Iowa Bankruptcy Exemptions 2020

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Written by Upsolve Team.  
Updated August 9, 2020

In a Nutshell

It's important to understand what the exemptions for Iowa are and how they're most often used in a bankruptcy case.

How Do Exemptions Work?

When you file for Chapter 7 bankruptcy, one of the biggest questions is whether or not you will be able to keep your property.

That depends on which property exemptions you can use on your bankruptcy forms. They are called exemptions because they “exempt” -- or “excuse” -- certain property from being taken. In most cases, exemptions protect most day-to-day items that you own, unless you have expensive property like a house or a car.

Certain exemptions protect entire categories of property like retirements accounts, regardless of value. Other exemptions only protect specific property like a vehicle up to a certain value.

If you're looking for a deep understanding of bankruptcy exemptions, read this article.

Does Iowa allow federal exemptions?

Iowa does not recognize the federal exemptions.

Every state has its own set of property exemptions. And some states also allow you choose between their exemptions and a set of federal bankruptcy exemptions. When they do, they will generally let you to choose the system that is the best fit for you. Although some states allow you to use the federal bankruptcy exemptions, others do not.

Iowa Exemptions

11 U.S.C. § 522(b)(3)(C)

Most people use 11 U.S.C. § 522(b)(3)(C) to cover tax exempt retirement accounts. For single debtors filing, it has no coverage limit.

5 U.S.C. §§ 8437(e)(g), 11 U.S.C. § 541(c)(2)

Most people use 5 U.S.C. §§ 8437(e)(g), 11 U.S.C. § 541(c)(2) to cover thrift savings plan. For single debtors filing, it has no coverage limit.

Iowa Code § 123.38

Most people use Iowa Code § 123.38 to cover liquor permit. For single debtors filing, it has no coverage limit.

Iowa Code § 239B.6

Most people use Iowa Code § 239B.6 to cover aid to dependent children. For single debtors filing, it has no coverage limit.

Iowa Code § 29A.41

Most people use Iowa Code § 29A.41 to cover equipment of national guard. For single debtors filing, it has no coverage limit.

Iowa Code § 356.29

Most people use Iowa Code § 356.29 to cover wages (prisoner). For single debtors filing, it has no coverage limit.

Iowa Code § 410.11; Iowa Code § 411.13

Most people use Iowa Code § 410.11; Iowa Code § 411.13 to cover firefighters, police officers benefits. For single debtors filing, it has no coverage limit.

Iowa Code § 486A.203

Most people use Iowa Code § 486A.203 to cover partnership property. For single debtors filing, it has no coverage limit.

Iowa Code § 508.32

Most people use Iowa Code § 508.32 to cover life insurance (if clause prohibits). For single debtors filing, it has no coverage limit.

Iowa Code § 509.12

Most people use Iowa Code § 509.12 to cover life insurance (group). For single debtors filing, it has no coverage limit.

Iowa Code § 512B.18

Most people use Iowa Code § 512B.18 to cover fraternal benefit. For single debtors filing, it has no coverage limit.

Iowa Code § 627.13

Most people use Iowa Code § 627.13 to cover workers compensation. For single debtors filing, it has no coverage limit.

Iowa Code § 627.18

Most people use Iowa Code § 627.18 to cover public property. For single debtors filing, it has no coverage limit.

Iowa Code § 627.19

Most people use Iowa Code § 627.19 to cover adopted child assistance. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (1)(a)

Most people use Iowa Code § 627.6 (1)(a) to cover wedding rings - $7,000 minus jewelry amount, if purchased after marriage and up to 2 years prior to filing. For single debtors filing, it has a coverage limit of $7,000.

Iowa Code § 627.6 (1)(b)

Most people use Iowa Code § 627.6 (1)(b) to cover jewelry. For single debtors filing, it has a coverage limit of $2,000.

Iowa Code § 627.6 (10)

Most people use Iowa Code § 627.6 (10) to cover tax refunds, accrued wages. For single debtors filing, it has a coverage limit of $1,000.

Iowa Code § 627.6 (11)

Most people use Iowa Code § 627.6 (11) to cover tools of trade (nonfarming). For single debtors filing, it has a coverage limit of $10,000.

Iowa Code § 627.6 (12)

Most people use Iowa Code § 627.6 (12) to cover farm animals. farming equipment, feed and livestock. farm and fishing supplies, chemicals, and feed.. For single debtors filing, it has a coverage limit of $10,000.

Iowa Code § 627.6 (16)

Most people use Iowa Code § 627.6 (16) to cover wrongful death awards . For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (2)

Most people use Iowa Code § 627.6 (2) to cover one rifle or musket and one shotgun. For single debtors filing, it has no coverage limit. This exemption has a limit to the number of assets it can cover.

Iowa Code § 627.6 (3)

Most people use Iowa Code § 627.6 (3) to cover books, antiques, art, collectibles. For single debtors filing, it has a coverage limit of $1,000.

Iowa Code § 627.6 (5)

Most people use Iowa Code § 627.6 (5) to cover household goods and furnishings. electronics. musical instruments. wearing apparel. For single debtors filing, it has a coverage limit of $7,000.

Iowa Code § 627.6 (6)

Most people use Iowa Code § 627.6 (6) to cover life insurance proceeds. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (6)

Most people use Iowa Code § 627.6 (6) to cover life insurance (spouse, child) - $10,000 if acquired withing 2 years of filing. For single debtors filing, it has a coverage limit of $10,000.

Iowa Code § 627.6 (7)

Most people use Iowa Code § 627.6 (7) to cover health aids. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(a)

Most people use Iowa Code § 627.6 (8)(a) to cover unemployment compensation. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(b)

Most people use Iowa Code § 627.6 (8)(b) to cover veterans' benefit. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(c)

Most people use Iowa Code § 627.6 (8)(c) to cover disability or health benefits. For single debtors filing, it has a coverage limit of $250.

Iowa Code § 627.6 (8)(d)

Most people use Iowa Code § 627.6 (8)(d) to cover alimony or maintenance support. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(e)

Most people use Iowa Code § 627.6 (8)(e) to cover pensions, annuities. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(f)

Most people use Iowa Code § 627.6 (8)(f) to cover erisa (employee retirement account). For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(f)

Most people use Iowa Code § 627.6 (8)(f) to cover keogh plan. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (8)(f)

Most people use Iowa Code § 627.6 (8)(f) to cover ira & roth ira. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (9)

Most people use Iowa Code § 627.6 (9) to cover motor vehicle (one). For single debtors filing, it has a coverage limit of $7,000. This exemption has a limit to the number of assets it can cover.

Iowa Code § 627.6(13)

Most people use Iowa Code § 627.6(13) to cover wages (farmer). For single debtors filing, it has no coverage limit.

Iowa Code § 627.8

Most people use Iowa Code § 627.8 to cover federal government pension. For single debtors filing, it has no coverage limit.

Iowa Code § 642.21

Most people use Iowa Code § 642.21 to cover unpaid wages - greater of 75% of disposable earnings or 40 times the federal minimum wage (iowa has complex alternative - iowa code §§ 627.6, 627.11, 627.12, and 642.21). For single debtors filing, it has no coverage limit.

Iowa Code § 97A.12

Most people use Iowa Code § 97A.12 to cover peace officers retirement benefits. For single debtors filing, it has no coverage limit.

Iowa Code § 97B.39

Most people use Iowa Code § 97B.39 to cover public employees retirement benefits. For single debtors filing, it has no coverage limit.

Iowa Code § 627.6 (14)

Most people use Iowa Code § 627.6 (14) to cover wildcard. For single debtors filing, it has a coverage limit of $1,000.

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