The means test numbers have recently been updated and took effect on November 1, 2019.
The median incomes for Minnesota have decreased slightly for households of 1 and 2. The median incomes for Minnesota have increased slightly for households of 3 and more. Depending on the size of your household, the new means test numbers may make it either slightly easier or slightly more difficult to quality for Chapter 7 bankruptcy.
Below is a chart that shows the median incomes for means test purposes for bankruptcy cases filed in Minnesota effective November 1, 2019:
*Add $9,000 for each individual in excess of 4.
Note: Your income for means test purposes is determined by all income received in the 6 full months prior to filing your case. We figure out the amount of gross income that you received during those 6 months and then multiply it by 2; if the total is under the “Gross Annual Income” listed in the chart above for your household size, then there will likely not be a means test issue.
If your case is filed any time between November 1 and November 30, for example, then all gross income received from May 1 through October 31 (relevant months: May, June, July, August, September, October) will be used to calculate your gross income for means test purposes.
Elizabeth Rosar Chermack is a Burnsville Bankruptcy Attorney, and can help you analyze whether bankruptcy is the right choice for you. Call (952) 491-0390 or send an email to liz@chermacklaw.com to schedule a consultation.
ATTORNEY ADVERTISING MATERIAL. The content of this website is for informational purposes only and is not intended as legal advice. No attorney/client relationship is formed by use of this website. Do not submit confidential information via this site unless and until there is a signed retainer contract on file.