Mother’s social security income must be included in over-means Chapter 13

As a bankruptcy attorney in Mount Vernon, IL for over 20 years, I read through and analyze court rulings throughout the country, and pay particular attention to cases close to home!

Here is a case from Wisconsin, which is in the same Circuit as Southern Illinois. This means that the ruling will be given more weight than if it came from a southern or western state. If Chapter 13 Trustees in this area are not already trying to follow the ruling in this case, they will likely start soon.

It involves whether a mother’s social security income has to be included in the family income of an over-means Chapter 13 Debtor…

 

Bankr ED Wisc: Sustained Trustee’s Objection to Debtor’s Ch 13 Plan where she failed to account for her mother’s Contributions (from Social Security) to Household Expenses in Means Test.

The chapter 13 trustee objected to plan confirmation because the debtor had not demonstrated that she devoted all of her projected disposable income to pay general unsecured creditors. See 11 U.S.C. §1325(b). Specifically, the trustee argued that the debtor failed to account for contributions to the debtor’s household made by the debtor’s mother when calculating the debtor’s projected disposable income. The debtor, relying on 11 U.S.C. §101(10A), contended that because her mother’s only income was social security, she did not have to account for her mother’s contributions. The court sustained the trustee’s objection.

Read the entire opinion here.

 

About the author:

Michael Curry of Curry Law Office in Mount Vernon, Illinois (http://michaelcurrylawoffice.com/) has helped thousands of individuals, family and small businesses in southern Illinois find protection under the Bankruptcy Code for almost twenty-five years. He is also available to help individuals and families with their estate planning (wills, power-of-attorney) and real estate and other sales transactions.

He is also the author of books on finance and bankruptcy available on Kindle through Amazon!

Whether you live in Mount Vernon, Salem, Waltonville, Woodlawn, Lawrenceville, Centralia, Louisville, Xenia, Grayville, Effingham, Dieterich, Vandalia, McLeansboro, Dahlgren, Albion, Flora, Clay City, Kinmundy, Chester, Sparta, Olney, Mount Carmel, Nashville, Fairfield, Cisne, Wayne City, Carmi, Grayville, or anywhere in Southern Illinois call Curry Law Office today at (618) 246-0993 and Finally Be Financially Free!

You can also access my website at http://www.mtvernonbankruptcylawyer.com

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One thought on “Mother’s social security income must be included in over-means Chapter 13

  1. Pingback: The Holmes Opinion: Mother’s Social Security Must Be Included in Chapter 13 Income | Curry Law Office

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