Critique my Schedule J :)

[Jade88]

Hi,
First I really want to thank everyone who contributes to this forum. I don't think I would have the stomach to go it pro-se without the helpful people on this board. I want to give you a little background information on me before getting down to business.

I am 52 yrs old and I am a Home Health Aide/Certified Nurse Aide and work for two home health agencies about 30-36 hrs per agency six days a week. I have been married for 32 yrs but live in a separate household then my husband with my 22 yr old daughter who is a full time student and my younger sister. I do hope and pray we will stay married through all the ups and downs we've had. I am filing bankruptcy under the code for married individuals who live separate from there spouses. I have lived with my mother and have taken care of her since she had a stroke 22 yrs ago. She went home to meet my father on August 30, 2009. My sister and I have been trying to take care of the bills around the house as she is on a fixed income but without our mother's social security and guidance the bills have become extremely tight. Well now that you know a little about me on to my schedule J. LOL

Expenses come directly off of Schedule J:
On the rent and utilities I help sis by (trying) to pay half and I use cash so I have no receipts. Do you think this will be a problem?

Rent/Mortgage: 150
Electricity/Heating Fuel: 45
Water/Sewer: 25
Telephone: 20 (bare minimum, no long distance)
Other: Directv 50 (runs about 140.00/month)
Home Maintenance : 20 (Gas for lawn mower)

Food: 494 (Me & Daughter)
Clothing: 100 (I haven't bought new clothes in a while. Should I lower this?)
Laundry/Dry Cleaning: 20 (For 2 people is this too much or too little?)
Medical/Dental: 100 (Prescription meds plus over-the-counter)
Transportation: 432 (This is just for gas Driving is part of my job)
Recreation: 30 (Netflix and going to the movies. Is that okay?)
Charitable: 20 (Church contributions. I give more but have no proof and never claimed it on my taxes for personal beliefs.)

Insurance:
Renter's: 0
Health: 0
Life: 30 (Planning to get it before I file. Is that okay?)
Auto: 110

Installment Payments:
Auto: 429 (2007 Pontiac Torrent)
Other: (3) Student Loans 150 (2 federal loans -$50 per and Private Loan $50. There really my daughters but she got them to help me out when I was really in trouble and now there screwing up her credit, plus I cosigned for them.)

Other: Verizon Cell Phone 2 lines 140 (It's actually 170, but the trustee probably wouldn't like that)

Average monthly expenses: 2,365.00
Average monthly income: 2,395.52
Disposable monthly income: 30.52

My gross income runs on average $2,348.04 minus tax of $252.52 so my average net income is $2095.52. I added $300 onto schedule I for what my sister contributes to "my household". I say average because my income depends upon my patients. If one of my patients gets sick, goes to visit a relative, or is placed in a nursing home I lose money. This happened recently for one agency and I lost over $130 off my weekly check for 2 weeks.Sadly regulations state I am not allowed overtime with either one of my agencies so I can't make it back. I going to attach a copy of my check stubs for that period for the trustee as proof of how my income can drop. So for McCurtain County, Oklahoma I am about 2,000 under the median. I realize this post has become way to long so I'll end it here. If anyone would look at my schedule and situation and comment that would be great. Maybe tell me how the trustee will react to me. I'm so nervous and I haven't even filed yet. LOL!

[justbroke]

I can easily see that you'll have trouble getting a discharge using those numbers. Right off the back, your student loans cannot be included as expenses. That brings $150 more in income. You would then be RIGHT AT the limit for a Chapter 13 ($182.50 is the "upper" limit).

The cellular phone is also a non-starter. Cellular phone service can't be over about $50 unless it's for health and welfare, or that you can prove it is income producing. Expect that the $140 amount will be attacked and anything over $100 will most certainly be attacked.

FYI, for food, you're allowed $537 for two people. See http://www.justice.gov/ust/eo/bapcpa..._standards.htm. Clothing is $86.00 Make sure you use all the items at that link!

