The Mississippi bankruptcy exemptions chart, see below, details the property you can exempt or protect from creditors when you file bankruptcy in Mississippi. You may exempt any property that falls into one of the exemptions categories below, up to the dollar amount listed. You will be able to kept this exempted property after you file bankruptcy. Please note that there are certain debts which you will not be able to erase in bankruptcy. (see Non-dischargeable Debts)
An exemption limit applies to any equity you have in the property. Equity is the difference between the value of the property and what is owed on the property. For example, a car valued at $5000 with a loan of $4500 has an equity value of only $500.
If the property is secured by a loan, such as a car or home, and you are current on the payments and the equity is covered by your exemptions, you may elect to keep making payments on the loan and keep this property through the bankruptcy. If all the equity is not covered by your exemptions the trustee may elect to liquidate this asset and distribute the proceeds. Generally, in this case, you would be entitled to the value of your exemption in the asset as a cash payment.
Bankruptcy law allows married couples filing jointly to each claim a full set of exemptions, unless otherwise noted.
To keep non-exempt property, a debtor must generally pay the trustee the value of the non-exempt property.
When you file bankruptcy in Mississippi you may also use certain federal exemptions in addition to your Mississippi exemptions.
Homestead | Property occupied by debtor unless over 60 & married or widowed, to $75,000; property cannot exceed 160 acres; sales proceeds exempt May file homestead declaration | 85-3-1(b)(i), 85-3-21, 85-3-23 85-3-27, 85-3-31 |
Insurance | Disability benefits Fraternal benefit society benefits Homeowner’s insurance proceeds to $75,000 Life insurance proceeds if clause prohibits proceeds from being used to pay beneficiary’s creditors | 85-3-1(b)(ii) 83-29-39 85-3-25 83-7-5 |
Miscellaneous | Property of business partnership | 79-12-49 |
Pensions | ERISA-qualified benefits deposited over 1 year before filing Firefighters Highway patrol officers IRAs deposited over 1 year before filing bankruptcy Keoughs deposited over 1 year before filing bankruptcy Private retirement benefits to extent tax-deferred Police officers Public employees retirement & disability benefits State employees Teachers | 85-3-1(b)(iii) 21-29-257 25-13-31 85-3-1(b)(iii) 85-3-1(b)(iii) 71-1-43 21-29-257 25-11-129 25-14-5 25-11-201(1)(d) |
Personal Property | Tangible personal property of any kind to $10,000 Personal injury judgments to $10,000 Proceeds for exempt property | 85-3-1(a) 85-3-17 85-3-(b)(i) |
Public benefits | Assistance to aged Assistance to blind Assistance to disabled Crime victims compensation Social security Unemployment compensation Workers’ compensation | 43-9-19 43-3-71 43-29-15 99-41-23 25-11-129 71-5-539 71-3-43 |
Tools of trade | SEE PERSONAL PROPERTY |
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Wages | Earned but unpaid wages owed for 30 days; after 309 days, minimum 75% (bankruptcy judge may authorize more for low income debtors) | 85-3-4 |
WILD CARD | SEE PERSONAL PROPERTY |
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For more information on filing bankruptcy in Mississippi explore Mississippi Bankruptcy Law.
