Oklahoma Chapter 7 Means Test Calculator: Estimate Qualification and Cost

So, you may be considering filing for bankruptcy in Oklahoma and have heard about the Chapter 7 means test that you need to pass. If you have questions, I am here to cover all the details.
Information in this article does not constitute legal advice, it is for informational purposes only, and may not constitute the most up-to-date information. Readers should contact their attorney for advice on any particular legal matter.

First, you have two options to qualify for Chapter 7 bankruptcy in Oklahoma potentially. On one hand, your current household income is lower than the median income for your family in Oklahoma. On the other hand, your income is higher than the median, but you have some expenses that might be deductible.

Here's how you may be able to pass the means test for Chapter 7:

  1. If your current household income is lower than your family's median income in Oklahoma, you may be able to qualify. You can estimate your qualification using the Oklahoma bankruptcy means test calculator. Remember that some incomes are excluded from the means test, so consider that.
  2. If your income is higher than the median, don't worry just yet. You may still have a shot at qualifying. You can use the Oklahoma above median bankruptcy means test calculator to estimate your chances.

The Oklahoma bankruptcy means test calculators below are updated with the latest data for 2023-2024, but it is always a good idea to consult with a bankruptcy attorney in your area.

Oklahoma Bankruptcy Means Test Calculator

There are three bankruptcy forms you need to know about to figure out if you may qualify. Let's focus on the first one, called the Chapter 7 Statement of Your Monthly Income form. It's an essential document to determine if you meet the requirements.

Below, there's a bankruptcy means test calculator available. It's designed to mirror the Chapter 7 Statement of Your Monthly Income form. It also estimates the cost of filing bankruptcy in Oklahoma with an attorney.

Keep on reading, or jump ahead to the section that interests you most.

Table of Content

Chapter 7 Means Test Explanation

The means test is like an income test for bankruptcy. According to the United States Trustees Office, it's a standardized form you must complete to file for bankruptcy.

The test examines your household income, even if your spouse isn't filing with you. They compare your average household income to other households in Oklahoma. They get those figures from the Census Bureau.

When looking at the average monthly income calculation, the specific language they use for this calculation is all laid out in the bankruptcy forms. You would fill in the average monthly income you received from all sources during the six months before you file for bankruptcy. Let's say you're filing on September 15; then you'd look at the period from March 1st to August 31. If your income varied during those six months, add it all up and divide by six. And remember, don't count the same income twice. If you and your spouse own that same rental property, just put the income from it in one column. And if you have nothing to report for any line, write $0.

If your income is fluctuating, there is an average income calculator you can use. It's specifically designed for the Oklahoma means test. Just plug in your numbers, and it'll give you an estimate of your average monthly income.

Oklahoma Chapter 7 Bankruptcy Income Limit

The household income levels for bankruptcy cases in Oklahoma below should be for cases filed on or after November 1, 2023. These numbers tend to change every six months or so. So, keep that in mind. If you have a household size of more than 9, you'll need to add $9,900 for each additional family member. It's essential to account for everyone in your household to understand your financial situation accurately. To make things easier for you, I've laid out the household income levels in a table below:

# of PeopleAnnual Income

These numbers represent the annual income levels for each household size. It's essential to track where you fall on this scale when considering bankruptcy in Oklahoma. Remember, these figures are subject to change, so stay up-to-date to make informed decisions.

What Is Considered Income?

Not all income is considered when determining if someone qualifies for bankruptcy. For instance, disability and social security income are usually exempt from the means test. You can find more info on that here. Another example would be payments for war crime victims and national emergencies like COVID-19.

Now, let's dive into the income types included in the Oklahoma bankruptcy means test. It's a broad definition, covering any regular payments made by someone other than the debtor to cover household expenses. Here are some examples:

  1. Salaried income
  2. Spousal income (if you're filing jointly or not legally separated)
  3. Hourly and overtime income
  4. 1099 Compensation
  5. Net rental income
  6. Oklahoma government income
  7. Child support and alimony
  8. Dividends, interest, and royalties
  9. Pension and retirement income
  10. Net business income
  11. Annuity payments
  12. Unemployment compensation
  13. Worker's compensation benefits

Now, let's move on to how household size is calculated.

What Is Considered In Household Size?

You may be wondering how household size is considered. When determining your household size, your roommate doesn't count. However, if you have children you claim as dependents on your taxes, they count towards your household size.

Things can change a bit if you have children who are away at college or are engaged but not yet married. Oklahoma bankruptcy jurisdictions have different rules on who can be counted in these situations.

Oklahoma Above Median Bankruptcy Means Test Calculator

So, it may look like your income is higher than the average household income in Oklahoma. But don't worry, that doesn't necessarily mean you won't be able to qualify for bankruptcy. A couple of means test forms could still work in your favor.

The first form you can look into is the Statement of Exemption from Presumption of Abuse Under §707(b)(2). This form helps determine if you qualify for bankruptcy based on certain exemptions.

The second form, the Chapter 7 Means Test Calculation, allows you to deduct your allowable monthly expenses from your current income. This helps calculate your disposable income, which is the money you have left after covering your expenses. The costs considered here are a mix of national and Oklahoma-specific expenses.

