How big is my “household” and why does the Bankruptcy Court care?

If you file for bankruptcy in Connecticut or anywhere else, then one piece of information you need to know is your “household size.”

Why is household size so important?  Because of the Means Test.

Under the Means Test, you can file for Chapter 7 bankruptcy only if your monthly income is below the monthly median income for your state.  If you live by yourself in Waterbury, CT, then that means your household size is 1 and your income needs to be less than $4,877.

However, if your household size consists of more than 1, then the threshold for monthly median income increases.  In other words, the more people in your household, the higher the ceiling you have for meeting the median income standard that would enable you to file for Chapter 7 bankruptcy in Connecticut.

Below are the current monthly median incomes for Connecticut.  These are subject to change each year, so be sure to consult with an experienced Connecticut bankruptcy attorney before filing.

  • 1 person = $4,877
  • 2 people = $6,049
  • 3 people = $7,220
  • 4 people = $8,510
  • 5 people = $9,085
  • 6 people = $9,660

And what is a “household”?  It doesn’t have to just be direct relatives such as a spouse or children.  Though those certainly would count.  But it could be a grandparent or even a roommate.

Household size and the Means Test are not always simple or straightforward things to figure out.  In some ways, it’s like figuring out your taxes.  You want to make sure that only the required items are counted as income and that you take any deductions for which you are eligible.  Additionally, intelligent pre-bankruptcy planning can be extremely helpful.

For these reason, if you’re considering filing for bankruptcy in Connecticut, make sure to consult with an experienced and reputable Connecticut bankruptcy attorney.

Please contact me for a free initial consultation to get answers to questions on household size, the means test and other bankruptcy topics.

Contact Attorney Melchionne

Eugene S. Melchionne, Esq.
27 First Ave.
Waterbury, CT 06710
(203) 757-3437

About Eugene Melchionne Attorney at Law

Eugene S. Melchionne, Esq. - Mr. Melchionne is a graduate of The University of Connecticut (B.A. 1977) and Drake University School of Law (J.D. 1980) where he received the American Jurisprudence Award for academic excellence.Since 1980, Mr. Melchionne has focused his practice in the areas of consumer bankruptcy, workouts and foreclosure defense in distressed real estate markets, real estate transactions, condominium law, commercial litigation, business organizations and probate. Prior to opening his office in 1990, Mr. Melchionne was associated with Grady & Riley in Waterbury, Connecticut and DiPietro, Kantrovitz & Brownstein, P.C. in New Haven, Connecticut. From 1990-1998, Mr. Melchionne was of counsel to Bender & Anderson handling that firm's complex litigation and trials. In addition to his practice, Mr. Melchionne was an adjunct professor at the American Institute of Banking and Teikyo Post University teaching bankruptcy, real estate, commercial and consumer law. Mr. Melchionne also advised the Corporation Counsel's office for the City of Waterbury on bankruptcy and foreclosure matters and mentored junior attorneys in that office. In 2005, Mr. Melchionne was appointed State Chair for the National Association of Consumer Bankruptcy Attorneys (NACBA). He acts as a liasion between the national organization and Connecticut attorneys who are members of the Association. He has fostered education of attorneys in the bankruptcy field and increased access of the public to bankruptcy relief in light of the law passed in 2005. In 2007, Mr. Melchionne was elected as Vice President of the Bankruptcy Law Network, an internet resource for consumer information on bankruptcy and now serves as its President. Bankruptcy Law Network has three sister sites, Credit Law Network, Debt Law Netowrk and Mortgage Law Network. Areas Of Practice: Consumer Bankruptcy Workouts & Foreclosure and Repossession Defense Real Estate Closings Honors: Super Lawyer Connecticut - 2007, 2008 Member of the Month - April 2006, National Association of Consumer Bankruptcy Attorneys American Institute of Banking Community Service - Ken Kovel Award, 2001 Teacher of the Year, American Institute of Banking, 1998 Pro Bono Representation of Indigent Clients, U.S. Bankruptcy Court, District of Connecticut, 1996 - 2002 American Jurisprudence Award 1978   Classes/Seminars Taught: Speaker - NACBA 2009 Convention, Chicago, IL Speaker - NACTT 2009 Convention, Boston MA Speaker - NACBA 2008 Workshop, Hilton Head, SC Speaker - NACBA 2008 Convention, Los Angeles, CA Speaker - NACBA 2007 Workshop, Las Vegas, NV Speaker - NACBA 2007 Convention, Philadelphia, PA Adjunct Professor - Bankruptcy, Real Estate, Consumer, and Commercial Law, American Institute of Banking and Teikyo Post University Past/Present Affiliations: National Association of Consumer Bankruptcy Attorneys American Bankruptcy Institute American Institute of Banking, Northwest Region Council City of Waterbury Corporation Counsel - Advisor, 1996 - 2000 Waterbury Bar Association - Chair, Committee on Bankruptcy -1998 Waterbury Credit Bureau, Inc. - Vice President, 1983 - 1985 American, Connecticut, and Waterbury Bar Associations Admitted: Connecticut, 1982 U.S. Federal Court, 1982 Education: Drake University Law School, Des Moines, IA, J.D. - 1980 University of Connecticut, Storrs, CT, B.A. - 1977 Past Positions: Bender & Anderson, Of Counsel, Hamden, Conn. DiPietro, Kantrovitz & Brownstein, P.C., New Haven, Conn. Grady & Riley, Waterbury, Conn.
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