Updated Exemption Amounts Under the Bankruptcy Code
In certain states, including Minnesota, a resident may file a bankruptcy case and elect to protect certain assets under the Bankruptcy Code. The Bankruptcy Code provides that these exemption amounts are automatically adjusted for inflation every three years. In short, the adjustments are based on changes to the Consumer Price Index for All Urban Consumers published by the Department of Labor, rounded to the nearest $25.
New dollar amounts took effect on April 1, 2019, and apply to all cases filed on or after that date. The following chart summarizes the updated Bankruptcy Code exemption amounts:
The following PDF summarizes these updated Bankruptcy Code amounts and also compares the Bankruptcy Code exemptions with the Minnesota state-law exemptions. The statutory language of the applicable exemption has been paraphrased in this chart. The actual statutory language as well as case law must be reviewed when analyzing a debtor’s claim for a particular exemption.