Question Schedule J

[momof3b1g]

Do we list all expenses on schedule J? I see a place for food, clothing, mortgage, utilities etc. But what about internet, or other monthly paid things. Do you put that under entertainment? What should my total be compared to my take home pay? I don't want to much so they can make us do a ch13(which because of income i don't think they can) But don't want to much expenses it makes it look like we can't afford the basics plus the extras we have. (internet etc) Should there be any left over after expenses?

[Bandit]

You should know the totals allowed for your state and do not go over them. All they are really looking for is a basic budget.

I would try to budget it so your expenses leave you with no more than 100 dollars extra a month, if getting pushed into a 13 is a concern.

[momof3b1g]

You should know the totals allowed for your state and do not go over them. All they are really looking for is a basic budget.

I would try to budget it so your expenses leave you with no more than 100 dollars extra a month, if getting pushed into a 13 is a concern.

So can we put a portion into savings? What about all the extras kids need for school. With 4 kids there is always something coming up. Whats the best way to budget for the unexpected things?
Or where on Scedule J would these fall? Personally I would allow more then $100 after paying our bills.

[Bandit]

I would not have anything in savings if you want to do a 7. There are better ways to use it than that.

BK does not really allow for unexpected things so where your 4 kids are concerned, that is not the time to be frugal. Max your exemptions there if you need to. You are allowed so much for each dependent.

You might allow 100 a month extra for emergency but that does not mean a trustee will. What you want to do is make sure you level out your income so it is all spent each month. I know how stupid that sounds but in BK that is what they like to see.
I will have a look at my J when I get home. It sounds like you are doing this pro se? & maybe some others will pop in who have done pro se.

[momof3b1g]

Yea sounds like we have to have every penny accounted for. Do they question your expenses though? Or anything on their is ok? I started with the basics and there isn't much left as far as leftover $, and not all is accounted for(internet, cell phones etc) We are not filing ourselves but our attorney gave us the packet and said call if we have questions. I think alot of this will get filled out at our next appointment. But they didn't say much about it.

Oh I wanted to say we will not have any in savings. But for the expenses shouldn't we be putting money into a savings? Yea know smart budgeting. But i guess the trustee figure if you have money for savings, pay your creditors. Who cares if your car breaks down. URG!

[Bandit]

I see. I am glad you are using an attorney because he will be able to help balance the figures where you are not sure. I am also glad you are doing this on your own so you will know for sure why those numbers are what they are

One nice thing about this is, during mine, there were no questions asked about J. As long as you stay within the allowed exemptions they wont ask for proof. I know exactly what you are thinking here now- but I did not have to give one single receipt for expenses. They just want to see a basic budget ratio to income on those I & J.

On the contrary with income & assets, they want paystubs, taxes, bank statement, etc.
I suppose they may look at the outgoing bills on your bank statements, so if you pay 1,000 a month for the homestead, dont put 1,500.

It is an interesting balancing act for sure. You are correct about accounting for your pennies.

[Bandit]

Oh I wanted to say we will not have any in savings. But for the expenses shouldn't we be putting money into a savings? Yea know smart budgeting. But i guess the trustee figure if you have money for savings, pay your creditors. Who cares if your car breaks down. URG!

Your expense will go into a checking account. If you have to have a savings then do a 401K retirement or something they cannot get at.

The trustee wants your emergency money...dont give it to them. Smart budgeting would be using it for something you need monthly. The paperwork is temporary & is just to get you through the hoops.

& no, they dont care if your car breaks down...so get new winter tires now if you need them

[momof3b1g]

Thats true i can save after i'm discharged. Have to tell myself its just for the paperwork. Don't think logical til afterwards. LOL

[Bandit]

Thats true i can save after i'm discharged. Have to tell myself its just for the paperwork. Don't think logical til afterwards. LOL

I am busting a gutt. That is exactly right. You could always roll up a few bucks & do inny minny miny mo -misplace it for awhile. They only ask for what is in your pocket, not for what you lost

It is like a big teeter totter for a few months.
I have begun to realize that more than half of modern life is red tape & paper work.