20 years old and need advice quick!

[DustinLH00]

Since you get paid under the table, I would be worried about bringing that income at all since they will wonder why you are not claiming it. I guess you could say you are not employed, but that would be lying... you would need to show 6 months of $0 income I believe...

I'll do whatever it takes..even if it means not working or hiding the money I make. I do not want to live at home for the next 4-6 years while attempting to pay off this debt and getting NOTHING OUT OF IT. I'll be 21 in 1.5 months.

[DustinLH00]

No problem, I am in the panic, WTF am I gonna do mode myself...

I really appreciate the help man this is a tough decision, and is kinda stressful =(

[ibanez5str]

You are right I guess I would be lying. I am fine with that. I could just say that my father writes me checks for me to survive on.

I just don't know what to do. I'm getting very mixed advice depending on who I've talked to.

[DustinLH00]

The only thing I am worried about in your case is that they are going to wonder how you got credit when you had no income. Unless they assume that the income was over 6 months ago.

But, if you show any income and no tax returns claiming that income, then you are not paying taxes. I am not sure what the BK court thinks about this, but I would be scared to have a judge see it.

But I know for a fact if you show the income and no post BK expenses they are going to make you do a Chapter 13, since you can't just erase your debt and pocket that much money every month.

Your lawyer will be able to help you determine what is best with the income situation I am sure, so I would wait and see what he says for that...

You are right I guess I would be lying. I am fine with that. I could just say that my father writes me checks for me to survive on.

I just don't know what to do. I'm getting very mixed advice depending on who I've talked to.

[ibanez5str]

Ok ya that's what I am going to see. I filed taxes last year for 1/3 or so of what I made ($10k).

For this year I'm going to have to have him throw me on the pay roll if I wanna be a legit money earner / tax payer, huh?? It is a very tough decision. I was under the impression that due to my age, I could have sympathy for my large amount of debt and be able to save money under the table at least from there on out..

[DustinLH00]

Well at least you are claiming something. But if you file today, they will want to see 6 months of paystubs. So at bare minimum, you would have to have him make up some paystubs. But again, this is new territory for me, so someone else may have more experience with this situation and give advice as well...

And as far as what I am learning, they have no sympathy for anyone. It seems that the trustees think that everyone who files is irresponsible and should not have gotten themselves into this situation and/or is trying to abuse the privilege of bankruptcy.

Ok ya that's what I am going to see. I filed taxes last year for 1/3 or so of what I made ($10k).

For this year I'm going to have to have him throw me on the pay roll if I wanna be a legit money earner / tax payer, huh?? It is a very tough decision. I was under the impression that due to my age, I could have sympathy for my large amount of debt and be able to save money under the table at least from there on out..

[Amy26]

First of all... I'm surprised nobody has said anything about the statements you are making. One post you said you would hide money? Lying to the bankruptcy court? These are not good statements and people who abuse this system make it harder for the rest of us who are trying to do it honestly.

I am genuinely sorry you got yourself into this mess... but at 20, its almost better for you make your bed and lie in it so it speak so you learn something for the future. If you were just allowed to rack up all that debt, discharge it and walk away... you have not learned any life lesson there.

[LuciluS]

Dustin it is New Territory

To Ibanez:

I'm a Disabled Accountant. Your Dad Can NOT Legally make up paystubs for the six months. Those check stubs will at the very least show Social Security, Medicare tax withheld and a $ figure for Federal and State Withholdings.

Your Dad MUST match the Social Security & Medicare Taxes and report them along with what was deducted for Federal Tax. This form is called a 941 & is required to be filed Every Quarter & the above taxes remitted with this 941.
Jan-Mar is due in full by April 30th, yadda, yadda.You are really Opening Up a Can of Worms & is After The Fact and Illegal.

Let's just say your Dad does give you six months worth of paystubs & your Attorney doesn't question you about those paystubs & you file Bankruptcy. You will have to attend a hearing called a 341. There will be a Trustee there who will ask you if 'Everything' you gave the Trustee is True and you say Yes. You are Lying & will get caught & Dad will get caught, Also.

If you request your dad begin paying you a $ amount NOW and wait six months to file Bankruptcy, YOU will not be lying. Your dad is required by the US IRS laws to have you fill out a form called W-4. I'm not going into more details because it can get confusing.

I'm assuming your name is Not on any business documents. Personally, at your Age, I think it is very Advantagous for your Dad to 'throw you on the Payroll'. However, if your name appears on Business Documents, I still Agree being 'thown on the Payroll', BUT You can/will be held Legally Responsible for Any and All Tax Reports to be filed and paid along with your Dad.

Probably all Greek unless one knows Tax Laws. So I will close, Don't Try To Back Date ANYTHING that is relevant to a Bankruptcy.

Luci

PS Please post after your consultation with your BK Attorney.

