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2018 median income limits bankruptcy means test

2018 Median Income Limits Changed for Bankruptcy Means Test

2018 Median Income Limits Change for Bankruptcy Means Test

The means test decides eligibility for Chapter 7 bankruptcy. The Chapter 7 means test lets people file bankruptcy without having to repay their debts if they earn less than the California median income limits, or those in their own state. So, 2018 median income changes impact who qualifies, since it sets the bar for who can get into Chapter 7 bankruptcy.

Means Test: 2018 Median Income Adjustments

As the economy changes, from time to time, the government updates the median income limits used. As a result, on April 1, 2018, the DOJ started utilizing new 2018 median income numbers for the Chapter 7 means test.

The California median income numbers have increased for bankruptcy means-test takers. Consequently, many Californians should now have an easier time qualifying to file Chapter 7 bankruptcy.

California household size and California median income for Bankruptcy

  • 1 – $54,787
  • 2 – $73,162
  • 3 – $79,061
  • 4 – $91,349
  • add $8,400 each add’l person

Read Our Means Test Guide.


Just because a household earns more than the median income, it’s still not barred from Chapter 7 bankruptcy. The bankruptcy means test would just need to be filled out completely. It’s still possible to qualify. However, even if someone isn’t eligible, there is still a way out in Chapter 13.

Finally, we don’t know the next time changes to the median income limits will happen again. So, be sure to check before relying on this 2018 median income limits in the future.