To make things easier for you, we've got an Oklahoma above-median bankruptcy means test calculator below. It considers both forms and helps you determine your allowable expenses. This way, you can estimate whether you qualify for Chapter 7 bankruptcy.

Allowable deductible expenses

You may be looking to learn more about the expenses you can deduct on the second part of the bankruptcy means test. Well, I've got you covered! Here is a list below:

  • Mandatory employment deductions -things like union dues, retirement plans, and the cost of uniforms
  • Health and disability insurance premiums
  • Income taxes
  • Child care expenses
  • Term life insurance premiums
  • Secured debt payments for your car or home
  • Alimony and child support payments
  • Charitable contributions

You can also deduct other expenses for exceptional circumstances. These deductions are limited and depend on the number of people in your household. You can check out the current national standards to find out the maximum amounts allowed for these expenses.

These extraordinary circumstances include housekeeping supplies, clothing, food, personal care services and products, housing and utility expenses, transportation expenses, and out-of-pocket healthcare expenses.

What Happens If You Fail the Bankruptcy Means Test?

If you don't pass the bankruptcy means test, there may be other options to consider.

One option you can consider is filing for Chapter 13 bankruptcy in Oklahoma. You can also explore some alternatives to bankruptcy, like debt settlement, debt management, or debt payoff planning.

Chapter 13 Bankruptcy

If Chapter 7 doesn't work out, Chapter 13 bankruptcy may be helpful. With Chapter 13, you can work out a payment plan to repay a portion of your unsecured debts. Your assets will most likely be protected in Chapter 13. You should be able to file as long as you're under the debt limits. Chapter 13 bankruptcy is only on your credit report for seven years, instead of 10 years like a Chapter 7 bankruptcy.

When it comes to Chapter 13 bankruptcy, it can either be a 36-month plan or a 60-month plan. Now, if you're in 100% Chapter 13, you might be lucky with a shorter payment plan.

Some people opt for Chapter 13 bankruptcy instead of Chapter 7 if they have more equity than what's allowed under the Oklahoma bankruptcy exemption.

Debt Settlement

Debt settlement is when you or a company negotiate with your creditors to lower the debt you owe. The idea is to get them to forgive some of what you were initially supposed to repay. For instance, if you owe $50,000, debt settlement can bring that down to a more manageable $25,000.

Debt settlement usually involves a payment plan that stretches over some time, typically between 12 to 60 months. While it can be a cheaper alternative to filing for Chapter 13 bankruptcy, you need to be careful about the debt settlement company you choose. Some companies charge a hefty fee, often more than 25% of your enrolled debt. If you want to do your due diligence, you can check out the Consumer Finance Protection Bureau for the latest debt settlement program information.

Many debt settlement firms are national companies, so you don't necessarily have to find one local to Oklahoma.

Debt Management

Debt management, or credit counseling as it's sometimes called, is when a company steps in to help you with your debt. They do this by negotiating with your creditors to lower the interest rate on your debt. Say you have a lot of debt with an interest rate of 22%. A debt management company might be able to work to bring that interest rate down to a more manageable 9%. Most debt management companies are non-profit organizations that specialize in working with credit cards. However, they might be unable to help you with unsecured personal loans. So, keep that in mind. When you enroll in a debt management program, you'll typically be put on a payment plan. This plan usually lasts anywhere from 36 to 60 months. Similar to debt settlement, many debt management firms operate nationwide.


Understanding the bankruptcy means test and income limit in Oklahoma for Chapter 7 bankruptcy qualification can be difficult. So, let's break it down and simplify how the Chapter 7 bankruptcy means test and income limit work in Oklahoma:

1. It starts with comparing your household income to the Oklahoma income limit. Now, certain incomes count, and others don't.

2. Even if your household makes more than the income limit, you might still qualify for Chapter 7 bankruptcy in Oklahoma based on your expenses and deductions.

3. If you don't pass the bankruptcy means test, don't worry. Other options remain on the table, like Chapter 13 bankruptcy, debt settlement, and debt management.

I hope this article has shed some light on the subject and helped you understand Chapter 7 more.  If you'd like to estimate cost and qualification based on the Oklahoma Chapter 7 Means Test, you can take the calculator below:

More News Stories

April 6, 2024
Georgia Bankruptcy Means Test and Income Limit 2024

Just a quick heads up: We are all about providing information, not legal advice. We're not attorneys, but if you want to chat with a bankruptcy attorney in your city, they've got a free consultation waiting for you.

Read story
April 6, 2024
Colorado Bankruptcy Means Test and Income Limit 2024

Just a quick heads up: We are all about providing information, not legal advice. We're not attorneys, but if you want to chat with a bankruptcy attorney in your city, they've got a free consultation waiting for you.

Read story
April 6, 2024
Tennessee Bankruptcy Means Test and Income Limit 2024

Just a quick heads up: We are all about providing information, not legal advice. We're not attorneys, but if you want to chat with a bankruptcy attorney in your city, they've got a free consultation waiting for you.

Read story