How many of you were over the median but still qualified?

[cleanslate01]

I'm just curious how common this is. We are over the median income - not by much - MAYBE $5000 depending on which 6 month period we are looking at. Just wondering how many of you guys were over the median but still qualified for Ch.7 because your disposable income was nonexistant.

Does this send up a red flag for the trustee or is it just passed through? Just wondering if this gets examined any closer. We're not hiding anything and the extra effort would be worth it to qualify for a 7 vs. a 13. Just want to brace myself.

Also, we owe on my student loan and back taxes to the IRS. Since we are on a payment plan with these, can I factor those into my expenses? They won't go away in a BK and they total $350 a month.

[Ann]

Have not filed yet but for my state (took an online means practice test) I was over on income by $2,000.00 but because of my expenses I had -$1,090.00 to give back to my creditors! Scary because that really tells you that even with the debt forgiven something has to give!!!

[ska]

We were about $30k over the median and qualified for chapter 7. It all depends on your expenses. You can include your taxes on the means test, but only what you owe divided by 60, which will give you your monthly expense allowed. As for student loans, no. I have them as well, but could not include them on the means test.

[jennordhavn]

I was over the median I think about $1800 and I filed pro se with no problems. I did not include my student loans in the means test, but did list them on Sched. J.

[liz417]

I was over the median by $21k, was able to include my student loan payments AND still qualified for a ch 7 without any red flags from the trustee It's all about expenses....
I must admit that I did have to consult with 6 BK attorneys before I found one that didn't automatically want to put me in a ch 13 because of my income.

Good Luck!

[catleg]

I guess the way to look at it is, they apply the means test semi-mechanically (there is some wiggle room), but really they need to see if there is money leftover each month to fund a repayment plan before they decide to force you into a 13. So for example, if you have a paid off house, you will be forced into a 13. If you have a heavily mortgaged house, heavily financed car, student loans, back taxes, and are $500 over the median you're more likely to get a 7.