Easy Bankruptcy: File In July
By Andy Miofsky, Illinois Bankruptcy Attorney on Jul 9, 2009 in Bankruptcy Cases & Legislation, Bankruptcy Practice and Procedure
The easiest month to file bankruptcy is July. Consumers filing bankruptcy under Chapter 7 or Chapter 13 need to complete a Means Test of average income derived during the last six months. If you file in July, you need to look at your income during the first six months of the year – January through and including June.
Most employers offer paystubs that contain Year To Date information that totals all of your income, tax withholding and other deductions. It is easier to find one recent paystub than six month’s worth. By looking at your last June paystub, you should be able to see how much money was earned during the first six months of the year in order to satisfy the Means Test.
If you file in June, you need income information beginning in December of the previous year, up to and including May. Your May paystub will not indicate how much money you earned in December, because Year To Date information begins with the first paystub issued in January. Likewise, if you file after July, your last paystub will contain information going all the way back to the beginning of the year, including months that are more than six months old.
Gathering documents is a necessary part of filing bankruptcy. Filing in July makes things a little easier on you.
See also:
Bankruptcy Means Test: Costly and Really Pointless, by Susanne Robicsek, Charlotte NC Bankruptcy Lawyer
Bankruptcy Basics: What Is A “Means Test” In Chapter 7? and What Does Your Attorney Need For Your “Means Test” Analysis? by Karen Oakes, Oregon Bankruptcy Lawyer
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