The “New” Bankruptcy law from 2005 establishes a median income to determine whether you can file a Chapter 7 or whether you have to consider filing a Chapter 13. The median income is calculated on a State by State basis and is further determined by household size–just think of “heads on the beds.”
As you may have guessed, things in Michigan are getting worse and the median income thresholds are decreasing. Effective November 1, 2010, the Median Income figures for Michigan will change as follows:
Household Size Old New
1 person: $43,456 DOWN to $41.875.
2 persons: $52,433 DOWN to $49,919.
3 persons: $61,517 DOWN to $59,190.
4 persons: $74,558 DOWN to $70,600.
5 or more: Add $7,500 instead of $6,900.
Need more information – Please call me at (989) 233-9389 or get in touch with me through this blog or check out my web site at bankruptcy-doctor.com.