For couples filing for bankruptcy protection, each person can claim a full set of exemptions unless otherwise noted. The State of California does not have federal exemptions available.

There are some limits on certain exemptions such as equity that you have in a home or in a vehicle. The difference between the cost of the item and the amount owed on the item is the definition of equity. If the item, such as home or vehicle, is secured by a loan and payments are made on time, the equity is protected by your exemptions. If you choose to keep the property, continual timely payments ensure that the property is protected through the bankruptcy.

There are certain possessions that can be exempt or protected from creditors when filing for bankruptcy in California. An experienced and knowledgeable bankruptcy attorney can assist in deciding which system applies to your case.

NOTE: Married Couples May Not Double Any Exemptions

1. Homestead: Real or personal property occupied, including co-op, up to $17,425, Including mobile home, stock cooperatives, boat, community apartment, condominium or planned development.
2. Insurance:
1. Un-matured life insurance policy
2. Disability benefits
3. Life Insurance proceeds needed for support
4. Fidelity bonds
5. Un-matured life insurance contract accrued interest, dividends, loans, cash or surrender value up to $9,300
3. Pensions: ERISA-qualified benefits needed for support
4. Personal Property:
1. Personal injury or wrongful death recoveries needed for support up to $17,425
2. Burial plot up to $17,425, instead of homestead
3. Health aids
4. Appliances, furnishings, animals, clothing, books, musical instruments and crops up to $450 per item
5. Wrongful death recoveries needed for support
6. Motor vehicles up to $2,775
7. Jewelry up to $1,150
8. $925 of any property 703.140(b)(5)
9. $15,000 of any property, less any claim for homestead or burial plot 703.140(b)(5)
5. Tools of Trade: Implements, tools, instruments, materials, books, furnishings, supplies, maps, machinery, electronics, uniforms and equipment up to $1,750
6. Public Benefits:
1. Unemployment compensation
2. Public assistance
3. Social Security
4. Veterans' benefits
5. Crime victim's assistance
7. Alimony and Child Support: Alimony and child support needed for support
8. Miscellaneous: Business or professional licenses, except liquor licenses.
9. Wild Card: None

For more information about California Bankruptcy
please visit our California Bankruptcy Resources Website.