Surplus Income And Bankruptcy

2009-04-06   minute read

Hello, There is no limitation on how much money you can earn while in bankruptcy. However, there are surplus income guidelines established by the Superintendent of Bankruptcy under which an individual is required to pay into a bankruptcy estate a percentage of their income that is above the guideline or threshold. For example, the standard guideline for a household of one is currently 1,870 and the guideline for a household of two is $2,328. These amounts are net of tax deductions. Surplus income may also be reduced by certain non-discretionary expenses such as child support, alimony, health-related expenses, fines or penalties, and certain employment-related expenses (e.g. a truck driver’s meals on the road). Discretionary expenses such as groceries, rent/mortgage, utilities etc. are not applicable in calculating the amount of surplus income. For more information contact an MNP Trustee in your area. Brad Milne Trustee in Bankruptcy Brandon, Manitoba

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