Protecting Property/Exemptions

Most debtors can keep all of their real and personal property. This is because the state has passed laws (exemptions) to prevent creditors from seizing assets deemed to be ordinary and necessary. There are two different sets of exemptions; the homestead exemptions for individuals with equity in their homes and a second set of exemptions for individuals with little or no equity in their homes.

Homestead (§704)

• $50,000 Homestead exemption for an individual
• $75,000 Homestead for a married couple
• $150,000 for individuals 65 and over or the disabled
• $2,550 for a motor vehicle
• Retirement accounts
• Reasonable and necessary personal property

Non Homestead (§703)

• $21,825 Wildcard exemption (used for any purpose)
• $3,300 for a motor vehicle
• Most retirement accounts
• $525 per household item