I think it would all balance out anyhow (with changes to your numbers). Just make sure you take actual expenses. Don't forget haircare, personal care, and those other items mentioned in the link above. I don't think you should have too many issues.

[Jade88]

Thanks Justbroke for your quick reply.

My daughter is a full-time student and is still my dependent until she graduates from college next may. So I have been going by the 2 person household guidelines on the u.s trustee website.

The food runs me around $350 a month (about 86/wk) plus $6 (6 days a week) I pay for lunch since I don't have enough time to go home during the day. Irs guidelines set it at $537. Would they question me on that even though it's below the food allowance given?

The cellphone I knew was going to raise questions so thanks for the heads up. I don't have texting on it but Verzion has it mandatory for any smart phones to have $29 data plan. At the time I wasn't struggling too bad when we first got the plan and basically used our phones data plan as internet modems. (Daughter's studying to become a licensed computer geek). Not placing the blaming on them or anything like that. Just try to explain.

Are you sure on about the student loan payments? I was reading on the forum and some people put them on no hassle. Is this set in stone or is there some way around it?

I figure I better explain about the gas because I know people look like they want to have a heart attack when I tell them how much I spend. In my job I have to go from a patient's home, to the drug store, to grocery store, to the next town over because that grocery store doesn't have what they wanted, then back to there house, then drive to my next patients house and start the process over again. I can spend around $25 dollars and day in gas but lowered it to $18 a day. I have receipts to document it so I'm not worried about that.

I really appreciate your help and I'll keep figuring tonight to try to offset the student loans and cellphone bill and show you what I come up with. If there is anything else you see wrong could you please tell me? Thanks Again

[justbroke]

Are you sure on about the student loan payments? I was reading on the forum and some people put them on no hassle. Is this set in stone or is there some way around it?

Yes, it is set in stone. You can't include payments for "unsecured" debt, which is what a student loan is. People have included it, and also have ben challenged on it. The only time it goes unchallenged, is when it materially makes no difference.

For example, if your disposable monthly income (DMI) was $-1,100/month but you had included $400/month in student loans... the student loans are technically irrelevant, since you'd still be at $-700/month DMI! The UST especially looks at these things when you are over the median income. Being under, they will generally not care so much, but even then... the UST can and has, and will continue to, objected to discharge and filed a motion to dismiss in these circumstances. In extremely rare cases, you could claim the student loan payments a hardship and maybe get them counted as a legitimate expense, or actually discharge them (very unlikely).

You "might" need to explain the gas, but you do get an allowance for general vehicle costs. It usually comes out to about $240/month per car... but it does vary nationally.

[Jade88]

Thanks I'll work on it some more tonight. I'm so nervous and I want to get this perfect. Thanks for taking the time to help.

[Jade88]

JustBroke, Sorry to keep bothering you.
If I used the student loan payments to buy health insurance for myself, my daughter refuses to get on it saying she feels gulity enough, could I use that on my schedule J even though I would not have had the expense for the 6 month look back period?
Also my daughter`s upgrade is coming this october an she is planning to get a low end phone to get rid of the data plan. I will do the same so our bill will be around $98 for our family plan. Is that a little more acceptable?

[reesemay]

Not sure where you are located, but we have metroPCS here in florida they have UNLIMITED EVERYTHING phone,talk unlimited free LD, internet free text free , picture EVERYTHING is $40 a month Maybe look into that, also sprint has boost mobile which is cheaper too...just a thought

[justbroke]

If I used the student loan payments to buy health insurance for myself, my daughter refuses to get on it saying she feels gulity enough, could I use that on my schedule J even though I would not have had the expense for the 6 month look back period?

I missed your post. Health insurance for yourself is a GOOD thing, regardless of the bankruptcy. You should have it and it's a legitimate expense.

Also my daughter`s upgrade is coming this october an she is planning to get a low end phone to get rid of the data plan. I will do the same so our bill will be around $98 for our family plan. Is that a little more acceptable?

Yes. If ever asked about the bill, say "it's for the health and safety of my family."