cash in bank question

[monkatom]

do you have to report the cash in the bank the day you file or when you have you're 341. If the dayyou file then do you have to plan with you'red attorney when they file to ensure as little money in account as possible?

[FreshLikeADaisy]

Monkatom, it's the day you file, and yes, you kind of want to plan ahead because you use your state's (wildcard, generally, if not specific to wage income) exemptions to cover that cash. I basically did my Schedules B & C based on what was in the bank minus the checks I had out, and then waited for them to clear before filing. Your atty can help you through this, but be aware that if you have $1000 in the bank the day you file, and $950 in checks waiting to clear, that's still $1000 that belongs to the bk estate unless you can exempt it. The outstanding checks don't matter, it's the balance on the day you file, just as if you'd never written a check. So make sure you minimize that and all your checks are cleared by the time you file. Many people use money orders to pay their bills just before filing, because then you don't have to wait on checks to clear. Good luck!!!

[One Half Full]

Yes, that's what I have started to do. Get my paycheck and use money orders, not checks. As far as I am concerned any cash now in the bank is sacrificial. I am about 1 month from filing (want to get my Income tax refund in and spent first).

[monkatom]

Thats what i thought so I will probably get teh bank to do cashiers checks or soemthing to ensure the money is gone on teh day of filling