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Joint bankruptcy assets

My spouse and I are considering joint bankruptcy. We live in Ontario. I know there are some exempt assets we can keep if we file.

We don’t own much. All our assets together don’t add up the the individual limit (we own about $4000 worth of assets in total – mainly in furniture) but I am curious. If we file jointly are the limits the same as for individuals, or are they double? For example, if we each own clothes worth $5650, are we jointly allowed to keep $5650 in clothes, or $11,300?

One Response to “Joint bankruptcy assets”

A licensed trustee said...

The exemptions are per individual, not per household. If you and your wife file you are both entitled to $5,650 worth of personal possessions, $11,300 worth of furnishings, and a motor vehicle worth up to $5,650 each.

The decision to file jointly is based on your debts – as I said in another recent entry – to file jointly all or substantially all of your debts must be similar. You will not be penalized with reduced exemptions if you are able to file jointly.