Means test question..

[Rob517]

I'm taking the means test and I have a question about a certain area where it calculates the exemptions. I'm in michigan and it automatically fills in the exemption amounts for the utilities, auto expenses and rent/mortgage area with its own IRS values. I cannot change these. Is that what its supposed to do? Do I not have to specify my true costs each month?

If I'm doing it correctly I am coming up -433 dollars a month. My work pays most of my health care costs but I do pay some. Do I enter those in the health care expenses line or is that like Rx/Doctor visit costs each month?

Thanks.

[OhioFiler]

The means test uses IRS standards. Your ACTUAL expenses are listed on Schedule J.

[lrprn]

I'm taking the means test and I have a question about a certain area where it calculates the exemptions. I'm in michigan and it automatically fills in the exemption amounts for the utilities, auto expenses and rent/mortgage area with its own IRS values. I cannot change these. Is that what its supposed to do? Do I not have to specify my true costs each month?

Yes. These figures are required on the Means Test because they are mandated by the current bankruptcy law.

If I'm doing it correctly I am coming up -433 dollars a month.

Due to differences between the bankrupcty districts in case law decisions and court and trustee customs, the only way to know with certainty how you come out on the Means Test and Schedules is to have an experienced bk lawyer familiar with both to filll the Means Test and Schedules out. If you show negative disposable income on both the Means Test and the Schedules, then you can file Ch 7.

Just curious....when you add up your income from all sources over the last six calendar months (February through July 2009) and then add that income to your spouse's (if you have one and if the spouse is filing with you), does that total below your state's median income on this table? http://www.usdoj.gov/ust/eo/bapcpa/2...come_table.htm If it does, then it's very likely you qualify to file Ch 7. Even if your figure is over, depending on how the entire Means Test and Schedules come out still may be able to file Ch 7.

My work pays most of my health care costs but I do pay some. Do I enter those in the health care expenses line or is that like Rx/Doctor visit costs each month?

I'm not sure which 'health care expenses' line you're referring to.

On the Means Test, Line 19B the IRS national standards for out-of-pocket health care are entered split by over and under age 65. Those figures are here - http://www.usdoj.gov/ust/eo/bapcpa/2...healthcare.htm

Line 31 states, "Other Necessary Expenses: health care. Enter the total average monthly amount that you actually expend on health care that is required for the health and welfare of yourself or your dependents, that is not reimbursed by insurance or paid by a health savings account, and that is in excess of the amount entered in Line 19B. Do not include payments for health insurance or health savings accounts listed in Line 34." This is where prescriptions, doctor's visits, etc. - any healthcare costs *not* reimbursed by insurance or HSA - are entered.

Line 34 is where your health insurance, disability insurance, and health savings account amounts are entered.

You can also add any health-related expenses not captured by the other lines in Part VII Additional Expense Claims.