What will happen to my retirement account?

At any point in life, filing for bankruptcy in Massachusetts takes some consideration and thought. We know that it is rarely an easy decision. On the other hand, The concerns for someone in retirement are going to be very different from those in their 20s or 30s. For People That are retired, their top two worries often are:

Most assets, such as $420,000 in home equity and your retirement accounts, cannot be sold or taken out of you. What resources are safeguarded and how much will depend on which type of bankruptcy you file.


There are  choices for 2 types of bankruptcies in Boston that individuals may qualify for chapter 7 and Chapter 13 bankruptcy filed in Massachusetts. You must fulfill income limitations for Chapter 7 bankruptcy in Boston. Every type of bankruptcy has benefits and disadvantages.In Chapter 7 bankruptcy, many unsecured loans such as credit cards and medical bills are removed.While Chapter 7 essentially provides you a clean slate, certain debts won’t be eliminated.Most Taxes, Child Service, Student loans, Credit card debt incurred close to your insolvency filing, However, nearly all of your possessions will be guarded.

Chapter 13 bankruptcy is slightly bitted more complicated. It is a payment plan where you pay what you can manage for five decades, then whatever has not been paid back at the end of the five years is discharged. The payments are always cheap because they are made out of your budget.

One of the benefit of Chapter 13 bankruptcy is that collection efforts stop, and you typically have to keep your assets more than in Chapter 7. But you must have enough income to be able to save your payment arrangement.


  • By law, certain assets can’t be sold to pay off debts through a bankruptcy proceeding. These assets are called exempt.
  • Assets Which Are typically considered exempt include:
  • Equity in your home, around $420,000 at Boston
  • A car, up to a specific value
  • Most clothes and household goods

Retirement accounts

Each pair of exemptions varies in what assets are safeguarded and how much is protected. An experienced bankruptcy attorney can go about your assets and decide which set of exemptions is advantageous for you.

It’s worth noting that now, Boston has a much higher home equity exemption compared to this national exemption: Under the federal exemption, $of home equity is protected.Under Boston’s exemption, of home equity is protected. most Boston folks don’t need to be concerned about losing their houses or shedding any hard-earned equity.

Whether your retirement account is protected during bankruptcy depends on the type of account.

If you get regular pension payments, then this sum may be counted as income. Your income will determine if you are eligible for Chapter 7 or when Chapter 13 is the better alternative for you. ERISA plans like 401k, 403b, profit-sharing programs, defined benefit programs, and Keoghs are usually protected in their entirety. Roth IRAs and IRAs are exempt up to a certain amount.

At Nashuaty& Rand Attorneys At Law in Boston Massachusetts, we help individuals at all stages in life find debt relief. Contact us for a free consultation. One of our experienced lawyers will go over your situation and let you understand what you may be qualified for. Your meeting with us is confidential, and you’re never under any obligation.


Federal Bankruptcy Exemptions

The Federal Bankruptcy Exemptions

2020 Minnesota Statutes

Your Retirement Plan in Bankruptcy

Your job is a significant source of income, whether you’re in the middle of trying to repay debt or are trying to file for bankruptcy. At times, however, your job causes more problems than it solves. Can you stop your job while filing for bankruptcy in Boston? If you’re struggling to understand your next move, it may be essential to answering this fundamental question before moving ahead.

Chapter 13, unlike Chapter 7, also includes a monthly payment plan. To be able to generate money for the payments, the majority of people need work. On the other hand, insolvency laws have some flexibility. For instance, it’s frequently possible to convert in a Chapter 13 payment plan to a 7, which can be a straight bankruptcy. It can also be possible to alter your chapter 13 plan to allow for lower payments.


Legally speaking, you cannot be asked to remain at your job only because you’re submitting for Chapter 13 bankruptcy. That means that if you discover yourself in a situation where you must quit your job–your current situation is intolerable, you need additional time for other tasks, or you have found a better job that will start soon–you can choose to leave your current position.


While you’re able to leave your job while filing for Chapter 13, that does not necessarily mean that it is a good idea. If you file for bankruptcy, you face several challenges. In Chapter 13 bankruptcy, you will establish a payment arrangement that lets you pay down debts that are certain. This might include things like paying a second mortgage, taking care of car payments, or eliminating national debts that have left you fighting. apply for Chapter 7 bankruptcy. This provides lots of advantages to a lot of people, making it the preferred kind of bankruptcy for many.


