- 0 Comments
- November 15, 2016
- by admin
- Leave a comment
Money is regularly a worry with Bankruptcy, so I want to talk you through a number of the factors around income and going bankrupt
Bankruptcy in Gladstone is always going to be complicated and frustrating, specifically because it includes cash and people’s livelihoods. A lot of people always ask us how bankruptcy will affect their income, because insolvency is going to restrict just how much you can make. When it comes to Bankruptcy it is primarily going to take into consideration your complete income and the number of dependants that you have
How is this determined?
You ought to know about Bankruptcy that there are actually established amounts that you could earn– yes, this indicates that you will not be left penniless, but nor does it mean that you could be earning a six figure paycheck and not actually be repaying bankruptcy debt.
Net income is the pre-tax/ in the hand quantity you gain annually.
A dependant is somebody who lives with you and makes below $3,124 each year (regardless of their age).
Could this be raised?
Yes, under some scenarios you can get a hardship variant that raises the threshold amount, if you have financial obligations in Gladstone like health-related, child care, considerable travel to and from work, or a circumstance where your partner used to work but is no longer able to assist the household income.
Could my boss be told about this?
No, the advantage about Bankruptcy is that your employer will not be advised when you file for bankruptcy.
What about child support?
Child support is always considered in insolvency– this means that if you receive child support, that is not factored in as earnings. Having said that if you pay child support this will be typically obtained from your net income amount, for example if you provide $5,000 child support each year and you have no dependents living with you then your altered net income limit will be $55,332.10.
What about tax-time, do I continue to get money back?
If one of your creditors is the ATO (for unpaid taxes), then your tax refund will very likely be taken by the ATO when you are bankrupt to chip in toward your tax debt. If you don’t have a tax bill then you will keep your tax refund so long as that doesn’t take you over your threshold income level caps.
So what is considered income?
There are a lot more issues involving income and Bankruptcy– especially because many individuals will argue with what is considered ‘income’- if you’re uncertain, it’s a smart idea to get specialist personal bankruptcy advice in Gladstone.
Easily among the most important features of Bankruptcy is that you need to get advice as early as possible because it will make sure you are taking the correct path. It is always going to be best to be over prepared due to the fact that when it comes to Bankruptcy knowledge is power, and as soon as you have filed the documentation it’s far too late to change your decision.
If you think when it comes to Bankruptcy, your case is more complex than what is touched on above, then I would highly advise that you get expert guidance in Gladstone.
If you would love to learn more about what to do, where to turn and what concerns to ask about with Bankruptcy, then don’t think twice to get in touch with Bankruptcy Experts Gladstone on 1300 795 575, or explore our website: www.bankruptcyexpertsgladstone.com.au.