Email this page to a friend New Jersey Exemptions
Under New Jersey bankruptcy laws, you can generally keep:
1. Goods and chattels, shares of stock or interest in any corporation, up to $1,000 in value NJ Stat.Ann §2A:17-19
2A:17-19. Amount; exceptions
Goods and chattels, shares of stock or interests in any corporation and personal property of every kind, not exceeding in value, exclusive of wearing apparel, $1,000.00, and all wearing apparel, the property of a debtor shall be reserved, both before and after his death, for his use or that of his family or his estate, and shall not be liable to be seized or taken by virtue of any execution or civil process whatever, issued out of any court of this State.
Nothing herein contained shall be deemed or held to protect from sale under execution or other process any goods, chattels or property, for the purchase whereof the debt or demand for which the judgment on which such execution or process was issued, shall have been contracted, or to apply to process issued for the collection of taxes or assessments.
L.1951 (1st SS), c.344; amended by L.1973, c. 162, s. 1, eff. June 7, 1973.
2. Clothing NJ Stat.Ann §2A:17-19
2A:17-19. Amount; exceptions
Goods and chattels, shares of stock or interests in any corporation and personal property of every kind, not exceeding in value, exclusive of wearing apparel, $1,000.00, and all wearing apparel, the property of a debtor shall be reserved, both before and after his death, for his use or that of his family or his estate, and shall not be liable to be seized or taken by virtue of any execution or civil process whatever, issued out of any court of this State.
Nothing herein contained shall be deemed or held to protect from sale under execution or other process any goods, chattels or property, for the purchase whereof the debt or demand for which the judgment on which such execution or process was issued, shall have been contracted, or to apply to process issued for the collection of taxes or assessments.
L.1951 (1st SS), c.344; amended by L.1973, c. 162, s. 1, eff. June 7, 1973.
3. Household goods and furniture, up to $1,000 in value NJ Stat.Ann §2A:26-4
2A:26-4. Property exempt
Household goods and furniture not exceeding $1,000.00 in value of a person shall be exempt from attachment, except for a debt incurred in the purchase thereof.
If the attaching officer believes that the goods and furniture exceed such value, he may attach and include them in his inventory and appraisement, and the person entitled to the exemption, his family or his estate shall forthwith, on demand by the officer, select, from the inventoried and appraised property, goods and furniture to the value of $1,000.00. A failure to make the selection shall be deemed to be a waiver of the exemption.
4. Burial plots NJ Stat.Ann §§8A-5-9, 8A-5-10, 8A-5-11
5. ERISA-qualified pension benefits NJ Stat.Ann §2A:17-19
2A:17-19. Amount; exceptions
Goods and chattels, shares of stock or interests in any corporation and personal property of every kind, not exceeding in value, exclusive of wearing apparel, $1,000.00, and all wearing apparel, the property of a debtor shall be reserved, both before and after his death, for his use or that of his family or his estate, and shall not be liable to be seized or taken by virtue of any execution or civil process whatever, issued out of any court of this State.
Nothing herein contained shall be deemed or held to protect from sale under execution or other process any goods, chattels or property, for the purchase whereof the debt or demand for which the judgment on which such execution or process was issued, shall have been contracted, or to apply to process issued for the collection of taxes or assessments.
L.1951 (1st SS), c.344; amended by L.1973, c. 162, s. 1, eff. June 7, 1973.
6. Public employees' pensions NJ Stat.Ann §§ 43:15A-53
43:15A-53. Benefits under chapter exempt from taxation and process; exception; assignment of group insurance policy rights and benefits
The right of a person to a pension, an annuity, or a retirement allowance, to the return of contributions, any benefit or right accrued or accruing to a person under the provisions of this act and the moneys in the various funds created under this act, shall be exempt from any State or municipal tax and from levy and sale, garnishment, attachment or any other process arising out of any State or Federal court and, except as in this section and in this act otherwise provided, shall be unassignable.
Nothing in this section shall prohibit any person insured under a group insurance policy, pursuant to an arrangement among the insured, the group policyholder and the insurer, from making to any person other than his employer, a gift assignment of the rights and benefits conferred on him by any provision of such policy or by law including specifically but not by way of limitation the right to exercise the conversion privilege and the right to name a beneficiary. Any such assignment, whether made before or after the effective date of this act, shall entitle the insurer to deal with the assignee as the owner of all rights and benefits conferred on the insured under the policy in accordance with the terms of the assignment.
L.1954, c. 84, p. 508, s. 53. Amended by L.1969, c. 98, s. 2, eff. June 26, 1969.
7. Crime victims' compensation NJ Stat.Ann §52:4B-30,
8. Aid to the aged and/or disabled NJ Stat.Ann §44:7-35,
44:7-35. Assistance exempt from taxation levy and process; bankruptcy
All amounts paid as old age assistance shall be exempt from any tax levied by the state or by any subdivision thereof, and exempt from levy and sale, garnishment, attachment, or any other process whatsoever and shall be inalienable in any form, and in case of bankruptcy shall not pass to the trustee or other person acting on behalf of the creditors of the aged needy person.
