Real World Law, P.C.

Our Practice Areas

Federal Bankruptcy Exemptions

Child support and Alimony
Recent unpaid taxes
Some student loans
Purchases within 90 days of filing
Fraudulent debts
Life insurance contracts
Pensions and retirement benefits
Lost earnings payments
Unemployment benefits
Personal injury settlements

Federal Bankruptcy Exemptions

Pennsylvania is one of few states that allow debtors to use both state and federal bankruptcy exemptions. Other states, such as Delaware, have opted-out of the federal system and do not allow debtors access to federal bankrutpcy exemptions. Below you will find a list of federal exemptions, and the maximum amount allowed per individual. To see if your state allows federal exemptions, please click here.

Section	Description	Max Amount*
522(d)(1)	Real or personal property used as a residence (e.g. a trailer)	$18,450
522(d)(2)	Debtor's interest in one motor vehicle	$2,950
522(d)(3)	Household goods, clothing, appliances, animals, crops, musical instruments for family use, not to exceed $475 in any one item.	$9,850
522(d)(4)	Personal jewelry	$1,225
522(d)(5)	Aggregate interest in any property, not to exceed $975 in value plus $9,250 of unused amount of exemption under 522(d)(1)	$10,225
522(d)(6)	Implements, professional books, tools of trade	$1,850
522(d)(8)	Unmatured life contract's accrued dividend	$9,850
522(d)(9)	Professionally prescribed health aids	n/a
522(d)(10)	Debtor's right to receive social security, veteran's benefits, disability, illness and unemployment benefits, alimony, support or maintenance to extent reasonably necessary for the support of debtor and dependents. Also a payment under a stock bonus, pension profit-sharing, annuity or similar plan on account of illness disability, death, age or length of service to the above extent.	n/a
522(d)(11)(d)	Bodily injury settlement for pain & suffering or other loss	$18,450

* This figure is the maximum amount allowed per individual. The limits for married couples are double the maximum deduction amount.