12 month lookback on monthly income

[AZNoName]

We're filing Ch13 and the atty is doing a 6 month lookback to determine our avg income. My spouse is a seasonal employee, working a lot of OT in the summer, so their income will appear to be more than actual on average. I requested to the paralegal to do a 12 month lookback (cleared it with atty first) and this is the first time she's heard of a 12 month lookback. I told her that the atty used it with teachers or other seasonal workers.

Has anyone else requested a 12 month lookback?

Anyways, she said she would discuss with atty and let me know!

[despritfreya]

You are confusing two different budgets.

The 6 month window is a statutory requirement for Form 22C (Current Monthly Income/Disposable Income). While there is case law that allows you to ask the Court to move the 6 month window, such is not necessary in Arizona since Form 22C is not utilized by any of the Chapter 13 Trustees to determine what you have to pay into the Plan. They want the form filled out correctly and will insist that you fix any mistakes but, beyond that, they do not care about it.

Your attorney, knowing that Form 22C is irrelevant, agrees that based upon your true income, it should be averaged over a 12 month period. This information should be utilized to complete Schedule I.

Just remember that there is a “fake” budget (Form 22C) and a “real” one (Schedule I and J). The real budget is the one that will tell you what your Plan payment should be. Also be aware that even with the real budget, the Trustees utilize guidelines that they formulated. You can find the “guidelines” on Edward Maney’s web site. They might even be available at the Court’s web site (not PACER).

Des.

[AngelinaCatHub]

Good to see you Des. Please keep in touch. 'Hub

[despritfreya]

Good to see you Des. Please keep in touch. 'Hub

Of course and ditto to you.

Des.

[AZNoName]

Wow thats a lot of information, thank you!