Financial Law

Chapter 7 vs Chapter 13 Bankruptcy Calculator

Screen whether Chapter 7 or Chapter 13 bankruptcy may be worth discussing using income, expenses, household size, and debt inputs.

Educational Estimate No Sign-up Required Updated May 2026

Built for general U.S. informational use. Local rules, court practices, and case facts can change the result.

Chapter 7 vs Chapter 13 Bankruptcy Calculator

Fill in the fields below to get your estimate

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Rent/Mortgage, food, utilities, transport, taxes.
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Credit cards, medical bills, personal loans.

Understanding the Two Main Types of Consumer Bankruptcy

Chapter 7

Total wipeout of qualifying unsecured debts. Available only if your household income falls below a certain threshold (the Means Test). It is fast and you usually keep basic assets, but you permanently lose non-exempt luxury property.

Chapter 13

A 3-5 year court-mandated repayment plan. Required if you make too much money for Ch. 7. It can stop home foreclosure and let you catch up on missed mortgage payments over time.

Important Legal Disclaimer

This calculator is a simplified screening tool, not the official bankruptcy means test. The actual allowable-expense standards and state income thresholds change over time and can be much more complex than a quick online estimate. Review the current U.S. Trustee data and speak to a bankruptcy attorney before filing.

How this estimate works

This screening tool compares household income, household size, expenses, and unsecured debt to a simplified Chapter 7 versus Chapter 13 framework. It does not replace Official Bankruptcy Forms or current U.S. Trustee means-test data.

Inputs this page weighs

  • Gross household monthly income.
  • Household size.
  • Necessary monthly expenses.
  • Unsecured debt and repayment capacity.

How to verify the result

Use the output only as an early screen, then review the current U.S. Trustee means-test data and the official bankruptcy forms with qualified help.

How to use this Chapter 7 vs Chapter 13 Bankruptcy Calculator well

Best used when

  • Early screening of whether a Chapter 7 discussion may be realistic.
  • Comparing income, expense, and unsecured-debt snapshots in a structured way.
  • Preparing a cleaner first conversation with bankruptcy counsel.

Be careful if

  • Means-test inputs change over time and depend on household size and local standards.
  • Secured debts, recent income changes, and non-exempt assets can alter strategy.
  • A simple calculator does not replace a full bankruptcy petition review.

Questions to answer next

  • What is your recent average income over the period the means test actually uses?
  • Do you own assets that need exemption analysis before filing anything?
  • Would a repayment plan solve problems that a liquidation filing would not?

Before you use a financial damages calculator

What to gather first

  • Medical bills, repair invoices, payroll records, insurance information, and receipts.
  • Photos, incident reports, and any correspondence that helps explain fault or value.
  • A list of future costs you expect, with notes about where each number came from.

Why results may change

  • Policy limits, comparative fault, tax treatment, and evidence quality can change the value dramatically.
  • Some formulas are only rough starting points and do not reflect negotiation leverage or venue risk.
  • Large numbers often need supporting records, expert input, or independent valuations.

Best next step

  • Keep the calculator output with the documents you used so you can explain the assumptions later.
  • Mark which inputs are proven and which ones are only estimates.
  • Use the result to prepare questions for an attorney, adjuster, or accountant before taking action.

Frequently Asked Questions

The means test is a required bankruptcy calculation that compares current monthly income and allowed expenses. If a debtor has enough disposable income under the official forms, a Chapter 7 case may face a presumption of abuse and Chapter 13 may become the more realistic path.

Often called "liquidation" bankruptcy, Chapter 7 discharges (wipes out) most unsecured debts like credit cards and medical bills entirely. You do not repay the wiped-out debt. It is generally faster (3-6 months).

Chapter 13 is a "reorganization" bankruptcy. You propose a 3 to 5-year repayment plan to pay back all or a portion of your debts based on your disposable income. Whatever unsecured debt remains after the plan is completed is discharged.