Means Test – Chapter 7 Qualification

To qualify for a Chapter 7 Bankruptcy, you must past the “means test.”

To determine whether one passes the means test, and therefore qualifies for a Chapter 7, their household income must first be calculated. To calculate, you must take the previous 6 full months household  income, and multiply it by 2. (Do I have to include my spouse’s income if they are not filing?) For example, if you were to file November 16th, you would add up your household’s income for May through October, then multiply it by 2. If you were to file December 2nd, you would add up your household’s income for June through November, then multiply it by 2.

Next, you take the amount calculated and see if it is less then the allotted amount for your household size.

Household of 1 – $50,179
Household of 2 – $61,125
Household of 3 – $73,262
Household of 4 – $90,531

*Add $8,400 for each individual in excess of 4.

If the figure you calculated is less than the amount listed above for your family size, you pass the means test.

Grand Rapids Bankruptcy Law Firm

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