Means Test Laws in New Hampshire
The need to file for bankruptcy can come at an emotional and stressful time. While you may feel you have no other option but to file, there are certain steps you must take and certain criteria you must meet in order to start the process. If you wish to file for Chapter 7 bankruptcy, the most common type, you must first pass a means test. The Law Office of Joseph M. Annutto can help you navigate a means test and see where you stand. Then, we can help you move forward depending on the outcome of the New Hampshire means test.
What is a Means Test?
A means test basically compares your income to others in New Hampshire. In order to qualify for Chapter 7 bankruptcy, you must be below the median income level for the state. If your income is above that median number, you can try to file for Chapter 11 or 13 bankruptcy. Even if you score above the median, you may still be able to pursue Chapter 7 bankruptcy, but the court will want to hear about any extenuating circumstances or reasons you think you should be considered for Chapter 7.
The number is determined based on income level and the number of people claimed in the household. It also takes certain expenses into consideration, such as food, housing, childcare, and transportation. Currently in New Hampshire, the median income for a single person is just above $55,000. For a married couple, it is just above $67,000. The income guideline rises with each child in the household.
Experienced Means Test Attorney
Our firm can look over your documentation and determine where you stand in comparison to others in New Hampshire. We can apply the means test and then further explain your options. With our help, you will know you stand and be better prepared to move forward and file for the type of bankruptcy that is right for you. Let us help you navigate the means test and help you get back on stable financial footing.