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Bankruptcy in Cassowary Coast – What happens to my income?

Bankruptcy in Cassowary Coast – What happens to my income?

Money is regularly a worry with Bankruptcy, so I want to talk you through a couple of the factors around income and going bankrupt

what-happen-to-my-income

Bankruptcy in Cassowary Coast is always going to be complex and troublesome, specifically because it involves money and people’s livelihoods. Many people regularly ask us how bankruptcy will certainly impact their income, because insolvency is going to restrict just how much money you can make. When it involves Bankruptcy it is usually going to think about your complete income and the amount of dependants that you have

How is this determined?

You need to understand about Bankruptcy that there are in fact established quantities that you could make– yes, this suggests that you will certainly not be left broke, but neither does it mean that you could be earning a six figure paycheck and not actually be paying back insolvency debt.

Net income is the pre-tax/ in the hand amount you make annually.

A dependant is someone who lives with you and earns less than $3,124 each year (regardless of their age).

Can this be raised?

Yes, under some situations you can get a hardship variation that raises the threshold amount, if you have monetary obligations in Cassowary Coast like health-related, childcare, substantial travel to and from work, or a situation where your partner used to work but is now not able to support the household income level.

Will my boss be informed about this?

No, the good thing about Bankruptcy is that your workplace will not be informed when you file for bankruptcy.

What about child support?

Child support is always taken into account in personal bankruptcy– this indicates that if you get child support, that is not factored in as income. However if you pay child support this will be typically taken out from your net income amount, for instance if you provide $5,000 child support yearly and you have no dependents residing with you then your changed net income limit will be $55,332.10.

What about tax-time, do I continue to get cash back?

If one of your creditors is the ATO (for unpaid taxes), then your tax refund will most likely be taken by the ATO while you are insolvent to chip in toward your tax bill. If you do not have a tax bill then you will keep your tax return provided that doesn’t take you over your threshold income caps.

So what is considered income?

Certainly there are a lot more concerns involving income and Bankruptcy– especially because a lot of individuals will argue with what is considered ‘income’- if you’re not sure, it’s a good idea to get specialist personal bankruptcy advice in Cassowary Coast.

Easily one of the most crucial features of Bankruptcy is that you must get guidance as soon as possible as it will guarantee you are taking the best path. It is generally going to be better to be over prepared due to the fact that when it comes to Bankruptcy knowledge is power, and as soon as you have submitted the paperwork it’s far too late to change your decision.

If you think when it comes to Bankruptcy, your circumstance is more complicated than what is stated above, then I would highly suggest that you get professional guidance in Cassowary Coast.

If you wish to find out more about what to do, where to turn and what concerns to inquire about with Bankruptcy, then don’t think twice to contact Bankruptcy Experts Cassowary Coast on 1300 795 575, or explore our website: www.bankruptcyexpertscassowarycoast.com.au.