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laid off work

if i were to receive a severance package during bankruptcy would all that go into paying creditors owed?

One Response to “laid off work”

A licensed trustee said...

That will be up to your trustee. It may be treated as a “windfall” in which case your trustee may seize the entire amount, or it may be treated as “income” subject to the surplus income rules – you need to discuss this with your trustee to determine how it will be handled.