Average expenses higher than income for this period

[stray]

My income is very seasonal. When I figured my expenses a month ago, I averaged the year for utilities, insurance and all regular expenses that were easily found in the bank statements. I estimated stuff like clothes, maintenance, etc.

We are filing in July and last month's income was worse than I thought. My 6-mo average income is less than my expenses. I am going over the final paperwork with my attorney tomorrow. Do I adjust my expenses to reflect only this past 6 months?

For example, I didn't end up paying 2 of my utility companies last month, they are working with me extending deadlines. So do I adjust the average monthly utility costs to reflect that I didn't pay in June?

Part of what is confusing me is the credit counseling course that I was required to take. They have you fill in all your monthly expenses and average income, working off annual averages. My filing paperwork will only be based on 6 mo income averages. They say the trustee gets a copy of my budget from this course, so I hesitate to change any expenses on my petition.

Thanks for the wealth of info, experiences and advice here.

[HHM]

I have never heard of a consumer counseling agency sending the trustee a copy of the budget. After all, this is a "pre-filing" course, they don't even know who your trustee will be. All that gets filed with your petition is the certificate of completion (sure, the trustee could "ask" for it, but that is rare).

There is no hard and fast rule on expenses (for schedule J). Just use actual expenses. Generally, if expenses vary, I recommend using a 12 month average.

[stray]

Thank you HHM. Yes, at the end of the course, there was a statement that the trustee would get a copy of my household budget. I thought that was weird. The attorney only cared about the certificate.

I did use 12 mo average for the expenses, so since my 6 mo average income is less this time of year the disposable income is -$75. Should I worry that it's a negative?

[HHM]

No need to worry, a minor negative is not an issue.

[tobee43]

No need to worry, a minor negative is not an issue.

our negative $2500 flew as well. (all due to job loss etc.)

just a note on the credit counseling course: we did ours on line (later finding out we paid at least 4 times as everyone else) our certification of completion was sent to the atty's office as course completed and then passed on to the trustees office. but it was JUST the cert of the completion of the course and not any of our responses to any of the questions asked of us. i do not believe that document is forwarded to anyone at the courts that i am aware of. things may have changed since i filed and OR your district may do things differently. i'm certain as hhm points out, it should be no problem.

[df04527]

I believe the statement at the end of the course was read into literally when it only meant that your trustee would get a copy of your budget via the normal schedules filed with your filing and not that it, the course itself, would send that to the trustee. No?

[stray]

Thanks HHM and tobee43. I signed the petition yesterday and my attorney said everything looked good, fluctuation in income & neg disposable income fine.

df, I'm almost positive it said budget, but maybe it was more like would be available. I'm not worried now anyway, what HHM said makes perfect sense. It just threw me "in the final hours."

We're filing today!