When Your Retirement is Drained, What Next?
Parents want to help their children and are programed to protect and rescue them if they run into trouble. However, doing so can detrimental to parental finances.
As more and more adult children live with their parents until later in life, this takes a toll on the parent’s finances, drains their retirement, and impacts the way that they can live in the future. It is understandable to want to help your children succeed. However, there must be a limit–or you may be compromising your own stability.
If you are struggling to find a balance, and are worried about bankruptcy, it pays to act sooner rather than later. Assess your finances, talk openly with your adult children about how your helping them may set you up for needing substantial help later, and be realistic with your retirement allocations. If you do not have enough money left to live comfortably, you may need to examine options for bankruptcy.
Our team of Augusta bankruptcy attorneys at the Law Firm of Seymour and Associates can help you determine what steps to take. We can work with you to review your assets and exemptions, your retirement savings that remain, and which chapter you qualify for.
Bankruptcy Options for Retirees
There are two options for filing for bankruptcy, Chapter 7 and Chapter 13. The option that will best work for you, and that you qualify for, will be determined by your income, your assets, and the commitment you can make moving forward.
- Chapter 7 bankruptcy is applicable when you can successfully pass a means test for qualification. This kind of bankruptcy has no limit for the amount of debt to be eradicated, but you will potentially have to turn over personal property and assets before your case is released. The means test will evaluate the average household income is for your community and age range compared to your personal income and debt.
- Chapter 13 bankruptcy allows you to keep your assets while committing to pay a certain monthly amount of debt for 3-5 years moving forward. This requires examination of the projection of debt to income for your situation, as well as how much support you are providing for your children.
Regardless of which option you believe will be best, it is imperative that you speak with a member of our team. We can help you protect your assets, your income and give you peace of mind. Let us handle the legal process for bankruptcy, so that you don’t have to worry about mistakes or hiccups.
Reach Out to Our Firm Today
If you think you are heading towards a point of financial ruin, you need to discuss your options now. You need the legal guidance from a professional, experienced attorney on our team.
Our lawyers can help you evaluate your options, prepare to file, and support you through the legal process, so that you don’t have to face any unexpected issues. We can work with you to get back on your feet, so your elder years are not spent worried about finances.
Don’t wait until you lose everything—let us take the legal burden off your shoulders. Request a free consultation at (706) 872-7117.
Contact our team to discuss your options at (706) 872-7117.