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Confused about wages after bk filing

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    Confused about wages after bk filing

    Hi,
    Per CA system 2 exemption, wages are not exempt. What happens to the paycheck after filing ch7? Can I spend the money? Or is it part of my bk estate?
    Thanks,
    Jennifer

    #2
    Hi Jennifer,

    The paycheck in between is the problem.....

    Wages you earned before filing & were paid & spent already, not a problem

    Wages you earned before filing, but haven't been paid for yet, become part of the BK estate.

    Wages you earn after filing, yours to keep

    Wages aren't exempt in CA-system 2, but you have a wildcard of $1100 plus unused homestead exemption.

    I suspect that most trustees aren't going to look at regular wages, esp a weeks worth. I can remember 1 post about someone needing to exempt wages on the forum, it must not be a very common problem......

    Hope this helps,

    Tom in Colo
    Ch7 filed 5/12/2010.....341 meeting 6/30/2010....report of no distribution 8/15/2010.....discharged 10/01/2010.....closed 11/09/2010

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