Filing for Bankruptcy as a Senior Citizen

Even though filing for bankruptcy may be something someone considers in a young age, some individuals may find they have to think about it for other reasons within their later years. Since pensions have decreased more than the years and medical care costs have increased, many senior citizens are still left searching for relief.

One associated with the leading factors behind financial debt for the elderly is usually medical debt. Luckily this really is one of the simplest forms to remove. If a person have accrued a great deal of overwhelming medical financial debt, we understand it may bring a lot of stress. It is essential to note that submitting for bankruptcy will just eliminate debt you have got at the time and will not include upcoming debt, so you may would like to hold off till you know you may include all your expenses.

Many people worry about their own retirement accounts should they file for bankruptcy. This is important to remember that federal and state bankruptcy laws allows the majority of tax-exempt retirement accounts to be exempted throughout bankruptcy. This includes 401(k)’s, 403(b)’s, profit sharing programs, as well as each IRAs and Roth IRAs. It is imperative to know the bankruptcy legislation only exempts valid pension funds.

elderly man photo

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Just like any kind of other filer, senior people must pass the personal bankruptcy means test to qualify to file for personal bankruptcy. The means test analyzes your average monthly revenue against the median for your state, to determine if you qualify to obtain Chapter 7. It is usually important to note that any income you receive beneath the Social Security Act will not be included as income for that means test. Even even though it is not really calculated in to your income for your indicates test, it still should be factored in since part of your household income.

If you have found yourself trying to juggle your difficult finances, do not fret. There is certainly hope! Our attorney will help you consider your options. Call our experienced bankruptcy lawyers today for more information