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surplus income

I filed for bankruptcy November 2008. My trustee set a monthly payment plan of $150.00 per month but my income sometimes varies, sometimes it is over and sometimes it is over what I was assessed at. Are the 9 months added together at the end and averaged out, so that the months that I over payed the overpayment would go towards the months that I under payed.

Posted from: Ontario

One Response to “surplus income”

A licensed trustee said...

Surplus income is allowed to be averaged if a bankrupt has irregular income – ie commissioned sales, self employment, etc… If you earn wages and your hours simply flucuate averaging is not permitted. Sorry, but if you go over (for instance every six months you’ll get an extra pay cheque if you are paid weekly or bi-weekly) the surplus threshold you’ll be required to make additional payments.

Think of it this way – it’s a lot less than having to repay your debts in full…