Avoiding the "three-paycheck month" in the past six-months income calcuation

[switch625]

I realized recently that because my paycheck schedule this year, (I'm paid biweekly) my three-paycheck months fall on January and August, which to my understanding means that I could have filed Ch 13 BK in August this year and had six months/twelve pay dates (February-July), instead of 13 pay dates (because a 3-paycheck month could be in the six-month period) to establish last six months income for the means test and DMI. I thought you couldn't avoid the three-paycheck month in determining last six months income because in my experience the 3-paycheck months is regularly every six months, but this year, it is seven months. Should I be kicking myself for not planning more carefully my filing date (I filed last Fall) or does it really matter in the end? I have the issue of making too much $$ to have qualified for Ch 7 on the means test for this to matter, but I'm thinking that my DMI would have been lower if I used Feb-July 2014 as my last six months income.

[frogger]

Should I be kicking myself for not planning more carefully my filing date (I filed last Fall) or does it really matter in the end?

No. What's done is done and you are several months into your financial freedom. You're that many more months closer to being done.

[LadyInTheRed]

Frogger is right. You will be done sooner than if you had waited, and there is no point in kicking yourself for what could have been.

That said and more for others reading this who have not yet filed, your plan payment should be based on your disposable income from Schedules I and J which are forward looking.

[TXskyblue]

Would it have made the difference in qualifying for a 7?

[switch625]

That said and more for others reading this who have not yet filed, your plan payment should be based on your disposable income from Schedules I and J which are forward looking.

But if your income as calculated on Form 22c is above the median for your state (and you fail the means test), don't have to use the DMI number derived from 22c and not from I and J to develop you Ch 13 Plan?

[BKAttyMI]

It does not matter how many paystubs you receive in one month. Let's say you earned gross paychecks of 100, 105 and 110 and you are paid bi-weekly. The average of those three paystubs is 105 x 26 bi-weekly pay periods in a year divided by twelve months for your means test and Schedule I. Receiving three paystubs in one month will not matter.

[LadyInTheRed]

But if your income as calculated on Form 22c is above the median for your state (and you fail the means test), don't have to use the DMI number derived from 22c and not from I and J to develop you Ch 13 Plan?

Not if there has been or will be a permanent and verifiable change in income and expenses or, in some situations, if the means test for some reason doesn't adequately reflect your true financial situation.