Here's goes again please critique my expenses - thanks!

[basketsbears]

Hi,

Here I go again with new budget to send to my attorney. He had wanted me to include both the Aqua and on his form the Sallie Mae. So although I realize they may need to be taken out, I am just wanting some critique again as I have cut some items as numbers per my previous post.

Here ya go -

Charitable gifts $ 50

Housing:
Mortgage 1,105
HOA 23
Repairs/main. 370

Utilities:
Electric 150 (I checked last year's and my highest during winter
was $280, so this was about year's ave)
Water 65
Gas - NA
Comcast (phone, cable
internet) 148
Cell 165 (will start having kids pay their portion - is this more
in line?)
Food (all) 663

Transportation
Payment 495
Road service 7
Gas 453
Oil changes 30
Repairs/tires 147
car ins. 266
license/taxes 32

Uniforms 30
Clothes 132
Cleaning/laundry 66

Medical
Health,dental, vision 368
Doctors, dentists
optometrist & meds 300 (as I stated in previous thread, I had FSA in 2011
had $145.84 biweekly, it has all been spent)

Personal

Life 70
Pets 102
Toiletries 81
Hair 50
Educational supplies 540
Subscriptions 15
Prof. organizational dues 13
Gifts 70
Misc. 165

Entertainment 50
Vacation 10
Timeshares 158

Aqua 135

Sallie Mae 108

So my total this time is $5,815 and income $5823.

At least I am getting closer. I used the federal IRS guidelines on some of the items, and then looked up on Amazon how much has been spent on books, etc for school. Ugh that's expensive!!!

Sorry I keep asking so many questions. I am wanting to learn so much from all of you and not "blindly" go into our BK

Thanks!

Lynn

[mountanddo]

Just a couples of questions. You pay over $1800 a year in maintenance fees for your timeshare? That doesn't seem right. We only paid like $500/year for our Florida timeshare. $70 a month for gifts seems high to me, that's $840 a year just for gifts. Also charitable gifts you allocated $50/month. I guess I could think of better ways to spend $50 while you are contemplating BK. My attorney estimated for recreation, clubs, subscriptions at $100/month. Don't think there is a separate section specifically for vacations. The cell and cable/internet seems ok, that's what I have budgeted although I have contracts with cable and cell so as soon as I have completed those the cell is going away.

Those are some of my observations and some might be wrong.

[shark66]

Educational supplies@$540? I doubt that that one is going to fly anywhere.

Misc@$165 - with everything else that you've listed that one will need an explanation, and a good one at that.

Timeshares@$158 - consider these gone, because your timeshares are likely gone in a Ch.7

House repairs@$370 - sounds high to me, but I might be off on that one.

You're coming dangerously close to Ch. 13 territory IMO. These expenses need to be seriously redone. Hold the list of "approved" expenses next to yourself when creating your own.

Best of luck to us all.

[mountanddo]

Would these amounts even be acceptable in a chapter 13? I didn't get to put any misc expenses anywhere.

[basketsbears]

Thank you! I am beginning to feel like we will be in a 13 as well.

So how can I "ballpark" what our payments would be in a 13???

[basketsbears]

I copies the misc. amount from the federal guidelines.

[basketsbears]

Like I have said previously too, this what my attorney asked for a list of everything we spend $ on.

As far as the educational expenses - we were instructed to offset as much as possible the GI bill income stipend. My husband is in photography and has had to purchased a lot of stuff for school, not to mention the cost of books & software.

[mountanddo]

What educational supplies cost $6400 a year? Maybe we aren't understanding something here.

[basketsbears]

For example, one of the software programs was $1800 - luckily I was able to get it through the university reduced. The photo equipment that has been required to purchase is not inexpensive either. The books that goes with the software is not cheap either. Not to mention developing stuff for portfolios etc. We have purchased most of the stuff through Amazon so I went through for the receipts and that is what I found.

I appreciate all the input. I am so confused. When I met with the attorney yesterday I really thought the way he spoke we could get by with 7. I know it is not the end of the world with a 13, and am thankful that there is any way out at all. The biggest concern for me on 13 is we are in a debt repayment plan thru a credit counseling agency and would be paid in 3 years, not 5 as the ch 13. The only reason we are filing is because of my husband's old house foreclosure. Ugh.

Thanks. So sorry to be a Debbie Downer.

[shark66]

For example, one of the software programs was $1800 - luckily I was able to get it through the university reduced. The photo equipment that has been required to purchase is not inexpensive either. The books that goes with the software is not cheap either. Not to mention developing stuff for portfolios etc. We have purchased most of the stuff through Amazon so I went through for the receipts and that is what I found.

Are you attending the university yourself?

Good luck to us all.

[basketsbears]

My husband is going to a community college via the GI bill for photography. I am going to graduate school at another university.

[shark66]

I'm not familiar with the way things are done in Indiana, but would be *very* surprised if the trustee allows the amount you've included for educational expenses...let's hope I'm wrong.

Let me put it this way: you don't want to be in Ch. 13 if you can get away with Ch.7

That being said, you most definitely need to re-arrange the expenses. I can't see a trustee overlooking $453 for gasoline monthly...

Good luck to us all.

[mountanddo]

I can't see a trustee overlooking $453 for gasoline monthly...

Good luck to us all.[/FONT]

That is about what I make a week! You must own a real gas guzzler or someone in your household works far away. I take the bus to work but other than that I think I spend about $40 a month on gas.

[HHM]

How old are your kids...that they can start paying for their own cell bill?

I concur, educational supplies is not going to fly. The means test actually has pretty strict guidelines when it comes to education cost, $540 per month, without a very good understanding of that expense, that is somewhat high.

Also, as I indicated previously, not likely they will allow timeshare maintenance since it is an asset that will be likely be surrendered or otherwise disallowed.

You will likely seen an objection on transportation, the allowed operating expense is $212 for 1 car, $424 for two, and that includes ALL, gas, repairs, maintenance, and insurance,

Also, sallie mae, a non-starter, will not be allowed. Student loan payments are not an allowed expense.

Just in those things, you are looking at over $1,040 in objectionable expenses, and that is giving you the benefit of half of your claimed education expenses.

[mountanddo]

Something else I just noticed and it makes me wonder where you are getting these numbers. $30/month on oil changes? $132/month for clothes and $50/month for haircuts? If this is what you currently spend on these items you might take a look at your budget and consider lowering some of these. Do cars really need oil changes once a month? I think I spend about $132 a season, if that on clothes and a lot of it comes from the goodwill. Maybe I'm living under a rock or I've just been so broke for so long these amounts seem really high.