Yes, I've been offered a job out of state starting next month at about 5k/month, and my wife will probably be making at least 2k/month in a few months.
The business lines of credit are all personal guaranteed by me as owner, as any credit account would be. When these credit accounts were readily available years ago, the only they looked at was the personal credit of the guarantor/owner of the business.
I've been told by others that I need to time the bk filing:
1. Before any possible judgments / garnishments;
2. Before my previous 6 months' income at time of filing disqualifies me on the means test;
3. But only after my financial and credit account statements look reasonable and don't show any large transfers to and from various accounts to which the trustee or creditors would object to as "preferred" creditor treatment or contestable transfers.
**If I am married and decide to file bk alone, is total household income threshold (around 89k/yr for family of 5) for the means test still valid?
1) Yes - when a debtor files alone, without his or her spouse, the Bankruptcy court looks at both spouse's incomes in exactly the same manner for the Means Test as it does when both spouses file.
2) The Means Test is not the definitive determinant of whether or not a debtor can file a Bankruptcy - it is only a guide. You will also be asked if your income is expected to increase in the 12 months after filing, and if the answer is "yes", the Bankrutpcy court can base your Means Test on your income going forward.
3) The Bankruptcy trustee has the authority to reverse any "fraudulent transfers" during the 2 years before a Bankruptcy is filed, so it would not be relevant for a trustee to ask for bank records more than 2 years before a Bankruptcy is filed. Bankruptcy Stat. 548.
4) In Community Property states - such as Washington state - both spouses are generally liable for the debts incurred by only one spouse if those debts were incurred during the marriage. The fact that your wife will remain liable for the debts that are discharged for you if you file alone, would be a good reason for both of you to file.
I think this is what you wanted to know. If not, please let me know.Thank you.
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