Medical Expenses

[loonzilla]

My wife's medical prescriptions have increased dramatically over the past three month's due to her MS; when I submit average medical costs per month to the lawyer, are they looking for past 6 months average or current charges that I've been paying recently and in the future? We were barely scraping by but the prescriptions have caused us to be extremely late in our payments to creditors and the calls are increasing. I've been asking around for options...using 401k or refinancing the home, but after calculating the numbers, both would only be temporary bandaids. We easily qualify for chapter 7 with the recent prescriptions per the means test...however, averaging the last 6 months places us barely above the threshold putting us in Chapter 13 land. Do I wait a couple months to file or will the lawyers take into account our recent and future medical costs when making calculations on what chapter to file? THanks for your help!!!

[lrprn]

Do I wait a couple months to file or will the lawyers take into account our recent and future medical costs when making calculations on what chapter to file? THanks for your help!!!

I'm sorry to hear about your wife's MS, loonzilla. I hope she responds to her medications and stabilizes soon.

Typically when living expenses, including prescription and other medical costs, are placed on the Mean Test's Schedule J, knowing that these newer costs are not going away in the future, you should be able to use your wife's current amounts. Explain to the lawyers you interview that there are likely to be more increases in the future as well. They should know what amount/month is acceptable to the trustees in your district and what will be questioned. If a trustee does ask for proof of higher-than-average medical expenses, then you will need to prove the current level of expenses. Keep all medical-related receipts somewhere safe just in case.

[ChainSmokin]

[loonzilla]

I wouldn't lose anything...yet. I have no car payments and I'm up to speed on the mortgage. Only things that would be neglected would be the CC payments. I was going to use the tax refund to help out with the medications over the next couple of months. So yes, I can get by over the next couple of months and I can live with the calls from the CC. Is advice to get around 5-6 months of medications receipts then file so no one could object to my high monthly medical costs? Thanks again...everyone has been wonderful on this board.

[ChainSmokin]

http://www.bkforum.com/showthread.php?t=11832

[loonzilla]

Appreciate the feedback, Chainsmokin...MS is hard to adjust to...at first I was mad at the wife for being lathargic...we've been in our area for over two years and she hadn't found work because of being tired all the time. That has taken a toll, for our lifestyle was adjusted for 2 incomes. But I learned more about the disease and my attitude toward her has changed 180 degrees...it wasn't her fault.
Dealing with a couple flareups, MRIs, the different prescriptions has really placed us in a bind...plus the fact that we are trying to have a child so the betaseron (spell right?) is not an option now. My hope for bk is to start fresh, budget to live on one income and never get in a situation like this again.
Again, thanks for the helpful words...