National Divorce & Bankruptcy Center

New York Bankruptcy Property Exemptions:
What You Can Keep

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EXEMPT PROPERTY: The property you can keep after bankruptcy.

Some property in many states is exempt regardless of its value i.e. "all personal possessions". Many states also have a 'wild card' exemption which can be applied to any type of property or split among several different items.

An exemption limit means that any equity above the limit is 'non-exempt'. Equity is the difference between the value of the property and what is owed on the property. For example, a car valued at $4000 with a lien of $3500 has an equity value of only $500 subject to exemption.

To keep non-exempt property, a debtor must generally pay the trustee the value of the non exempt property to be distributed to creditors.

Bankruptcy law allows married couples filing jointly to each claim a full set of exemptions doubling the exemptions. Unless otherwise noted in the following exemption list, married couples may double the exemption amount given.

Note: the value of property for bankruptcy exemption purposes has been generally accepted to be the Garage sale value of the property


NEW YORK State Exemptions (for bankruptcy)

Federal exemptions are not available to NY citizens.

Homestead  Real property , including co-op, condo  or mobile home, to $10,000; Husband and
          wife may double the exemption to $20,000

Insurance:     Disability, or illness benefits to $400 per month
          Life insurance proceeds and avails if the person effecting the policy is the spouse
               of the insured 
          Life insurance proceeds left at death with the insurance company pursuant to
               agreement, if clause prohibits proceeds from being used to pay   
          beneficiary's creditors
          Annuity contract benefits due or prospectively due the debtor, who paid for the
          contract; if purchased within 6 months of filing for bankruptcy and not tax
          deferred, only $5,000

Miscellaneous Alimony, child support to $500 per month
          Property of business partnership

Pensions  ERISA qualified benefits needed for support       
          IRAs needed for support
          Keoghs needed for support
          Public retirement benefits
          State employees
          Village police officers

Personal  Bible; schoolbooks; books to $50; pictures; clothing; church pew or seat; stoves
               with fuel to last 60 days, sewing machine; domestic animal with food to last
               60 days, to $450; food to last 60 days, furniture; refrigerator; TV; radio;
               wedding ring; watch to $35; crockery, cooking utensils and tableware
               needed to $5,000 total (with farm machinery, etc.)
          Burial plot, without structure to 1/4 acre
          Cash, the lesser of either $2,500, or an amount, that, with annuity, totals $5,000;
               in lieu of homestead
          Health aids including animals with food
          Lost earnings recoveries needed for support
          Motor vehicle to $2,400
          Personal injury recoveries to $7,500 (not to include pain and suffering)
          Security deposits to landlord, utility company
          Trust fund principal, 90% of income
          Wrongful death recoveries for person you depended on, needed for support

Public    Social security
Benefits  Unemployment compensation
          Veteran's benefits
          Crime victims' compensation
          Aid to blind, aged, disabled, AFDC
          Home relief, local public assistance
          Workers compensation

Tools of  Farm machinery, team, food for 60 days, professional furniture, books and
               instruments to $600 total
Trade          Uniforms, medal, equipments, emblem, horse, arms and sword of military     
               member

Wages     90% of earnings from milk sales to milk dealers
          90% of earned but unpaid wages received within 60 days of filing for bankruptcy
               (100% for a few militia members)

Wild Card None