers being all chummy and confirming most cases in less than a minute. Our confirmation was denied (which we knew would be happening already) - that took about 15 seconds longer than the confirmed cases did.

If you still think you want to attend, then let your attorney know your plans now. At least in our local court, we were announced to the courtroom as present with our lawyer and our names were added to the confirmation court records as well.