Trustee asking for Wife's expenses

[gophermn]

Hi all - quick question. I just got a email from my attorney asking what my wife pays toward household expenses. I am trying for CH7.

Below is a snapshot of what the Trustee sent my attorney.

"Please explain and send in documentation supporting the $xxxx.xx for marital deductions. Based on the debtors petition the only deduction I can come up with is the payroll deductions of $xxxx.xx taxes and 401k)."

Now this could be a tricky question, right? Does the Trustee want to see how much she is contributing. Example - her income is $2000/month and she is contributing $1600/month. Couldn't the Trustee look at it like "HEY THIS GUY HAS AN EXTRA $1600/month coming in"?

Or

Are they just trying to look at her income and wondering if she is keeping the $2000/month and not helping me with household expenses.

I am trying to read into the mind of the Trustee

My attorney said it was not a big deal (yea right). Do all Trustee's ask these type of questions when one files single - yet married?

[Teddy]

Did you include her $$ in your budget?

My attorney told me to include all of our money (I'm married but filing alone) when I did my budget.

I made it look like we spend all of our money, both incomes. He's on disability so that wasn't too hard.

[gophermn]

My attorney did include my wife's income on the petition. I am just not sure what the Trustee is wanting? To see how much money she is spending for household expenses? Or to see that she is not pocketing money.

I think I am reading into this too much considering my attorney said it's not a big deal, but I want to give the right answer and I am hoping some in here can give me good advice how I respond.
Thanks teddy!

[FreshLikeADaisy]

Gopher, I think it's a pretty common question actually. I know I had to answer it because I live with family, and I felt like I needed to make it clear on the schedules that I was not getting much in the way of cash. But if you can back up what part of your wife's money actually goes toward household expenses (in other words, back up what you put on the schedules) you shouldn't have any problem. Even if you can just say "she pays this, I pay that," it's better than nothing. But keep in mind that if you file separately in a non-community property state, the level to which they can make your spouse liable for your debts (or assets) is fairly limited. Good luck!!!

[gophermn]

So you think thats it - "not getting much in the way of cash."

Like I said this could go two ways:
1. Is my wife scraping every last dollar - hurting like me?
2. Because of her contributing to household expenses, she just can not afford to help me with my debt?

[FreshLikeADaisy]

Mmmm, I don't think it's about cash specifically, but more like the possibility that you're staying poor so your wife can stay "rich" (keep any assets and make sure you qualify for Ch7), so to speak. In my case, because I have no income, cash was an issue, and in fact the trustee asked about it at my 341. In your case, I think he's just trying to suss out whether you are hiding income or assets by way of your wife. Beyond that, I couldn't guess at the detail or what he might be looking at that raised his curiosity, but I'm sure you'll get through it fine: you were pretty determined to get your numbers as accurate as possible, if I remember correctly. Don't sweat it more than you can help. Good luck!!!

[gophermn]

Well talking with my attorney this morning he said basically this is a question he gets asked a lot (especially when one files separate – not joint).

They are looking to see where her money is going that IS NOT part of household items. Expenses only in her name (i.e. credit card, auto insurance, student loan, etc)..

I told him I will itemize her expenses the last 6 months and get this data from bank statements. This way if there is question I have nothing to hide. Thanks Daisy as this seems to be a basic question Trustee’s need to filter out. And I don’t blame them..