Legal Question in Bankruptcy in California
I need to file a Chapter 7 bankruptcy. I am renting a room from a family and paying a part of utilities, buying my own food and of course, paying all of my own expenses. When I took the means test, it appeared as though I would have to include their income in my means evaluation. Is that accurate? OR can I use the amount that I am paying them as rent?
Asked on 6/19/10, 8:56 am
1 Answer from Attorneys
Mark Markus
Law Office of Mark J. Markus
Unless they are giving you money, their income doesn't factor into it. Rent does not get put on the means test (there's a pre-fixed amount). Actual rent/utilities gets put on schedule "J". If you don't have one, you should enter into a rental agreement with them to substantiate what you're doing.
Answered on 6/19/10, 12:07 pm