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Michigan Personal Property Exemptions: The Property Creditors Can Not Touch!!!

In a U.S. federal bankruptcy case, your Michigan bankruptcy lawyers can use state law to protect the equity in your personal property. Equity is the difference between the market value of your property and the claims held against it. Listed below are some of the most common types of Michigan bankruptcy exemptions that a bankruptcy lawyer can use to help keep creditor's hands off your cherished possessions. The Michigan bankruptcy exemptions below are intended for educational purposes only. They are not intended as legal advice, as their practical application in a U.S. federal bankruptcy case is often very involved. Additionally, the Michigan bankruptcy exemptions below are not an exhaustive list, therefore you should contact a Michigan bankruptcy attorney to determine the other types of property that you own which may be exempt.

Homestead Michigan Bankruptcy Exemptions

These Michigan bankruptcy exemptions can be used to protect up to $3,500 in equity in your house per person, maximum of $7,000. Unfortunately, the homestead can not exceed 40 acres of rural land and can only be claimed by a Michigan resident who owns and occupies the house, whether or not he owns the land. Additionally, the homestead of a deceased homeowner is 100% exempt until the surviving spouse remarries if the surviving spouse is not the homestead owner.

Clothing, Textbooks, Bible, Family Pictures Michigan Bankruptcy Exemptions

This Michigan bankruptcy exemptions allow your bankruptcy lawyers to protect 100% of your interest in various personal items such as your clothing and personal heirlooms.

Household Goods Michigan Bankruptcy Exemptions

Your bankruptcy lawyers will protect $1,000 in household goods, furniture, utensils, books and appliances.

Life Insurance Proceeds Michigan Bankruptcy Exemptions

These Michigan bankruptcy exemptions can be used to protect a payment under a life insurance contract that insured the life of an individual of whom you were a dependent, to the extent reasonably necessary for your support or the support of your dependent(s).

Qualified Retirement Plan Michigan Bankruptcy Exemptions

Your lawyers can prevent creditors from touching the proceeds of many types of hard-earned retirement plans. They can exempt anything from certain types of stock bonuses, pensions, profit sharing plans and annuities as long as they determine that your savings are in a qualified retirement plan.

Tools of the Trade, Professional Books Michigan Bankruptcy Exemptions

These are useful Michigan bankruptcy exemptions that can be used to protect up to $1,000 of the tools you use in your profession. For example, shears, scissors and combs are the tools of a hairdresser, as are wrenches and hammers for a mechanic and carpenter.

Unemployment Compensation Benefits Michigan Bankruptcy Exemptions

Your lawyers can protect all of your unemployment compensation from creditors' reach. However, past due child support may still be deducted from the income of people receiving public assistance.

Worker's Compensation Michigan Bankruptcy Exemptions

This exemption can be used to protect 100% of compensation you receive under Michigan workers' compensation laws. Your lawyers can protect both 100% of your wages and 100% of the award you receive to compensate you for any permanent disability. In Michigan, workers' compensation cases are 100% exempt. If you are injured while working then that is money you deserve and creditors will be prevented from reaching those funds.

Farming Property Michigan Bankruptcy Exemptions:

Your lawyers can protect the farming community by exempting 10 sheep, 2 cows, 5 swine, 100 hen, 5 roosters, and a six month supply of feed.

Learn more about Minnesota bankruptcy exemptions.