Title IV-E post adoption subsidy payments

[jwdad]

I asked this question just a litle diferently before so let me try this again. My wife and I received a stipend from the State (Title IV-E that is funded by Social Security) I intend to file a chapter 13 but that money blows my budget way out. I know I can deduct things like my payroll taxes that my employers collects in the means test but I am not sure about this. I live in Indiana and part of the southern district. My wife also got UE for months and works part time when she can get work.

Question 1. Does anyone know for certain if the Trustee can make me clain the Title IV-E as income.
Question 2. I know the menas test says I can say the Unemployment money is Social Security finded and expemt but I wondered if anyone else went up against this?

I am tlaking to a BK attorney this week but wnated to try to soothe my mind before that day gets here.

I know I cant be the only person to ever have this happen.

[forgotten]

I asked this question just a litle diferently before so let me try this again. My wife and I received a stipend from the State (Title IV-E that is funded by Social Security) I intend to file a chapter 13 but that money blows my budget way out. I know I can deduct things like my payroll taxes that my employers collects in the means test but I am not sure about this. I live in Indiana and part of the southern district. My wife also got UE for months and works part time when she can get work.

If it is funded by Social Security you may be able to claim it is as a result of the social security act and not claim it as income for the means test. I would consult with several attorneys to see if they think it can fly.

[Never_Again]

Do consult with an attorney, however...

I believe that you will find this money to be exempt. It is a social security payment under Title IV. It is a subsidy to help pay for an adopted child, who is generally classed as special needs in some way. The money is also, for those who may not know, paid as a subsidy for a child that was in state foster care, to allow them to be more easily adopted.

I know that a foster care stipend would be exempt, as it is TECHNICALLY the child's money. That is why it is also tax free. The adoption subsidy payments, I believe, come from the same pool.

The laws that allow the payment of a post adoption subsidy are pretty clear in their intent. To allow children who would not otherwise be able to easily be adopted to be adopted and have permanent families. This is to help these children, and to allow them to grow and prosper within society by growing up in a family, and not aging out of foster care. I believe (although do not have it on fact) that the law would take a dim view of that money being used to pay back creditors. Especially when the whole "special needs" issue comes into play.

I'll bet you are fine, but post back and let us know what the lawyer says.

[jwdad]

After speaking to my attorney they determined that it is Social Security money and should be exempt from the means test. Looks like we will head for a Chapter 7. Now to break the news to our parents. Crap happens so I am not going to feel guilty anymore.

[OhioFiler]

After speaking to my attorney they determined that it is Social Security money and should be exempt from the means test. Looks like we will head for a Chapter 7. Now to break the news to our parents. Crap happens so I am not going to feel guilty anymore.

If you're emancipated you don't have to tell your parents anything unless they are a creditor of yours.