Seasonal income issues

[walkthaplank]

Hi all, been lurking for a while and thought I'd join.

We are meeting with a couple of attorneys this coming week to discuss filing CH13. We are looking to strip our 2nd in the process, playing with the numbers on the various means testing locations we come in below median on the second test, but stripping the 2nd will make it so we can pay all of our bills.

My problem is this, my work requires mandatory overtime (anywhere from 20-40 hours a week) in the winter months which seriously spikes my income for about 2-3 months. To put a finer point on it, I make approx $70k per year, but calculating based on the last 6 months, it looks like I make approx $115k. I plan on discussing this issue with the attorneys, but if I can show that this is a pattern over a several year period, will this be taken into account? If the trustee does, how might they calculate the income for the purposes of DMI and debt repayment?

[cag]

Kind of in the same boat as you. Dec. and Jan. was a killer for me regarding OT.
Dec gross was 7k and Jan was 13K all due to the snowstorms. Ordinarily, I would be happier then a pig in you know what! But, not when I’m planning a BK. If I go now, it’s a 13 with payments of $1,000 a month….So I’m going to wait it out until Dec and Jan wages drop off and file in Aug….My average gross runs around 5K to 6K per month. So just gonna shut off the ringer, have a beer and wait until Aug and go 7.

[walkthaplank]

Ok, talked with one of the lawyers today, he said that the trustee and the court look at the totality of the situation and take into account the seasonal nature of my work. He said in CH7 the 6 month lookback is more important than it is in CH13.

All in all it was a very good meeting. He looked at our income, our dependents and our expenses and said while we would qualify under CH7, we would do better to file CH13 and strip out 2nd mortgage. He estimated our total payment at just under what we pay for our 2nd.

Meeting 2 tomorrow.