- Author: George Haines
- Published
Justice Department Announces New Means Testing Figures
The United States Trustee Program, a component of the Department of Justice, recently released new median income information to be used in determining bankruptcy eligibility. The bankruptcy means test is meant to identify individuals and families with higher incomes and encourage repayment of debts. Debtors with a family income above their state’s median income for that family size must complete additional testing to qualify for Chapter 7 bankruptcy or to calculate monthly disposable income paid during Chapter 13. Those below the state median income are immediately eligible for Chapter 7 bankruptcy.
In many states the median income levels have dropped, making it easier to avoid payment to unsecured creditors in either Chapter 7 or Chapter 13 bankruptcy. The new state median incomes per family size are listed below which is found at the UST website.
| FAMILY SIZE | ||||
| STATE | 1 EARNER | 2 PEOPLE | 3 PEOPLE | 4 PEOPLE * |
| ALABAMA | $39,768 | $48,770 | $51,621 | $66,434 |
| ALASKA | $53,489 | $76,118 | $82,377 | $85,581 |
| ARIZONA | $41,993 | $55,022 | $56,503 | $64,604 |
| ARKANSAS | $37,081 | $46,495 | $50,755 | $58,333 |
| CALIFORNIA | $47,798 | $62,009 | $66,618 | $75,111 |
| COLORADO | $50,242 | $65,701 | $71,138 | $83,330 |
| CONNECTICUT | $60,403 | $72,761 | $86,254 | $104,670 |
| DELAWARE | $51,711 | $62,350 | $68,439 | $85,806 |
| DISTRICT OF COLUMBIA | $45,793 | $89,233 | $89,233 | $101,582 |
| FLORIDA | $41,334 | $51,839 | $53,952 | $63,196 |
| GEORGIA | $40,631 | $52,610 | $55,829 | $68,085 |
| HAWAII | $52,975 | $65,708 | $80,618 | $83,538 |
| IDAHO | $40,303 | $51,105 | $52,366 | $59,971 |
| ILLINOIS | $47,536 | $61,253 | $70,014 | $81,680 |
| INDIANA | $41,250 | $51,926 | $61,021 | $71,113 |
| IOWA | $42,346 | $58,057 | $64,027 | $76,173 |
| KANSAS | $43,793 | $57,502 | $65,394 | $72,453 |
| KENTUCKY | $40,633 | $47,788 | $53,639 | $67,839 |
| LOUISIANA | $38,639 | $49,078 | $53,768 | $68,890 |
| MAINE | $40,560 | $53,979 | $61,702 | $72,841 |
| MARYLAND | $58,202 | $75,992 | $86,655 | $105,685 |
| MASSACHUSETTS | $55,794 | $69,569 | $84,269 | $105,299 |
| MICHIGAN | $44,072 | $52,540 | $61,110 | $74,863 |
| MINNESOTA | $48,876 | $64,454 | $77,579 | $90,945 |
| MISSISSIPPI | $35,306 | $44,149 | $44,149 | $51,140 |
| MISSOURI | $40,994 | $51,421 | $57,468 | $72,230 |
| MONTANA | $40,419 | $55,715 | $60,107 | $69,954 |
| NEBRASKA | $41,866 | $59,564 | $61,380 | $73,402 |
| NEVADA | $41,054 | $55,349 | $55,349 | $61,732 |
| NEW HAMPSHIRE | $52,588 | $67,408 | $82,656 | $97,499 |
| NEW JERSEY | $60,317 | $70,150 | $85,575 | $103,946 |
| NEW MEXICO | $38,914 | $49,538 | $50,548 | $55,184 |
| NEW YORK | $47,414 | $59,631 | $70,151 | $83,614 |
| NORTH CAROLINA | $40,736 | $51,662 | $55,049 | $66,147 |
| NORTH DAKOTA | $44,098 | $61,172 | $72,041 | $87,154 |
| OHIO | $43,057 | $53,075 | $60,679 | $76,381 |
| OKLAHOMA | $39,749 | $51,097 | $55,641 | $64,916 |
| OREGON | $44,779 | $55,568 | $60,693 | $70,812 |
| PENNSYLVANIA | $47,119 | $55,872 | $70,092 | $81,961 |
| RHODE ISLAND | $48,651 | $61,510 | $74,720 | $91,592 |
| SOUTH CAROLINA | $39,301 | $48,891 | $54,010 | $62,490 |
| SOUTH DAKOTA | $39,040 | $56,899 | $60,259 | $75,267 |
| TENNESSEE | $39,759 | $48,053 | $56,042 | $62,805 |
| TEXAS | $41,354 | $56,296 | $59,567 | $68,566 |
| UTAH | $49,347 | $57,734 | $65,311 | $70,176 |
| VERMONT | $43,772 | $60,346 | $67,388 | $79,128 |
| VIRGINIA | $51,817 | $65,510 | $75,774 | $90,945 |
| WASHINGTON | $52,996 | $63,409 | $72,286 | $84,970 |
| WEST VIRGINIA | $42,415 | $45,284 | $54,229 | $65,442 |
| WISCONSIN | $43,958 | $57,903 | $67,808 | $80,198 |
| WYOMING | $51,116 | $65,237 | $70,319 | $76,120 |
| * Add $8,100 for each individual in excess of 4. | ||||
