Stupid ? regarding look back & gross wages

[coolmom04]

I was just getting our tax returns ready to submit to the attorney tomorrow from 2007, 2008, and 2009. DH is filing on March 10th Ch7.

I know the look back period is six months, but it just seems that the trustee would still have issues with him filing. Our attorney says everything is fine and are in the clear, but I wondered if someone here could help me feel better, too

So in 2007, the adjusted gross income was about 72K with no bonus; 2008 it was 85K (including a $4900 bonus); in 2009, it was 95K (including a 9K bonus).

So, now his gross salary is a little under 92K and we have a family size of 7 and we are over the median by $1200 (by gross six month look back - so not including his bonuses).

I am just looking at this and wondering how in the world the trustee isn't going to freak out or something. I mean, he has gotten substantial raises every year and has gotten pretty good bonuses in the past. However, he most likely will NOT get one this year.

So, do they really just look at your last six months gross pay, or are they going to say, "Hey - you got a big fat bonus back in July and you got one the year before, so we think this should be taken into consideration regarding your gross six month income" even though it was before the six month look back period and toss us out the door.

Does my question make sense? I hope so because I can't seem to type what I am really trying to say/ask.

[AngelinaCat]

Coolmom04, you are worrying too much.

Get the returns and turn them in to the attorney. He is right, there really is nothing to worry about. The standard look-back is six months. The only things they look for when going further back than 6 months is evidence of fraud, or insider, and/or preferential payments.

The fluctuating salary and bonuses are within the norm, and with the current economy, all downturns in salary, employment hours, etc., is easily understandable.

Good luck!

[coolmom04]

Coolmom04, you are worrying too much. Get the returns and turn them in to the attorney. He is right, there really is nothing to worry about. The standard look-back is six months. The only things they look for when going further back than 6 months is evidence of fraud, or insider, and/or preferential payments. The fluctuating salary and bonuses are within the norm, and with the current economy, all downturns in salary, employmnet hours, etc., is easily understandable.

Good luck!

As always, thank you

We already have to deal with preferential payments to MIL totaling $1325 over the last year, but the attorney said we could write the trustee a check, so hopefully that's the only issue we'll have! I can't wait to get this ball rolling! The 10th can NOT get here fast enough.

[frogger]

Our attorney says everything is fine and are in the clear

Amazing how so many people can answer their own question.

[coolmom04]

Amazing how so many people can answer their own question.

Haha Yeah - I know... I always seem to have more peace of mind when I come here and read and get answers from you guys b/c I know you're not just telling me what I want to hear b/c I am paying you money!

[justbroke]

... b/c I know you're not just telling me what I want to hear b/c I am paying you money!

Wait... you can get paid for this? No one told me!

[coolmom04]

Wait... you can get paid for this? No one told me!

You guys certainly do deserve to be paid.. especially from members like me

[frogger]

Haha Yeah - I know... I always seem to have more peace of mind when I come here and read and get answers from you guys b/c I know you're not just telling me what I want to hear b/c I am paying you money!

Give me an address and I'll send you a bill! Of course, I would want to add over the limit fees and late charges too......