Question Receipt of back child support 2 weeks before filing

[deweyndi]

New to this, have learned a lot just reading but now I need help.

Two weeks before filing I received a 5200.00(unexpected) Direct deposit for back child support. I was under the impression this would be exempt from BK but after reading up on it. I am unsure. My father said to take it out of the bank immediately, so I did. We used about two thousand to catch up on all our bills(utilities, rent, phone, etc.) and have three thousand left. My intentions for that money was that it would be my daughters, assumed I would keep getting it at 290.00 a month until paid in full. She turned 18 this month and I gave her the 3000.00 but now I am unsure if that was ok.

Do I need to ask for it back? She knows she has to use it for school or a car, I didn't give it to her to blow. But will the trustee ok this or will he ask for the money?

Thanks for any help.

[2Bshinyandnew]

New to this, have learned a lot just reading but now I need help.

Two weeks before filing I received a 5200.00(unexpected) Direct deposit for back child support. I was under the impression this would be exempt from BK but after reading up on it. I am unsure. My father said to take it out of the bank immediately, so I did. We used about two thousand to catch up on all our bills(utilities, rent, phone, etc.) and have three thousand left. My intentions for that money was that it would be my daughters, assumed I would keep getting it at 290.00 a month until paid in full. She turned 18 this month and I gave her the 3000.00 but now I am unsure if that was ok.

Do I need to ask for it back? She knows she has to use it for school or a car, I didn't give it to her to blow. But will the trustee ok this or will he ask for the money?Thanks for any help.

3. All monies received by or payable to a person entitled to receive child support or spousal maintenance pursuant to a court order.

All means All. Can't get more specific than that Check with a lawyer but, I think even back child support received after a child reaches the age of majority is exempt.

Are you filing pro-se or do you have an attorney?

[OhioFiler]

3. All monies received by or payable to a person entitled to receive child support or spousal maintenance pursuant to a court order.

All means All. Can't get more specific than that Check with a lawyer but, I think even back child support received after a child reaches the age of majority is exempt.

Are you filing pro-se or do you have an attorney?

It may be 100% exempt BUT it will count toward her average monthly income which affects her means test and schedule I.

[2Bshinyandnew]

It may be 100% exempt BUT it will count toward her average monthly income which affects her means test and schedule I.

[ShouldWeFile]

I am totally new to this so I am likely wrong, but since the monies were due to her at the rate of $290/mo could her attorney not present the divorce decree (or other court documents) stating that only $290/mo should count towards the last six months income. The rest was due to her from prior to that six month period?

Or is it more relevant when it was ACTUALLY paid, not when it was SUPPOSED to be paid...

[OhioFiler]

I am totally new to this so I am likely wrong, but since the monies were due to her at the rate of $290/mo could her attorney not present the divorce decree (or other court documents) stating that only $290/mo should count towards the last six months income. The rest was due to her from prior to that six month period?

Or is it more relevant when it was ACTUALLY paid, not when it was SUPPOSED to be paid...

The last six months. Period.

[deweyndi]

Thanks for all your help, I guess I will find out for sure at our 341 meeting. Seems wrong that they can count back support as income but I guess they will do what they want. Just would like to know why I received it out of the blue, talk about timing.

[Trixie007]

The last six months. Period.

I would say that there is no hard and fast rule on this issue that would remain true with every trustee across the country. Seems to me that they have a lot of discretion on how to count this. It's no different than with DH's travel reimbursement - some people think the trustee will count that as income, but our attorney assures us that the local trustee will not. Hopefully the OP's trustee will be reasonable and recognize this "income" for what it is.

[OhioFiler]

I would say that there is no hard and fast rule on this issue that would remain true with every trustee across the country. Seems to me that they have a lot of discretion on how to count this. It's no different than with DH's travel reimbursement - some people think the trustee will count that as income, but our attorney assures us that the local trustee will not. Hopefully the OP's trustee will be reasonable and recognize this "income" for what it is.

The 22A form indicates receipt of support is income. It doesn't distinguish between past due and current. I doubt a trustee would overlook $5,200 of income for any reason.