The Bankruptcy Means Test

There is a great deal of confusion and misinformation about the bankruptcy means test and what it is intended to do. Many people mistakenly believe that the means test is used to disqualify people from eligibility for bankruptcy. In fact, the primary purpose of the means test is to determine which bankruptcy chapter you are eligible to file under.

Prior to the 2005 changes in the bankruptcy laws, there were a number of Chapter 7 filings that were considered abusive because it was suspected that the petitioners made enough money to repay at least a portion of their debts. The means test seeks to prevent these types of abusive Chapter 7 filings.

Experienced New Jersey bankruptcy lawyer Joel Spivack can assist you with your bankruptcy filing. Call him day or night to discuss your situation.

How the Means Test Works

The first step of this process involves comparing your income level with the median income level of other wage earners in your state. If your income is higher, you will proceed with the means test. All allowable expenses are subtracted from your monthly income, and the resulting net income amount is entered into a formula that determines Chapter 7 eligibility.

If it is determined that you are not eligible for Chapter 7, you may challenge the finding so long as you are able to present sufficient evidence to support it. If the finding that you are not eligible for Chapter 7 is confirmed, you are, in all likelihood, still eligible to file for bankruptcy under Chapter 13.

Speak to a New Jersey Bankruptcy Qualification Lawyer

I am bankruptcy attorney Joel R. Spivack. I invite you to visit my Cherry Hill office for a free, in-person consultation to discuss your financial situation and the debt relief options that are available to you. My regular business hours are 8 a.m. to 5 p.m., Monday through Friday. Free parking is available. You can reach me by phone at 856-488-1200 . You can also contact me via e-mail.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.

Our Client Reviews on Google

Results may vary depending on your particular facts and legal circumstances.

Destiny Waller

2022-03-06

Very grateful that we hired Joel for our home purchase! He was extremely professional and made the process smooth sailing. He always responded to our questions same-day and was happy to explain the process to us several times (which we definitely needed.) We weren’t sure we needed an attorney for purchasing a home, but we saved money and stress during the negotiation process, so certainly worth it. Thank you for your help Joel!

Caius Santos

2022-02-14

If you’re considering filing bankruptcy I highly recommend you use Joel Spivack. He is knowledgeable, courteous and professional. He guided me through the process and went through smoothly without any surprises.

Joe Delia

2022-02-02

Joel has had our back on more than one occasion. He's professional and personable. I called him on a Friday after hours and he called right back. Talk about peace of mind. I didn't have to sit on a problem over the weekend. He's helped us sort out some pretty sizable problems for a very reasonable fee. Hiring him was one of the best decisions we ever made.

B Lal khan

2022-01-25

I found Mr Spivack to be an extremely intelligent and compassionate attorney who helped us through a very difficult financial time. He handled our bankruptcy efficiently and made us very comfortable with our choice to file. I also felt that his fees were EXTREMELY reasonable compared to most bankruptcy attorneys. He even offered us follow up advice after the bankruptcy, if I were to need any. I would highly recommend Mr Spivack if searching for an attorney.

B Noshn

2022-01-25

Highly Recommend, Mr Spivak helped me with a very difficult situation that I was in. From the very first meeting with him, he explained everything to me clearly. He was always available to me and always return my calls or texts promptly. He always sent me any information that he received from the courts with an explanation.

Sandra Waite

2022-01-24

Joel Spivack helped us with our recent bankruptcy and I can't say enough great things about him. He was professional, responsive to our many questions and did not make us feel bad about having to file bankruptcy. He knows everything there is to know about the laws surrounding bankruptcy and guided us through the entire process. If you want someone who knows the law and will help you every step of the way, Mr. Spivack is the person to call.

Greg Clementi

2022-01-24

Helped me every step of the way, let me know all my options

Brian Speigel

2021-11-24

Dear sir , i had a good experience with you getting it done right and helping me with the process

joseph hoffman

2021-11-13

Mr. Spivak was experienced, knowledgeable, and understanding in representing us in a closing resulting in a successful transaction. I highly recommend him.

Damiana Padilla

2021-10-16

Joel has been a life saver. He has gone above and beyond our expectations. We made the mistake of not hiring a lawyer during attorney review and once we started having issues we hired Mr. Spivack. After speaking to him we knew he would help us through the rest of the real estate transaction. Joel did not disappoint he went above and beyond and gave us piece of mind. Thank you Joel for your professionalism and proficiency, we look forward to a continuous relationship.

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Joel R. Spivack

NJ & PA Consumer Bankruptcy & Real Estate Transacations Attorney

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The Bankruptcy Means Test

How the Means Test Works

Speak to a New Jersey Bankruptcy Qualification Lawyer

Our Client Reviews on Google

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