Household median income is an important part of any bankruptcy analysis. During your free consultation at my Livonia, Michigan Bankruptcy Law Office, I will out what your household income is to determine how your income relates to the Household median income for the state of Michigan.
The following are the current household median income figures for the state or Michigan.
|Michigan||Household of 1 $43,677||Household of 2 $50,079||Household of 3 $58,467||Household of 4 $70,237|
* Add $7,500 for each individual in excess of 4.
Your household income is important in both a Chapter 7 and Chapter 13 Bankruptcy cases.
In a Chapter 7 Bankruptcy, your household income is the first test in figuring out if you are even eligible for Chapter 7 relief. For example, a single guy making $65,000 per year is most likely not eligible for Chapter 7. However, a married couple with three children making $65,000 per year should be eligible for Chapter 7 Bankruptcy relief.
In a Chapter 13 Bankruptcy, your household income is the first test in figuring out if you Chapter 13 payment plan will be 36 or 60 months. For example, a single guy making $65,000 per year would be in a Chapter 13 Bankruptcy for 60 months. However, a married couple with three children making $65,000 per year could complete a Chapter 13 in just 36 months.
Like anything in Bankruptcy the above are not bright line rules, there are exceptions and this is just one of the reasons you should consider using a law firm like ours that practices exclusively in the field of Chapter 7 and Chapter 13 Bankruptcy.
With our offices centrally located in Livonia, we represent clients throughout Metro Detroit and beyond, including Westland, Garden City, Wayne, Redford, Belleville, Farmington Hills, Plymouth, Canton , Taylor, Romulus, Northville, Commerce Township, Wixom, Dearborn, West Bloomfield and Detroit