Titus, AL asked in Bankruptcy for Alabama

Q: I am hoping to convert from.a 13 to a 7. Since my 13, my 19 year old daughter has been working, whom still lives

At home with me. Will the courts consider her income as part of mine? Even though i do not use her money as contribution to my household?

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2 Lawyer Answers
Kevin M Ryan
Kevin M Ryan
Answered
  • Bankruptcy Lawyer
  • Loxley, AL
  • Licensed in Alabama

A: If you schedule your sole income and your sole expenses on Schedules I and J, your daughter's income from her employment should not be factored in. The corollary to that assumption is that your daughter earns just enough to pay for things like her vehicle, insurance, food ( at school or her job) etc, and that these expenses are not included on your bankruptcy expense schedule. If your daughter is actually paying you a flat amount of rent every month pursuant to a lease, then you should list the rental income on your Form 22 (A) for ch 7, and on your schedule I and J. If that is the case, make sure you deduct expenses from the gross rent. The most common way to handle this scenario is the first example above, by making sure you do not include her sole income and her sole expenses.

1 user found this answer helpful

Timothy Denison
Timothy Denison
Answered
  • Bankruptcy Lawyer
  • Louisville, KY

A: No. They will not consider it.

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