The new guidelines will result in a typical reduction of between 10 and 15% for most cases, which could also affect bankruptcy cases.
Here are a few of the ways in which a change in child support could affect your bankruptcy case:
- If you pay child support and are in the process of filing for bankruptcy, the budget your are preparing as part of the required schedules and your means test qualification calculations can both change if your child support changes.
- If you receive child support and are in the process of filing for bankruptcy, your income and your means test qualification calculations can both change if your child support changes.
- If you receive child support and you have already filed a Chapter 7 liquidation bankruptcy but have not received a discharge yet, a change in child support could require amending your filings to update your current income (or you might be asked this question at your Section 341 meeting).
- If you receive or pay child support and you are currently paying a Chapter 13 bankruptcy plan, your plan payment could be affected by a change in support and you may need to file an amended plan and notify the trustee of the change.
These are just a few of the ways that a child support change could affect a bankruptcy filing, and if you believe that you might be subject to a child support modification you should also discuss this issue with your bankruptcy counsel.