1. The means test (the income limit)
The means test decides whether your income is low enough for Chapter 7. It works in two steps:
- Step one: add up your household's income over the six full calendar months before you file and compare it to the Nevada median income for your household size. If you are at or below the median, you pass.
- Step two: if you are above the median, a longer calculation subtracts allowed expenses, such as housing, car payments, taxes, health insurance and child care. If little is left over, you can still qualify.
The Nevada median income figures are set by the U.S. Trustee Program and updated periodically, so the limit depends on your filing date. You can see the current table on the U.S. Trustee Program's means testing page, and we check it for you at your consultation. Some income, such as Social Security benefits, is not counted. Read how the means test actually works.
2. A recent bankruptcy discharge
- You generally cannot get a Chapter 7 discharge if you received one in a case filed within the last eight years.
- If you received a Chapter 13 discharge in a case filed within the last six years, you generally cannot get a Chapter 7 discharge either, with limited exceptions.
3. A recently dismissed case
If a prior bankruptcy case was dismissed in the last 180 days because you didn't follow a court order, or because you dismissed it yourself after a creditor asked for relief from the automatic stay, you may have to wait before filing again.
4. Credit counseling
You must complete an approved credit counseling course within the 180 days before you file. It costs about $10, takes about an hour online, and we send you to the lowest-cost approved provider.
5. Where you live
To file in Nevada, you generally need to have lived in Nevada for most of the last 180 days. If you moved to Nevada within the last two years, another state's exemption laws may decide what you keep, which can change the advice we give you.
6. Hiding assets or misleading the court
This is the one that turns a case into a lawsuit. A Chapter 7 trustee can ask the court to deny your discharge if you hide property, transfer it to someone else to keep it from creditors, destroy financial records or don't tell the truth under oath. We see these problems from the trustee's side, which is why we go over recent transfers, payments to family and large purchases with you before you file.
What does not disqualify you
- Having a job, or not having one. Can I file if I'm unemployed?
- Owning a home or a car. Most people keep both.
- How much you owe. There is no minimum amount of debt.
- Being married. Your spouse does not have to file with you. Does my spouse have to file too?
- Bad credit or accounts already in collection.
If Chapter 7 isn't the right fit, we'll tell you at the consultation. We file Chapter 7 cases only, and only in Nevada. Chapter 7 or Chapter 13: which one do I need?
Common questions
What is the income limit for Chapter 7 in Nevada?
It is the Nevada median income for your household size, set by the U.S. Trustee Program and updated periodically. If you are above it, you may still qualify after allowed expenses are subtracted. We check the current figure for your filing date at your consultation.
What disqualifies you from filing Chapter 7?
The most common reasons are income too high under the means test, a Chapter 7 discharge in a case filed within the last eight years, a recent dismissed case, not completing credit counseling, or hiding assets or misleading the court.
Can I file Chapter 7 if I have a job?
Yes. Having a job does not disqualify you. What matters is your household income compared to the Nevada median and, if you are above it, your allowed expenses.
How soon can I file Chapter 7 again?
Generally eight years after filing a prior Chapter 7 case that ended in a discharge. Other waiting periods apply after a Chapter 13 discharge or a dismissed case.