
Means Test Attorneys in Los Angeles
Determining Chapter 7 Bankruptcy Eligibility
Since the October 2005 bankruptcy law changes were passed, individuals wishing to file for Chapter 7 bankruptcy must pass the means test. This test is designed to determine if a person has enough disposable income to repay any of his or her debts. It is a complex formula that takes your income, expenses, and total amount of debt into consideration.
At RHM LAW LLP, our Los Angeles bankruptcy attorneys have a detailed understanding of the means test. We have helped thousands of people in Los Angeles and other Southern California communities obtain debt relief through Chapter 7 bankruptcy, allowing them to rebuild their financial future on more solid footing.
Call us at (213) 344-0043 to arrange a 30-minute complimentary consultation and learn if you pass the means test.
What Is the California Means Test?
The means test is an attempt to limit Chapter 7 bankruptcy to those who are truly unable to pay their unsecured debt. It was created to encourage those who are able to repay even a small portion of their debt to file Chapter 13 bankruptcy, the debt reorganization plan.
The first part of the means test compares your monthly gross income for the past six months to the median income in California. If your income is less than the average, you probably qualify for Chapter 7 bankruptcy. If it exceeds the median, deductions for housing, child care, medical expenses, and other costs are applied to determine a monthly net income figure.
Not being keenly aware of the means test could cost you hundreds of dollars each month. An experienced bankruptcy lawyer can help you navigate this test and save you money.
What is the Alternative?
If you make too much money to file Chapter 7 bankruptcy, all is not lost. You may file Chapter 13 instead. With Chapter 13 bankruptcy, your unsecured debt is rolled into one monthly payment, determined by your ability to pay, which you make over a period of three to five years. After the designated time is over, all remaining unsecured debt is discharged. One benefit of this type of bankruptcy is that you can remove junior liens, including second and third mortgages.
Experienced Bankruptcy Lawyers Helping You Get a Fresh Start
Calculating the California means test is complex. One simple mistake could result in the dismissal of your bankruptcy petition. Protect yourself by speaking with our bankruptcy lawyers in Los Angeles.
Contact us today to schedule a 30-minute complimentary consultation and discuss your eligibility for Chapter 7 bankruptcy.

RHM LAW LLP
Meet Our Los Angeles Bankruptcy Specialists
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M. Jonathan Hayes Senior Counsel
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Matt D. Resnik | Managing Partner Certified Bankruptcy Specialist
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Roksana D. Moradi-Brovia | Partner Certified Bankruptcy Specialist
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W. Sloan Youkstetter | Associate Attorney Certified Bankruptcy Specialist
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Russell J. Stong III | Associate Attorney Certified Bankruptcy Specialist
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David M. Kritzer Associate Attorney

Client Reviews
What Clients Say About Working With Us
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Dear Mr. Resnik: We wanted to thank you for your professional handling of our loan modification with GMAC mortgage. We are very happy that you were able to accomplish the modification of our loan in such a short period of time. Thank you again for your professional service.
- W and B Mejia -
Was very impressed with the comprehensive professionalism of the firm, especially Matthew Resnik... I had suffered through the incompetence of two previous bk lawyers not to mention fees far greater than anticipated, without resolution. Having never gone through bk before, I did not realize how difficult it could be...then, my case was turned over to Mr. Resnik...almost immediately there was a marked positive difference. Where there was little to no communication, all of a sudden I am getting updates...regularly. Further, my case was finally discharged...yet, Mr. Resnik continues to communicate, offer assistance...and, has NEVER asked for additional fees, which I am sure he could have justified...much unlike the two previous attorneys with which I was dealing. I have no reservations, whatsoever, referring and recommending Matthew Resnik for any and all business or personal bk issues...or, other wise. I have no doubt that he will be transparent on helping you regardless of the problem. Good guy.. good firm... a wonderful experience!
- G.L -
I needed a bankruptcy attorney in Sherman Oaks and found Matt Resnik on Google. He has one of the best-reviewed bankruptcy law firms on Yelp so I decided to check it out his law firm for myself. I quickly found out that they are foreclosure specialists and they could help me with my issue. They made the process very easy for me and laid out my options for me. I cannot thank them enough for helping save my home. I would recommend them for anyone that is thinking about filing for bankruptcy or foreclosure on their home. They are the best bankruptcy law firm in Sherman Oaks.- Joseph R.
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I worked with David Kritzer at this firm, and he was great. He negotiated on my behalf with a credit card company and was able to settle with them for much lower than I could have on my own thanks to his knowledge and expertise in the field. If you have a debtor on your back go to him to get it taken care of.- Kelly S.
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I filed bankruptcy with this firm 3 years ago and found that they are professional, friendly, and compassionate. I also met with their loan modification department. Unfortunately, they were unable to help because of the type of loan that I have. I really appreciated that they did not lie, waste my time, or take my money in an attempt to modify a loan that was not doable. I've since used their firm for a couple of minor issues and found all of the attorneys to be knowledgeable and considerate. Attorneys Simon and Resnik are amazing!- Shannon J.
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Where to begin? I had a vile evil credit union repo my car over a misunderstanding, they wouldn't work with me even when I offered full payment plus repo fees (this was my first repo!) so I didn't know what to do. I met with a few lawyers but when I met with Simon he broke things down and gave me my options. I needed a car - so I filed BK and included the car to get it back. The evil credit union fought and Simon GOT ME MY CAR BACK!!! His team is amazing!!!! Maria Donna etc!!! These are top-notch pros that'll have your back. I cannot recommend them highly enough. Sincerely they saved my life. LA with no car!? ARGH!!!!!! *THANX ALL!!!!- Tim C.
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Thank you for your great work on behalf of Ms. Johnson. Without the support of pro bono attorneys we couldn't do all the work we need to do, and your firm in particular is outstanding.
- Skip K. -
I worked with Matt and his team for about a year to get through the paperwork shuffle and my personal experience was nothing short of fantastic. Legal situations have a tendency to get hairy, but Matt and his staff conducted themselves with professionalism throughout the whole ordeal. To keep it short, let's just say he under-promised and over-delivered. Rarely would I ever say this about an attorney, but overall he was just a great guy. I would not hesitate to have him on my side of the courtroom again. World market is right across the street from his office and I even decided to get his staff a thank you / holiday gift card. World market has excellent craft beer BTW, try the Einstock White Ale. They also validate parking. That just shows this isn't a fake review.- Dean C.
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This is to thank you for the exceptional work of you and your fine staff. In managing my bankruptcy and loan modification, a nearly five-year effort, your performance was stellar. I never felt alone or adrift, key concerns in those circumstances. The outcome was outstanding. As the dank blanket of economic uncertainty continues to depress the hopes of many of us, I keep your business cards and number available for others. Without hyperbole, I can attest that you are present a beacon. Thank you so much.- K.C.

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A Summary of Bankruptcy Law: Third Edition
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Summary of Chapter 13