Ramifications of Postponing a Paycheck so it Lands in the Next Month

[dshield53]

I have an hourly job that pays weekly every Friday. In order for me to get a paycheck though, I have to submit a timesheet on time. If I accidentally or purposefully submit a paycheck too late, I would get two paychecks the next week both with the same pay check date of that next week.
I plan to file Chapter 7 in December. I believe means that my six month income is calculated only from what was earned from June through November and based solely on check dates, not when the work was performed.
I am very close (razor thin margin) to the median income and my paychecks can fluctuate up and down a few hundred dollars each week.
If I find myself in a position where my last paycheck in November will put me over the median across six months, can I postpone that last November paycheck a week so that it shows up in December and is not counted towards the June to November income? I'm sure a trustee would catch on to the manuever, however would this stop me from filing in December and force me to wait until January, or would it just simply tick off the trustee or judge? Does anyone KNOW the ramifications/consequences?

[newbie2]

I have an hourly job that pays weekly every Friday. In order for me to get a paycheck though, I have to submit a timesheet on time. If I accidentally or purposefully submit a paycheck too late, I would get two paychecks the next week both with the same pay check date of that next week.
I plan to file Chapter 7 in December. I believe means that my six month income is calculated only from what was earned from June through November and based solely on check dates, not when the work was performed.
I am very close (razor thin margin) to the median income and my paychecks can fluctuate up and down a few hundred dollars each week.
If I find myself in a position where my last paycheck in November will put me over the median across six months, can I postpone that last November paycheck a week so that it shows up in December and is not counted towards the June to November income? I'm sure a trustee would catch on to the manuever, however would this stop me from filing in December and force me to wait until January, or would it just simply tick off the trustee or judge? Does anyone KNOW the ramifications/consequences?

More than likely the trustee (or your attorney) will want your latest paystubs and someone will surely notice the discrepancy. Whenever people try to maneuver it usually backfires.

Ramifications and consequences? Your bankruptcy could be dismissed for lack of good faith. You also have to answer one common question under oath to the trustee during your 341 meeting: "Is everything on your petition accurate?" Are you prepared to lie under oath??

[platter]

During the past six months, were there any instances where you had forgotten to submit the timesheet on time? If so, then this wouldn't be the first time.

[Freddy03]

Are you sure that being one week of pay would push you into a 13? I'm over the median by almost 10K and my attorney doesn't think we would have a problem with filing ch 7.

[newbie2]

During the past six months, were there any instances where you had forgotten to submit the timesheet on time? If so, then this wouldn't be the first time.

Oh goodness, it is still income earned during that period and the paycheck would have been issued if the timecard had been turned in. Everyones comfort level varies...mine rests on honesty and not trying to game the system.

[olivies]

Our trustee wanted to see 6 months of paystubs, plus the first paystub received after the filing date.
Just because you would be over the median, doesn't mean you wouldn't qualify for a 7.

[dshield53]

Of course the Trustee would notice. The question is whether it will stop me from filing that month or if I get off on the technicality.

The idea came up because I just recently did forget to fill out my time card and will be recieving two paychecks this week.

Newbie2, you may be on to something on the "lack of good faith thing". If anyone KNOWS (I mean a lawyer) I would love to hear the answer to that. As far as lying under oath, that is not in question. It is 100% truthful if the check date is in December and not in November. However, I would be happy to hear from someone who can correct me if I am wrong in believing that it doesn't matter when the work on the paystub is accomplished, it only matters what the date of the check is.

When the trustee sees that paycheck in December (he will and I know he will) can he really do anything about it? Nothing is being hidden, I'm just wondering if the technicality will work.

To respond to other queries, I'm not interested in Chapter 13 and I will not have enough expenses (not even remotely possible) to qualify for chapter 7 if I don't get under the median salary.

Please in responding to this thread state if you think you are right (because you're a smart person) or if you know you are right (because you're a lawyer)

[drowning123]

Yes, my attorney asked for my paystub after my filing date, so I produced 6 and a half months worth of pay stubs.

[Freddy03]

Of course the Trustee would notice. The question is whether it will stop me from filing that month or if I get off on the technicality.

Please in responding to this thread state if you think you are right (because you're a smart person) or if you know you are right (because you're a lawyer)

No one can really tell you if you would get off on a technicality. Every trustee is different.

And FYI: Lawyers are not always right....lol

[tcreegan]

Hi dashield,

When the trustee sees that paycheck in December (he will and I know he will) can he really do anything about it? Yeah

Nothing is being hidden, I'm just wondering if the technicality will work. No

Best case scenario: trustee then goes over all your case with a fine-tooth comb

Most likely scenario: trustee continues the 341 and asks you to amend your filing

Worst case scenario: trustee moves to dismiss your case

On top of all that, pre-petition wages earned, but not yet paid, belong to the BK estate unless you can exempt them.

As others have said, if you are within a paycheck of median-income, qualifying for a Ch 7 is a piece of cake...

Risk of trying to get in on a 'technicality' way too high for something unecessary in the end....

Tom in Colo