Chapter 7 Bankruptcy Means Test Exceptions: Income and Medical Hardship

Four potential exceptions to the Chapter 7 Means Test:

1. Projected Disposable Income (PDI) Test: PDI below state median presumes eligibility.
2. Current Monthly Income (CMI) Test: Uses individualized living expenses vs. IRS standardized deductions.
3. Unusual Circumstances Test: Allows filing if debtor proves unusual circumstances (unexpected medical expenses, job loss, income fluctuations).
4. Best Interests of Creditors Test: Court may permit filing if it benefits creditors.

Health conditions and impending income loss may qualify under "unusual circumstances" or "best interests of creditors." Consult a bankruptcy attorney to evaluate your situation and determine eligibility.