Filing for Bankruptcy in Wisconsin

You wo n’t lose everything in bankruptcy. You ‘ll use your submit bankruptcy exemption laws to protect your place. We list the significant exemptions below, but first, understanding the succeed will help you maximize what you ‘ll keep in your shell .

Wisconsin’s Bankruptcy Exemption List

here are some normally used Wisconsin bankruptcy exemptions .

Wisconsin’s Homestead Exemption

You can exempt up to $ 75,000 of equity in your mansion. Married couples who both have an ownership sake in the property can double the exemption to $ 150,000. ( Wis. Stat. Ann. § 815.20. ) however, there are more requirements you ‘ll have to meet. Learn more about the Wisconsin homestead exemption in bankruptcy .

Wisconsin’s Motor Vehicle Exemption

Filers can safeguard vehicle fairness up to $ 4,000. If that is n’t enough to amply protect your cable car, you can besides apply any unused dowry of the $ 12,000 personal property exemption to a vehicle. ( Wis. Stat. Ann. § 815.18 ( 3 ) ( guanine ). ) Find out how the motive vehicle exemption works in a chapter 7 case.

Other Wisconsin Exemptions

  • Alimony and child support. Alimony and child support needed for support. (Wis. Stat. Ann. § 815.18(3)(c).)
  • Bank deposits. Up to $5,000. (Wis. Stat. Ann. § 815.18(3)(k).)
  • Burial property. Burial articles including tombstones, coffins, cemetery lots owned by individuals. (Wis. Stat. Ann. § 815.18(3)(a).)
  • Crime victims’ compensation. 100% exempt. (Wis. Stat. Ann. § 949.07.)
  • Fraternal benefit society benefits. 100% exempt. (Wis. Stat. Ann. § 614.96.)
  • Insurance benefits. Accident insurance proceeds; federal disability benefits; fire insurance proceeds; life insurance payments; unmatured life insurance and annuity contracts; dividends from unmatured life insurance and annuity contracts up to $150,000 ($4,000 if issued less than two years before filing). (Wis. Stat. Ann. § 815.18(i)-(f).)
  • Pensions and retirement benefits. Veterans’ benefits and war pensions (Wis. Stat. Ann. § 815.18(3)(n)); pensions for certain municipal employees, firefighters, and police officers working in cities of more than 100,000 residents (Wis. Stat. Ann. § 815.18(3)(ef)); pensions for public employees (Wis. Stat. Ann. § 40.08); tax-exempt retirements (Wis. Stat. Ann. § 815.18(3)(j)). Find out how to protect an IRA and more in Your Retirement Account in Bankruptcy.
  • Personal property. $12,000 in total value for any tangible property (other than real estate) used for personal or family use, such as household goods, appliances, and furnishings; wearing apparel; jewelry; keepsakes; books; musical instruments; firearms; sporting goods; animals (Wis. Stat. § 815.18(3)(d); wrongful death award necessary for support; $50,000 personal injury recovery (Wis. Stat. Ann. § 815.18(3)(i)(1)(c)); college savings or trust fund (Wis. Stat. Ann. § 815.18(3)(o),(p)); $6,825 education IRA (11 U.S.C. 451(b)(5)(C)); $6,825 pre-purchased tuition credits (11 U.S.C. 451(b)(6)(C)).
  • Prisoner property. Wages earned during imprisonment. (Wis. Stat. Ann. §§ 303.08(3), 303.10(7).)
  • Social service payments. (Wis. Stat. Ann. § 49.96.)
  • Trade implements and family business. $15,000 in tools, equipment, and professional books, or a closely-held company. (Wis. Stat. Ann. § 815.18(3)(b).)
  • Unemployment Compensation. Except for child support claims. (Wis. Stat. Ann. § 108.13.)
  • Veterans’ benefits. (Wis. Stat. Ann. § 815.18(3)(n).)
  • Wages. 75% of weekly income, but not less than 30 times the greater of state or federal minimum wage, if reasonably necessary for support. (Wis. Stat. Ann. § 815.18(3)(h).)
  • Workers’ Compensation Benefits. (Wis. Stat. Ann. § 102.27.)

Wisconsin ‘s exemption amounts are adjusted sporadically. To ensure that your figures are stream, check for updates at the official web site of the Wisconsin State Legislature or speak with a intimate bankruptcy lawyer .

Preventing Bankruptcy Exemption Problems

Exempt your property cautiously. The bankruptcy regent —the court-appointed official assigned to manage your case—will review the exemptions. A regent who disagrees with your exemptions will likely try to resolve the consequence colloquially. If unsuccessful, the regent will file an objection with the bankruptcy court, and the judge will decide whether you can keep the property .
Example. Mason owns a rare, classic car worth $ 15,000, but the country vehicle exemption does n’t cover it entirely. Believing that the car qualifies as art—at least in his mind—Mason exempts it using his state of matter ‘s outright artwork exemption. The trustee disagrees with Mason ‘s portrayal and files an objection with the court. The judge will probable decide the fomite does n’t qualify as art .
purposefully making inaccurate statements could be considered deceitful. Bankruptcy imposter is penal by up to $ 250,000, 20 years in prison, or both.

Qualifying for Bankruptcy in Wisconsin

You ‘ll meet the initial requirement if you ‘ve never filed for bankruptcy before. Otherwise, check whether enough time has passed to allow you to file again. The waiting period varies depending on the chapter previously filed and the chapter you plan to file. Learn more about multiple bankruptcy filings .
You ‘ll besides need to meet specific chapter qualifications .
You’ll qualify for Chapter 7 bankruptcy if your family ‘s crying income is lower than the median income for the same size family in your state. Add all gross income earned during the last six months and multiply it by two. Compare the figure to the income charts on the U.S. Trustee ‘s web site ( choose “ Means Testing Information ” ).

Want an easy way to do this on-line ? Use the Quick Median Income Test. If you find that you make besides much, you still might qualify after taking the second separate of the “ means trial. ” If, after subtracting expenses, you do n’t have enough remaining to pay into a chapter 13 design, you ‘ll qualify for chapter 7 .
Qualifying for Chapter 13 can be expensive because the supernumerary benefits come at a brawny price, and many people ca n’t afford the monthly payment. To qualify, you ‘ll pay the larger of :

  • your priority nondischargeable debt
  • the value of nonexempt property, or
  • your disposable income.

Find out more about calculating a chapter 13 bankruptcy payment .

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Category : Finance

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