Median Family Income for Cases Filed On or After November 1, 2015

This article is now outdated, please refer to our new article on Median Family Income after May 1st, 2016 to find the latest figures. 

The Median Family Income in Ohio amount is a dollar amount that is very important when trying to figure out whether you can file a Chapter 7 bankruptcy case.  When discussing or researching information about bankruptcy a term that comes up a lot is “median family income.”  If you do not know what this means you are not alone.

The current monthly income test is a calculation that is performed when deciding if Chapter 7 or Chapter 13 is right for your situation.  This test looks at the average gross family income for the six months prior to when your case will be filed.  The average income is then multiplied by 12 to get an annual figure, and this amount is compared to the Median Family Income in Ohio for a similar household size.

The median income figures change about two or three times each year, once or twice in the spring and once in the late fall.  In some cases it is beneficial to wait a month or two to file your case in order to make sure the numbers work.  The most recent changes to the Median Family Income in Ohio levels went into effect on November 1, 2015.

Below are the income levels depending on your household size:

• 1 person household: $44,796.00
• 2 person household: $55,705.00
• 3 person household: $64,165.00
• 4 person household: $78,889.00
• Add $8,100.00 for each individual in excess of 4

What these numbers mean in practice: if you are living by yourself and make less than $44,796.00 a Chapter 7 bankruptcy should work.  The Bankruptcy Court will also look at your monthly budget to see what income, if any, is available at the end of the month to repay creditors.

For over 10 years I have been helping individuals and families through some of life’s toughest times. If you or your family have questions about Planning for your future, Providing for your family when you are gone, or Protecting yourself and loved ones from creditors contact me today at (937) 318-1529 or via this form  [contact-form-7]

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