Reminder: April 1, 2022, federal exemptions are due for inflation adjustment!

[bornfree2]

Bankruptcy Dollar Amounts Set to Rise April 1, 2022, by a Significant Amount

Monday, February 28, 2022

Every three years on April 1, the dollar amounts in the Bankruptcy Code are adjusted to account for inflation. The April 1, 2022, increase will be nearly 11%, far greater than the approximately 6.2% increase three years ago....

This is not an april fools joke ;). The 3 year exemption adjustments are this friday. That means higher amounts. So if you are thinking of filing, perhaps consider doing so on/after that date.

edit: this are the new amounts

https://www.federalregister.gov/docu...ankruptcy-code

SUPPLEMENTARY INFORMATION:

Section 104 of title 11, United States Code, provides the mechanism for an automatic three-year adjustment of dollar amounts in certain sections of titles 11 and 28.

Notice is hereby given, pursuant to 11 U.S.C. 104(b), that the next such adjustment will occur on April 1, 2022.

Effective on that date, the dollar amounts in effect under sections 101(3), 101(18), 101(19A), 101(51D), 109(e), 303(b), 507(a), 522(d), 522(f)(3) and 522(f)(4), 522(n), 522(p), 522(q), 523(a)(2)(C), 541(b), 547(c)(9), 707(b), 1322(d), 1325(b), and 1326(b)(3) of title 11, and section 1409(b) of title 28, United States Code, are adjusted as set forth in the chart below to reflect the change in the Consumer Price Index for All Urban Consumers, published by the Department of Labor, for the 3-year period ending immediately before January 1, 2022, rounded to the nearest $25.

This adjustment does not apply with respect to cases commenced before April 1, 2022. Seven Official Bankruptcy Forms (106C, 107, 122A-2, 122C-2, 201, 207, and 410) and two Director's Forms (2000 and 2830) will also be amended to reflect these adjusted dollar amounts

[bornfree2]

justbroke can you drop some wisdom on this 3-year event? do other states follow suit with their exemptions or do they not pay heed to what federal exemption planner do?

[justbroke]

The States have their own laws and statutes. For example, Florida has barely touched their exemptions and they are not indexed to inflation. Federal bankruptcy law is nice that it has automatic provisions which adjust certain values based on inflation... and at a definite interval.

Remember, States can opt-in to allow the Federal exemption scheme. This normally allows the debtor to choose between the Federal scheme or the State scheme. Some States, such as Florida, do not allow the Federal exemptions. However, there are some Federal exemptions that apply regardless of State.

That's all I can say about that.