State vs. Federal Exemptions
New York and Long Island Bankruptcy Lawyers
By filing bankruptcy you can defeat your creditors and keep your assets! The assets you can keep are defined by the New York Exemption Law. For more than 45 years the Law Offices of Schlissel DeCorpo has been utilizing our experience and knowledge of the bankruptcy statutes to find solutions to our client’s financial problems. At your initial consultation we will discuss what property you have that is exempted under New York State Law.
New York State Bankruptcy Exemptions
- Homestead Exemptions: An individual who resides in New York State in his or her primary residence now has a $150,000.00 bankruptcy exemption. A husband and wife, who own a home together and reside in the residence, can now exempt up to $300,000.00 in equity in their home.
- If you have tools that you use for your employment or profession, you can exempt up to $3,000.00 of those tools value.
- If you own a car, up to $4,000.00 of the equity in each car you own is exempt.
- Cash Exemption: There is a $10,000.00 household exemption for household goods or wearing apparel. Any portion of that $10,000.00 not utilized for those purposes can exempt cash up to $5,000.00 per person as long as it does not exceed in a total of $10,000.00 in the aggregate.
- You can exempt a wedding ring, a watch, art or other types of jewelry for up to $1,000.00.
- If you do not utilize the Homestead Exemption you have an additional $1,000.00 exemption in personal property or money in a bank account. This would enable you to keep up to $6,000.00 per person of funds in a bank account. This can also apply to tax refunds received from tax returns.
In New York you have a choice to either utilize the New York State exemptions or the Federal Exemptions. The following is a list of some of the Federal Exemptions:
- $10,779.00 of household goods, household furnishings and wearing apparel is exempted under the Federal Exemption Statute.
- Monies received from personal injury lawsuits of up to $20,200.00.
- Pension and retirement benefits.
- Money received from unemployment compensation, disability payments, unemployment benefits and veterans benefits. It should be noted that all these aforementioned items are also exempt under New York State Law.
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- $20,200.00 is the Federal Real Property Exemption.
- There is a “wild card” provision under Federal Law. This allows $10,825.00 of any unused amount of the homestead that exemption plus $1,075.00 on any property. So if you do not use the Homestead Exemption, you have $11,975.00 of a wild card exemption on any property that you own.
Bankruptcy Exemptions and You
Bankruptcy is a complicated area of the law. You should only consult with experienced knowledgeable bankruptcy attorney. The Law Offices of Schlissel DeCorpo has filed in excess 500 bankruptcies on behalf of our clients. Call us for a free consultation at 1-800-344-6431, 516-561-6645 or 718-350-2802.
Contact The Law Offices of Schlissel DeCorpo
Call us for a free consultation at 1-800-344-6431, 516-561-6645 or 718-350-2802. We will help explain all your rights, how bankruptcy works and what our law firm can accomplish for you at your initial consultation. We will also explain to you what creditors can do and cannot do to you under New York State Law.
We have offices in Lynbrook, Queens and Suffolk County, and we represent individuals in Long Island, Queens, Nassau County, Suffolk County and throughout New York.