New York Bankruptcy Exemptions 2023
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Written by Upsolve Team.
Reviewed September 29, 2021
It's important to understand what the exemptions for New York 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 New York allow federal exemptions?
New York allows the use of 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.
Federal Exemptions
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.
11 U.S.C. § 522(d)(2)
Most people use 11 U.S.C. § 522(d)(2) to cover motor vehicle (one). For single debtors filing, it has a coverage limit of $4,450. This exemption has a limit to the number of assets it can cover.
11 U.S.C. § 522(d)(4)
Most people use 11 U.S.C. § 522(d)(4) to cover jewelry. For single debtors filing, it has a coverage limit of $1,875.
11 U.S.C. § 522(d)(3)
Most people use 11 U.S.C. § 522(d)(3) to cover household goods, one computer, tv, vcr, and radio, electronics, antiques, books, musical instruments, clothes, wedding rings, non-farm animals. max $700 per item.. For single debtors filing, it has a coverage limit of $14,875.
11 U.S.C. § 522(d)(9)
Most people use 11 U.S.C. § 522(d)(9) to cover healthaids. For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(n)
Most people use 11 U.S.C. § 522(n) to cover iras or roth iras. For single debtors filing, it has a coverage limit of $1,512,350.
11 U.S.C. § 522(d)(10); 11 U.S.C. § 522(d)(12)
Most people use 11 U.S.C. § 522(d)(10); 11 U.S.C. § 522(d)(12) to cover retirement or pension accounts (incl. 401(k)s, 403(b)s, profit-sharing and money purchase plans, sep and simple iras, and defined benefit plans). For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(10)(D)
Most people use 11 U.S.C. § 522(d)(10)(D) to cover family support (alimony & child support). For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(10)(A)
Most people use 11 U.S.C. § 522(d)(10)(A) to cover social security, unemployment compensation, local public assistance benefit. For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(10)(B)
Most people use 11 U.S.C. § 522(d)(10)(B) to cover veterans' benefits, disability, illness, or unemployment benefit. For single debtors filing, it has no coverage limit.
11 U.S.C. 522(d)(11)(A)
Most people use 11 U.S.C. 522(d)(11)(A) to cover crime victim's compensation . For single debtors filing, it has no coverage limit.
11 U.S.C. 522(d)(11)(B)
Most people use 11 U.S.C. 522(d)(11)(B) to cover wrongful death award for person you relied on for support. For single debtors filing, it has no coverage limit.
11 U.S.C. 522(d)(11)(D)
Most people use 11 U.S.C. 522(d)(11)(D) to cover personal injury compensation, not incl. pain and suffering. For single debtors filing, it has a coverage limit of $27,900.
11 U.S.C. 522(d)(11)(E)
Most people use 11 U.S.C. 522(d)(11)(E) to cover loss of future earnings compensation. For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(7)
Most people use 11 U.S.C. § 522(d)(7) to cover unmatured term life insurance policies. For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(11)(C)
Most people use 11 U.S.C. § 522(d)(11)(C) to cover life insurance payments for a person you depended on, which you need for support are both fully exempt. For single debtors filing, it has no coverage limit.
11 U.S.C. § 522(d)(7), 11 U.S.C. § 522(d)(8)
Most people use 11 U.S.C. § 522(d)(7), 11 U.S.C. § 522(d)(8) to cover whole life insurance policy's surrender value. For single debtors filing, it has a coverage limit of $14,875.
11 U.S.C. § 522(d)(6)
Most people use 11 U.S.C. § 522(d)(6) to cover tools of trade. For single debtors filing, it has a coverage limit of $2,800.
11 U.S.C. § 522(d)(5)
Most people use 11 U.S.C. § 522(d)(5) to cover wildcard. For single debtors filing, it has a coverage limit of $13,950.
