Exemptions In Bankruptcy

28 Feb Commissions, Wages, and Accounts Receivable

An individual filing for bankruptcy protection may have an asset in the form of compensation not yet received for work done before the filing. It can be wages, sales commissions, or accounts receivable for a self-employed filer. It caneven be work in progress but not yet billed. Theitems are really the same thing: Compensation which hasn't been paid yet for work already performed on the filing date. They are assets for bankruptcy purposes. And they allshould all be protected up to 75% of net compensation after taxesif state exemptions are used, which also permit use of applicable nonbankruptcy law.
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