In ch 7 and about to receive a large bonus

[Bk7LostHome]

I filed bk7 in late Oct 08, had meeting of creditors in late Dec 08. Soon to be discharged, but I will receive a large bonus (at least 10k after taxes) from my company for performance last year.

Gave up our home because lenders kept adjusting up, modifying up. So we said no and walked in Aug. Filed BK when they wouldn't foreclose.

Do I have to do anything? Report to someone? Or is it ours? We really need it to move back into a home rental and pay off the remaining unclaimed debt.

I live in California, if that helps. Thanks in advance.

[fltoo]

Hopefully, you can get your discharge before the bonus come in. Then, the bonus is yours to keep.

[cupcake]

I don't think it would matter whether the bonus comes before or after the discharge as you've already filed and had your creditor's meeting. It should be yours to keep one way or the other.

[SubPrimeME]

I don't think it would matter whether the bonus comes before or after the discharge as you've already filed and had your creditor's meeting. It should be yours to keep one way or the other.

NO- that's not true, the trustee can take that amount of money if he/she chooses. The best option is to try to make sure it falls into an exemption.

[cupcake]

My attorney told me that if I get a pay increase or bonus anytime after my creditor's meeting that it was not a concern as it is not an asset of the bankruptcy estate. I apologize if my information is wrong, I am just repeating what I was told by my attorney.

[OhioFiler]

The bottom of Schedule I reads

17. Describe any increase or decrease in income reasonably anticipated to occur within the year following the filing of this document.


If the bonus is anticipated I think you've got exposure.

[cupcake]

I searched and found several threads about receiving bonuses after filing and after the 341. Everyone has different opinions but most of them concur with what I said.

http://www.bkforum.com/showthread.php?t=22190&highlight=bonus

http://www.bkforum.com/showthread.php?t=25973&highlight=bonus

[CatsInTrouble]

and my attorney agrees with you too cupcake. This keeps coming up and coming up, and eventually it amounts to: your OK if it's after the 341.

As for that question on the 341, "do you expect a raise blah blha": well, raises and bonuses are not certain in this economy until they are in-hand. IMHO anyway.

[jessegirl]

My attorney says that the bonuses are yours to keep if it is after you file. The day you file is a snapshot of your monies.

A bonus usually is not guaranted, so you would NOT be anticipating that money when you were asked at your 341. Especially, the way times are now.

My attorney says that they cannot take money from you after you file unless it is a inhertiance.

I am just repeating the advice of my attorney.

[SubPrimeME]

Right, but the OP has not discharged yet, and I can tell you that the trustee was very interested in my bonus if I indeed got a bonus prior to the discharge. I agree after discharge they would have to have a strong reason to go after you.