9. Workers' compensation NJ Stat.Ann §34:15-29,25:2-1, et seq.
10. Unemployment compensation NJ Stat.Ann §43:21-53
11. Property of a business partnership NJ Stat.Ann §42:1A11,et seq.
12. Annuity contract proceeds, up to $500 per month NJ Stat.Ann §17B:24-7
13. Fraternal benefit society and health or disability benefits NJ Stat.Ann §17:44B-1, et seq.
14. Disability or death benefits for military personnel NJ Stat.Ann §38A:4-8
38A:4-8. Compensation exempt from legal process
The pay and allowances due or to become due to any member of the organized militia for military duty therein, and any compensation that may be awarded for injuries, disabilities or death sustained therein, shall be exempt from attachment, execution or other legal process.
L.1963, c. 109.
15. Disability, death, medical or hospital benefits for civil defense workers NJ Stat.Ann §App.A:9-57.6
16. Groups life or health policy proceeds NJ Stat.Ann §17B24-9
17. Life insurance proceeds if a clause in the policy prohibits the proceeds from being used to pay the beneficiary's creditors NJ Stat.Ann §17B:24-6
17B:24-6. Exemption of proceeds--life insurance
b. Such proceeds and avails shall be exempt from any liability for any debt of the beneficiary existing at the time the proceeds and avails become available for his use; provided that, subject to the statute of limitations, the amount of any premiums for such insurance paid with intent to defraud creditors, with interest thereon, shall inure to their benefit from the proceeds of the policy; but the insurer issuing the policy shall be discharged of all liability thereon by payment of its proceeds in accordance with its terms, unless, before such payment, the insurer shall have received written notice at its home office, by or in behalf of a creditor, of a claim to recover for transfer made or premiums paid with intent to defraud creditors setting forth such facts as will enable the insurer to ascertain the particular policy.
18. Life insurance proceeds or avails if you are not the insured NJ Stat.Ann §17B:24-6
17B:24-6. Exemption of proceeds--life insurance
b. Such proceeds and avails shall be exempt from any liability for any debt of the beneficiary existing at the time the proceeds and avails become available for his use; provided that, subject to the statute of limitations, the amount of any premiums for such insurance paid with intent to defraud creditors, with interest thereon, shall inure to their benefit from the proceeds of the policy; but the insurer issuing the policy shall be discharged of all liability thereon by payment of its proceeds in accordance with its terms, unless, before such payment, the insurer shall have received written notice at its home office, by or in behalf of a creditor, of a claim to recover for transfer made or premiums paid with intent to defraud creditors setting forth such facts as will enable the insurer to ascertain the particular policy.
19. 90% of earned but unpaid wages if your income is less than $7,500 per year; if your income is over $7,500 per year, the judge will decide how much of your wages to exempt NJ Stat.Ann §2A:17-56
2A:17-56 Limitation on amount specified in execution.
2A:17-56. a. In no case shall the amount specified in an execution issued out of any court against the wages, debts, earnings, salary, income from trust funds or profits due and owing, or which may thereafter become due and owing to a judgment debtor, exceed 10%, unless the income of such debtor shall exceed 250 % of the poverty level for an individual taking into account the size of the individual's family, in which case the court out of which the execution shall issue may order a larger percentage.
b. Notwithstanding subsection a. or any other law to the contrary, for all wage execution applications filed by the State pursuant to subsection b. of N.J.S.2A:17-50 after the effective date of P.L.2005, c.124 (C.2A:16-11.1 et al.), the State may seek a wage execution of up to 25% of the debtor's gross earnings, provided that after the execution the debtor's income will not be less than 250 % of the poverty level for an individual taking into account the size of the individual's family.
Nothing in this subsection shall be construed to violate any provision of federal law.
L.1951 (1st SS), c.344; amended 1970, c.287, ss.1,3; 2005, c.124, s.11.
20. Wages or allowances received by military personnel NJ Stat.Ann §2A:17-19
2A:17-19. Amount; exceptions
Goods and chattels, shares of stock or interests in any corporation and personal property of every kind, not exceeding in value, exclusive of wearing apparel, $1,000.00, and all wearing apparel, the property of a debtor shall be reserved, both before and after his death, for his use or that of his family or his estate, and shall not be liable to be seized or taken by virtue of any execution or civil process whatever, issued out of any court of this State.
Nothing herein contained shall be deemed or held to protect from sale under execution or other process any goods, chattels or property, for the purchase whereof the debt or demand for which the judgment on which such execution or process was issued, shall have been contracted, or to apply to process issued for the collection of taxes or assessments
(e) For the purposes of this section, the term “domestic partner” shall have the same meaning as provided in § 32-701(3).
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