[LuciluS]

First of all... I'm surprised nobody has said anything about the statements you are making. One post you said you would hide money? Lying to the bankruptcy court? These are not good statements and people who abuse this system make it harder for the rest of us who are trying to do it honestly.

I am genuinely sorry you got yourself into this mess... but at 20, its almost better for you make your bed and lie in it so it speak so you learn something for the future. If you were just allowed to rack up all that debt, discharge it and walk away... you have not learned any life lesson there.

O Amy....you type faster than me

Luci

[DustinLH00]

Thank you Lucilus. And there you have it...lol. I was hoping someone would chime in on this issue.

Dustin it is New Territory

To Ibanez:

I'm a Disabled Accountant. Your Dad Can NOT Legally make up paystubs for the six months. Those check stubs will at the very least show Social Security, Medicare tax withheld and a $ figure for Federal and State Withholdings.

Your Dad MUST match the Social Security & Medicare Taxes and report them along with what was deducted for Federal Tax. This form is called a 941 & is required to be filed Every Quarter & the above taxes remitted with this 941.
Jan-Mar is due in full by April 30th, yadda, yadda.You are really Opening Up a Can of Worms & is After The Fact and Illegal.

Let's just say your Dad does give you six months worth of paystubs & your Attorney doesn't question you about those paystubs & you file Bankruptcy. You will have to attend a hearing called a 341. There will be a Trustee there who will ask you if 'Everything' you gave the Trustee is True and you say Yes. You are Lying & will get caught & Dad will get caught, Also.

If you request your dad begin paying you a $ amount NOW and wait six months to file Bankruptcy, YOU will not be lying. Your dad is required by the US IRS laws to have you fill out a form called W-4. I'm not going into more details because it can get confusing.

I'm assuming your name is Not on any business documents. Personally, at your Age, I think it is very Advantagous for your Dad to 'throw you on the Payroll'. However, if your name appears on Business Documents, I still Agree being 'thown on the Payroll', BUT You can/will be held Legally Responsible for Any and All Tax Reports to be filed and paid along with your Dad.

Probably all Greek unless one knows Tax Laws. So I will close, Don't Try To Back Date ANYTHING that is relevant to a Bankruptcy.

Luci

PS Please post after your consultation with your BK Attorney.

[Amy26]

O Amy....you type faster than me

Luci

90 WPM baby!

[bksmith12345]

Yeah, no joke about it!

You could find yourself not only 20 years old and in debt and in prison!

[LuciluS]

Dustin: I can see your were trying to empathize with the OP!

Amy & bksmith: Both wrote the Truth!

Now to Ibanez:

Sweetie! You are Immature. I could point word after word to prove that, but no reason for me to do so. My son was Immature until he was 26 yrs. old, although he had a College Degree in Physics at your age, he had the Brains, Brains, but no 'street smarts'.

I'm not trying to make you Mad or hurt your feelings. That's why I asked you to post after your Consultation with the BK Attorney. I maybe wrong, But I don't believe Attorney will recommend Bankruptcy. If such is true, please make sure and ask if Atty. can give you Assistance with the 'Broken Lease Contract'.

If you will post after Consultation, I have some Ideas for you & I'm willing to help you!

Best of Luck,

Luci

[ibanez5str]

Yeah, no joke about it!

You could find yourself not only 20 years old and in debt and in priso

For what? It's my dad..im his kid and he doesn't have to pay me thru a payroll. For all they know I just get hand outs from my dad. Nothing different then most of the brats in this area anyways (except I put work in for it).

Shit we could consider my "job" to be chores and my "pay" to be allowance. Whats it matter I'm only 20, had no idea what I was getting into, and honestly I've already paid taxes 3 times..so im perfectly legit.

[ibanez5str]

Dustin: I can see your were trying to empathize with the OP!

Amy & bksmith: Both wrote the Truth!

Now to Ibanez:

Sweetie! You are Immature. I could point word after word to prove that, but no reason for me to do so. My son was Immature until he was 26 yrs. old, although he had a College Degree in Physics at your age, he had the Brains, Brains, but no 'street smarts'.

I'm not trying to make you Mad or hurt your feelings. That's why I asked you to post after your Consultation with the BK Attorney. I maybe wrong, But I don't believe Attorney will recommend Bankruptcy. If such is true, please make sure and ask if Atty. can give you Assistance with the 'Broken Lease Contract'.

If you will post after Consultation, I have some Ideas for you & I'm willing to help you!

Best of Luck,

Luci

Its ok. Im not offended. I realize I made dumb decisions and now I'm manning up and taking responsibility for them. I just want whats best for ME and if BK is it..then that is what I'm going for.

Ill let ya'll know as soon as I meet up with the lawyer. Either way will be fine. I love my rx-8 and hate losing it but at the same time I hate being $12k upside down and having so much additional debt. I already learned my lesson. Trust me.

I just figured filing chapter 7, getting rid of all the debt, and living modestly and saving $$$ would be my best option. We will see.