Bankruptcy Blog
California Exemptions Have Changed
by on 2/6/2013Every three years the California exemptions schemes are reviewed and updated. The latest update was for 2013, in Assembly Bill 929. Here is a summary of the changes:
703 Exemption Changes [CCCP 703.140(b)]
General Category Description |
Old Amount |
New Amount |
|
(1) | Homestead / Residence |
$29,275 |
$31,950 |
(2) | Vehicle(s) |
$5,850 |
$6,375 |
(3) | Household Goods (per item) |
$725 |
$800 |
(4) | Jewelry |
$1,750 |
$1,900 |
(5) | Additional Wildcard |
$1,550 |
$1,700 |
(6) | Tools of the Trade |
$8,725 |
$9,525 |
(8) | Life Insurance Dividend or Interest or Loan Value |
$15,650 |
$17,075 |
(11)(D) | Personal Injury |
$29,275 |
$31,950 |
Some of the definitions have also changed, for example (2) vehicle(s) can be shared between multiple vehicles up to the limit, whereas before the 2013 change it was only applied to one vehicle. Also (11)(D), personal injury exemption, no longer excludes pain and suffering.
704.730 Exemption Change
This is the Homestead Exemption under the 704 scheme
|
Old Amount |
New Amount |
|
(1) | Individual |
$75,000 |
$75,000 |
(2) | Family |
$100,000 |
$100,000 |
(3) | 65 or older, or physically disabled, or over 55 with gross annual income of less than $25,000 ($35,000 if married) |
$175,000 |
$175,000 |
The last increase in the amount of the homestead exemption was in 2010. In 2013 the only change to the homestead exemption is who qualifies for the $175,000 exemption.
There were no changes to the other 704 exemption amounts:
General Category Description |
New Amount |
|
010 | Vehicle(s) |
$3,625 |
030 | Material to be applied to repair or maintenance of residence |
$3,825 |
040 | Jewelry |
$9,525 |
060 | Tools of the Trade (per debtor) |
$9,700 |
100 | Cash Value in Unmatured Life Insurance Policies |
$15,250 |
Meet with an attorney to make sure you are taking advantage of the exemptions available to you, and get that fresh start you've been waiting for.
Author - Chad Johnson - Founder and Lead Bankruptcy Attorney