Schedule J-Chapter 7

[tigergem]

I dont know that there is an "exact" number. I have read many times that $160 is limit of dmi but I have no clue where people get that number from. You can post your sch J and people will give you an idea of how it looks.

See I don't know where they would come up with that number either. Even if a person is over median and has to complete the entire means test, when you get to Step 2:

The current monthly income (CMI), reduced by the above deductions equals the debtor’s Disposable Monthly Income, or DMI. If the DMI, multiplied by 60, is less than $6575 (as of 2007 – adjusted periodically), then the debtor passes the means test, and step 3 is not required. If the DMI, multiplied by 60, is greater than $10,950 (as of 2007 – adjusted periodically), then the debtor fails the means test and can only file a chapter 7 in special circumstances. If the DMI, multiplied by 60 is between $6575 and $10950 (as of 2007 – adjusted periodically), then the debtor must proceed to step 3 of the test.


When you get to step 3:

If the debtor’s disposable monthly income, DMI, multiplied by 60, is less than 25% of the debtors unsecured, non-priority debts, then the debtor passes the means test. If the debtor’s DMI, multiplied by 60, is greater than 25% of the debtors unsecured, non-priority debts, then the debtor fails the means test and can only file chapter 7 only with a showing of special circumstances.

So I don't know where $160 comes from... maybe an average of sorts of Step 2? But that is only supposed to apply if the filer is over median.

[GettingGoing]

2 just my husband and I and I live in a condo.

Do you really only spend 390 a month on food? That is 90$ a week for all meals. Here are the IRS guidelines.

http://www.irs.gov/businesses/small/article/0,,id=104627,00.html

[tigergem]

2 just my husband and I and I live in a condo.

Wow, then, only $390/month for groceries? I put $400/mo for just me by myself, and nobody blinked. Of course, my bank statements and receipts would have bore it out if I had to prove what I spend at the grocery store.

[tigergem]

Care to explain?

Not really. There are enough other threads on here about planning ahead for a Chapter 7. Some people spend months and years tweaking stuff and getting it right before they file.

I really hope yours works out in your favor though. Fingers crossed for you!

[GettingGoing]

Not really. There are enough other threads on here about planning ahead for a Chapter 7. Some people spend months and years tweaking stuff and getting it right before they file.

I really hope yours works out in your favor though. Fingers crossed for you!

I agree that long term planning can work in a lot of cases however my case was a "TSHTF" case and I had very little time to plan.

Thanks for your support. I think my case will work out just fine and I will be discharged in about 30 days.

[cmcfall]

Not really. There are enough other threads on here about planning ahead for a Chapter 7. Some people spend months and years tweaking stuff and getting it right before they file.

I really hope yours works out in your favor though. Fingers crossed for you!

I agree that would have been great to have years to plan, but I was about to get sued and had to move fast. I also did not think it would matter as long as I was under median and unfortunately I found this forum AFTER I filed and just worked out of Nolo. So I may be SOL, but I didn't have a year to plan and the luxury of having this forum before. I appreciate everyone's help.

[GettingGoing]

I agree that would have been great to have years to plan, but I was about to get sued and had to move fast. I also did not think it would matter as long as I was under median and unfortunately I found this forum AFTER I filed and just worked out of Nolo. So I may be SOL, but I didn't have a year to plan and the luxury of having this forum before. I appreciate everyone's help.

I don't think you will have a problem. If you bring your food expense closer to the IRS standard for a family of 2 and rework your medical then that will get rid of most of your dmi.

I have no clue how your back-tax agreement of 956/month will be handled. You may want to start a thread specifically asking about this as I wonder if this could be an issue.