In order to qualify for a Chapter 7 bankruptcy in Arizona, your income must meet certain requirements. The court looks at the median annual income for Arizona as a reference point.
If your income is below the median annual income for Arizona, then it should be pretty easy for you to qualify for a Chapter 7 bankruptcy. Caveat: there are other factors that determine eligibility for a Chapter 7 bankruptcy besides income. For more on that, click here.
But generally speaking, it is important to look at the Arizona annual median income and compare it to your income. So here are the latest figures as of November 1, 2015, which will be in effect for most of 2016.
- Single Income Earner Household: $45,933
- Two Person Household: $56,351
- Three Person Household: $60,392
- Four Person Household: $71,195
- *Add $8,100 for each person in excess of four.
So if your annual household income is less than the figures above, it will be much easier for you to qualify for a Chapter 7 bankruptcy in Arizona, assuming you are otherwise qualified.
If your income is above these limits, you can still take the means test to see if you might still qualify based on your expenses and other factors. For more on the means test, click here.
Of course there are many other considerations when filing bankruptcy so it is important to have your case or potential case evaluated by a bankruptcy attorney. There may even be other alternatives available to you such as debt settlement to avoid bankruptcy.