Since, under Chapter 13 bankruptcy, in Boston you need regular income. you may make payments on your debt every month, it’s usually considered useful to have regular income during this period of time. With no income, you might find it difficult to make your payments on time, which might send you spinning back into greater debt than previously.


If this happens, you need to talk to your lawyer right away. You could be able to alter your chapter 13 plan to be reduced while you start looking for a new job or converting your chapter 13 to a branch. Whether these choices are available depends on if you filed another bankruptcy before, your budget, what sorts of debt you have, and how chapter 13 is used. For instance, if you are using it to grab on a mortgage, it doesn’t make much sense to convert to a chapter 7, since the mortgage won’t be caught up.

Are you trying hard to hold on to a job while filing Chapter 13 bankruptcy? Do you require information about the bankruptcy process and what it’ll mean for you? Ideally, it would help if you made an effort to keep your job as you’re filing for bankruptcy in Boston. If you quit your job, line up a different income source as soon as you can, and be sure you are prepared to deal with the potential ramifications of losing your job during the process. You might want to complete new paperwork or document to adjust to your existing payment arrangements to balance your debts with your new fiscal position. If you become unemployed and lose your job for reasons beyond your control, start looking for a source of income in MA as soon as possible. Sometimes, you may be able to put bankruptcy proceedings on hold while you seek new employment.

We can assist. Contact us now to discover more.


The most common kind of bankruptcy relief is 7. Most customers who find they face overwhelming debt find that this is the best option for their needs as it lets them get an entirely new start should they’re eligible. These are the steps that you want to take to file a Chapter 7 bankruptcy.

Because your credit report contains a full list of who you owe money to, it’s essential to ask for your free credit report will help you and your bankruptcy attorney prepare your request for bankruptcy to present to the courtroom. Review your account for mistakes and lack information since you do not wish to leave your petition creditors.


Copies of your last two tax returns, along with copies of your latest pay stubs, can allow you to complete the required forms for Massachusetts Chapter 7 bankruptcyfiled . Your bankruptcy attorney in Boston will need to have complete details on all income, such as salary, interest income, and any other income you’re receiving,so that will help you determine if you qualify for Chapter 7 bankruptcy.


Before you meet with a bankruptcy attorney,in Boston you need to list all your resources such as retirement accounts, life insurance policies, home, furnishings, jewelry, and bank accounts;
Your Boston lawyer will require this information to help you complete the means test for Chapter 7 in Boston.


Filing for Chapter 7, bankruptcy,in Boston MA requires you to complete a credit counseling program. Your bankruptcy lawyer in Boston can help you find the right counselor for your needs. Nashuaty& Rand Attorneys At Law in Boston, Massachusetts, has a unique discount code, so you don’t need to pay for the class, and it can be completed at your home in one hour.


Once you have accumulated all info you need to prepare a bankruptcy petition, you have to locate an attorney who handles Boston bankruptcies and will work closely with you during the process. The right bankruptcy lawyer will aid you with your submitting, also, to help you rebuild your credit when your Chapter 7 bankruptcy Boston has been- discharged.


You need to use caution if you are thinking about filing for bankruptcy. First, don’t try to open new credit lines since that will be a red flag if you file bankruptcy in Boston. You should not be spending any available credit, especially on non-necessary things such as televisions, etc..We have often seen people who’ve drained their retirement balances expecting to pay down a number of their debt. However, suppose you’re considering filing Chapter 7 bankruptcy. In that case, you should be aware that your retirement accounts will likely be exempt from liquidation so that you ought to leave those funds from your retirement accounts and avoid a penalty for elimination.

Your bankruptcy lawyer in Bostonwill need to know what resources you may have moved or sold for around a year before you file, and this could jeopardize your filing. It would help if you made individual all your earnings are- filed before you apply for bankruptcy Boston protection. and the sum they assess during the proceedings will likely be much more than what you owe.

For many debtors, Chapter 7 is the right choice to escape overwhelming debt. If you’re considering filing for bankruptcy or unsure what options are available for you, contact Nashuaty & Rand Attorneys At Law in Boston, Massachusetts Law Offices, to find out about your choices and work using a Licensed Boston bankruptcy attorney.

CALL TODAY – (781) 848-8545