Bankruptcy Means Test in Miami
Seek Guidance from Our Seasoned Bankruptcy Attorney
If you are considering filing
Chapter 7 bankruptcy, you will first need to take the bankruptcy means test to determine
if your income is low enough to qualify. With
25 years of experience, our
Miami bankruptcy lawyer at Orshan, P.A. can help you determine your eligibility!
When searching for an attorney to handle your bankruptcy case, we believe
it is important that you work with someone who has achieved notable accolades
in the legal field.
Attorney Orshan is selected for inclusion in
Florida's Super Lawyers
®, he is
AV® Rated by Martindale-Hubbell®, and he is
Board Certified in Business Bankruptcy Law by the American Board of Certification, and that is only the tip of the
iceberg with his qualifications!
Information on the Bankruptcy Means Test
The purpose of the bankruptcy "means" test is to determine whether
or not your income is low enough for you to qualify for a Chapter 7 bankruptcy.
If your income is too high, you can use the Chapter 13 bankruptcy to pay
off a portion of your debts, but you cannot use the Chapter 7 to wipe
out your debts entirely.
You do not have to be penniless to pass the bankruptcy means test. Debtors
can earn a significant income and still qualify for a Chapter 7 assuming
they have a lot of expenses, such as an expensive mortgage, auto loans,
taxes, and other obligations.
Comparing Your Income to Florida's Median Income
Passing the means test will rely on the below factors:
- If your current income is less than the median income for a household of
your size in Florida, you automatically pass, and you can file for a Chapter 7.
- If your household income exceeds Florida's median, then we will have
to determine if you have enough disposable income after paying your allowed
monthly expenses to pay at least a portion of your unsecured debts such
as credit cards. If your disposable income exceeds a certain amount, then
you cannot file a Chapter 7 and will have to file a Chapter 13 instead.
Median income levels vary from state to state and household size, and each
county and metropolitan area has different allowable amounts set for basic
necessities such as housing, and transportation.
Don't worry about this formula being complex, we do this every day
and it won't be difficult for us to determine your eligibility under
a Chapter 7 bankruptcy.
Contact a Our Firm Today to Get Started
If you are considering filing for bankruptcy, do not hesitate to contact
a Miami bankruptcy lawyer from Orshan, P.A. We gladly offer
free case evaluations to all prospective clients, this way you can get all of your questions
answered without any financial obligation on your part.