Kansas City Lawyer
 
Kansas City bankruptcy attorney  
Law Offices of
Mark A. Wortman
9229 Ward Parkway
Suite 255
Kansas City
Missouri 64114
Tel (816) 523-6100
Fax (816) 523-6106
Office Information
 

Bankruptcy Exemptions

WE ARE A KANSAS CITY DEBT RELIEF AGENCY. WE HELP PEOPLE FILE FOR BANKRUPTCY RELIEF UNDER THE BANKRUPTCY CODE

Exemptions

Experienced Kansas City bankruptcy lawyer Mark Workman will help you with your debt relief. Kansas City Bankruptcy Lawyer practices in Missouri and Kansas. The bankruptcy law provides for "exemptions" that debtors can use to protect property. If an exemption can be applied to a particular item of property, then that property is protected and it cannot be taken and sold to pay creditors in a Chapter 7. Exemptions are also relevant in a Chapter 13 case because non-exempt property must be valued and the equivalent in cash paid to the creditors through the plan, so properly applying exemptions can drastically affect the amount of the plan payment. Exemptions exist for all types of property, such as real estate, vehicles, household and personal goods, retirement plans, and sometimes even cash. Although bankruptcy law is primarily federal, and the federal law does provide its own set of exemptions, in the vast majority of Chapter 7 and Chapter 13 cases, Missouri and Kansas state exemption laws are used. 

Residency restrictions do apply, however, and although there is only a roughly three month (greater part of 180 days) residency requirement to file the bankruptcy case itself, there is a 2 year requirement for state exemptions. The appropriate state exemptions to be used are those of the state where the debtor's domicile was located for the 730 day period (2 years) prior to the filing of the case. If the debtor's residence was not located in one single state for that 2 year period, then the state where the debtor's domicile was located for the 180 day period (roughly 6 months) before the 2 year period, or for a longer portion of such 180 day period than any other place, is used. This means that it is possible for a debtor to file bankruptcy in one state, but will have to use the exemptions from another state, or the federal exemptions.

It is important to note that the term “exemption” means the ability to protect income or property from creditors, it does not mean that it exempt from inclusion in income for purposes of qualification for bankruptcy or the means test.

Bankruptcy Exemptions for Missouri and Kansas

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Missouri Bankruptcy Exemptions

Exemption Individual Joint

Household goods, furnishings, clothing, books, appliances, musical instruments, animals, crops

$3000

$6000

Motor Vehicle

$3000

2@$3000 max each vehicle

Homestead

$15000

$15000

Mobile Home (land not exempt)

$5000

$10000

Wedding Ring

$1500

$3000

Other Jewelry

$500

$1000

Tools of the Trade

$3000

$6000

Wild card (can be used for any property, account, or cash)

$600

$1200

Head of Household (can be used for any property , account, or cash

$1250+$350 for each child

$1250+$350 for each child

Unmatured Life insurance dividends, interest, loan value

$150,000

$300,000

Qualified retirement plan

Unlimited

Unlimited

Retirement benefits- local government employees

Unlimited

Unlimited

Retirement benefits – city employees

Unlimited

Unlimited

Retirement benefits- police and highway patrol

Unlimited

Unlimited

Retirement benefits-state employees

Unlimited

Unlimited

Retirement benefits – teachers and school employees

Unlimited

Unlimited

Retirement benefits – special consultants on retirement, aging

Unlimited

Unlimited

Retirement benefits – administrative judges and legal advisors

Unlimited

Unlimited

Burial plots

1 acre or $100

2 acres or $200

Workers compensation claims or funds

Unlimited

unlimited

Financial responsibility deposits with state treasurer

Unlimited

Unlimited

Specific partnership property

Unlimited

Unlimited

Life insurance benefits

Unlimited

Unlimited

Surviving spouse of judge

Unlimited

Unlimited

Unmatured life insurance

 Unlimited

Unlimited

Health aids

Unlimited

Unlimited

Government benefits and public assistance (social security, unemployment, VA, disability

Unlimited

Unlimited

Alimony or support

$750 per month

$750 per month

Reasonable and necessary stock bonus, pension, annuity, or retirement plan payments

Reasonable and  necessary

Reasonable and necessary

Wrongful death awards

Reasonable and necessary

Reasonable and necessary

Tenancy by the entirety property

Certain circumstances

Certain circumstances

Net earnings

75% , 90%  if head of household

75%, 90% if head of household

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Kansas Bankruptcy Exemptions

Exemption Single Joint

Household goods, furnishings, clothing, books, appliances, musical instruments, animals, crops

Unlimited

Unlimited

Motor Vehicle

$20000

2@20,000

Homestead

Unlimited value if under 160 acres farm land or 1 acre city

Unlimited value if under 160 acres farm land or 1 acre city

Mobile Home (land not exempt)

Unlimited value if under 160 acres farm land or 1 acre city

Unlimited value if under 160 acres farm land or 1 acre city

Jewelry

$1000

$2000

Trade tools, breeding stock, seed grain, growing plants

$7500

$15000

Qualified retirement plan

Unlimited

Unlimited

Retirement benefits-  police and firemen

Unlimited

Unlimited

Retirement benefits – state school employees

Unlimited

Unlimited

Retirement benefits-  court reporters

Unlimited

Unlimited

Retirement benefits- judges

Unlimited

Unlimited

Retirement benefits – public employees and elected officials

Unlimited

Unlimited

Retirement benefits –  Highway Patrol

Unlimited

Unlimited

Retirement benefits – administrative judges and legal advisors

Unlimited

Unlimited

Funds held for prearranged funeral agreement

Unlimited

Unlimited

Luggage detained by innkeeper

Unlimited

unlimited

Public Assistance

Unlimited

Unlimited

Life Insurance

Unlimited if case filed greater than 1 year after policy

Unlimited if case filed greater than 1 year after policy

Fraternal Benefit Society benefits

Unlimited

Unlimited

Liquor club or license

Unlimited

Unlimited

Workers Compensation

 Unlimited

Unlimited

Unemployment Compensation

Unlimited

Unlimited

National Guard uniforms, arms, and equipment

Unlimited

Unlimited

Specific Partnership Property

Unlimited

Unlimited

Burial Plot

Unlimited

Unlimited

Earnings

Greater of 75% or 30x federal minimum wage

Greater of 75% or 30x federal minimum wage

Crime victims separation award

Unlimited

Unlimited

Liquor license

Unlimited

Unlimited

Cemetery trust fund money

Unlimited

Unlimited

Property listed in 11 USC §522(d)

11 USC §522(d)

11 USC §522(d)

 

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Missouri and Kansas Bankruptcy Lawyer

Mark A. Wortman is an experienced Kansas City Bankruptcy Lawyer practicing in Missouri and Kansas. Our law firm handles Business and Individual Chapter 7 cases as well as Consumer Chapter 13 reorganization cases in the Western District of Missouri and the District of Kansas. Contact us to talk to a Kansas City bankruptcy attorney today.

 

Related Topics:
Chapter 7 Bankruptcy
Chapter 7 Means Test
Chapter 13 Bankruptcy
Chapter 13 Plan & Plan Payment
Bankruptcy Exemptions

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