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  • Spectacular!

    I liked your fast, friendly service. You were all knowledgeable in the area of bankruptcy. Your treatment of me as a client was spectacular! You were great at promptly responding to my questions and concerns. I loved that you provided courteous and quick responses to all my questions.
    --Donna
  • Highly Recommended!

    I have worked with Seth and he is the utmost professional in how he works with his clients. If you need an attorney you can trust I would highly recommend the Law Office of Seth Hanson.
    --David
  • Very Professional.

    Everyone was very professional and efficient. Seth, and everyone that I had contact with were very knowledgeable. I was very pleased with how we were treated by his staff. My questions were always answered promptly. I was very pleased with the service I received and would not hesitate to refer someone to your firm.
    --Anonymous
  • Non-judgmental.

    You were very open and answered all of my questions. You never made me feel like I was asking a dumb question. I was comfortable with your knowledge of the law. It was hard for me to make this decision to move forward in my life. Everyone was friendly to me and respectful. Non-judgmental. Every question I asked was answered promptly and appropriately. I would recommend you.
    --Anonymous
  • More Than Expected!

    I found the firm's representation to be more than what I expected. I was always kept in the loop, all my questions were answered (whether or not I asked more than once the same question), and I felt completely supported by the firm staff when going through this (at times) scary ordeal. Thank you again.
    --Joanna
  • Very Impressed!

    I liked that you had very friendly, caring staff. You were all very knowledgeable. Your treatment towards me was excellent and you quickly responded to all my concerns. If a friend asked of your overall impression, I would say that we were very impressed and we would recommend you to them.
    --Danielle

Bankruptcy And Retirement

A 2010 study completed by the University of Michigan concluded that seniors are the fastest growing segment of bankruptcy filers. So, it’s no surprise that I get a lot of question from clients who are either currently retired or nearing retirement about how bankruptcy will affect them.

Currently Retired

Generally speaking, retirement funds are protected in bankruptcy. Though there are some exceptions you should know about.

Social security income and other federal benefits are generally exempt, though things get tricky when the money hits your account. Federal benefits can be garnished once they’re in your account. Luckily, you can exempt up to two months’ worth of funds received from a federal benefit in your bank account. So, don’t let federal benefits build up in your account if you’re looking to file soon.

Things are a little bleaker if you’re utilizing another retirement fund. Any retirement income that you don’t need for basic expenses could be garnished in a Chapter 7. In the case of a Chapter 13, your retirement income will likely come into play in determining your payment plan.

Nearing Retirement

Federal retirement exemptions can go a long way to protecting your retirement. Private company pensions must qualify under the Employment Retirement Income Security Act of 1974 to qualify for exemption. Other pensions can still qualify, but they must meet other criteria of the Internal Revenue Code. You can protect up to $1.2 million in your traditional or Roth IRA. 401(k)s are completely exempt. It’s pretty rare for one of my clients to lose any of there retirement in a bankruptcy.

Bankruptcy can be very complicated, especially of your trying to protect your retirement. If you’re a Modesto resident who’s retired or nearing retirement and are looking into Modesto bankruptcy, please give our office a call and we’d be happy to schedule you a free consultation.

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