QUESTION
What am I suppose to do to my veterans benefits on bankruptcy case?
Asked on Feb 26th, 2014 on Bankruptcy - Idaho
More details to this question:
A lot of talk that VA Benefits are included in the means test on line 10 as Social Security is not. However, all indications from the Bankruptcy Code and VA Code indicated that they cannot. So what is a person suppose to do in this case?
7 ANSWERS
Unless you meet the narrow requirement as a disabled veteran whose debts were made while on active duty, you should include your VA disability. Frankly, I wouldn't sweat this requirement and I would always include the VA disability benefits so you are not subjected to a full audit over when your debts were made. Most of the time, I can get my clients through the Means Test. Experience does help.
Answered on Feb 28th, 2014 at 9:15 PM
Social Security Benefits (by law) are not income for purposes of the Means Test. VA Benefits do not enjoy the same status.
Answered on Feb 28th, 2014 at 9:14 PM
Debt Settlement Attorney serving Chicago, IL
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Law Offices of Daniel J. Winter
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Generally, veterans benefits are included in your income; that doesn't mean you'll automatically fail the means test. You should contact an experienced attorney to do the means test properly to see. Even if you are over the median income, you can still pass the test and qualify for Chapter 7 Bankruptcy.
Answered on Feb 28th, 2014 at 9:12 PM
Debt Relief Attorney serving Anaheim, CA
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Marlin Branstetter Attorney at Law
Veterans benefits are income and should be listed on the means test.
Answered on Feb 28th, 2014 at 9:11 PM
Commercial Bankruptcy Attorney serving Davie, FL
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Law Office of Jeffrey Solomon
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VA Benefits are included in the means test even though exempt from creditors.
Answered on Feb 28th, 2014 at 9:06 PM
Deborah F. Bowinski
There are only a very few, very specific things that do not have to be included in the means test. Everything else must be listed and counted. The means test is complicated, and you could do yourself a favor and hire an experienced lawyer to guide you through the bankruptcy process.
Answered on Feb 28th, 2014 at 9:06 PM
General Practice Attorney serving Coeur d'Alene, ID
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Michael B. McFarland, PA
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VA benefits are currently included in the means test calculation - at least in Idaho - as are Railroad Retirement benefits- even though they (like Social Security) cannot be attached. It would be advisable to consult with an experienced bankruptcy attorney in your area for assistance in doing the means test calculations.
Answered on Feb 28th, 2014 at 8:01 PM