Michigan Bankruptcy Calculators 2026 — Complete State Guide
Michigan residents filing bankruptcy use both federal bankruptcy law (11 U.S.C.) and Michigan-specific exemption statutes to determine eligibility, protect assets, and structure repayment plans. This page provides a complete reference for 2026 Michigan bankruptcy rules, including median income thresholds for the Chapter 7 means test, asset exemption amounts, and links to all state-specific calculators.
For a single person in Michigan, the 2026 Chapter 7 income limit is $59,076/year ($4,923/month). For a family of four: $100,980/year. Michigan's homestead exemption protects $40,475 in home equity. Retirement accounts are fully protected in Michigan, as they are in every state.
Michigan 2026 Chapter 7 Median Income Thresholds
| Household Size | Annual Income Limit | Monthly Limit |
|---|---|---|
| 1 person | $59,076 | $4,923 |
| 2 people | $76,068 | $6,339 |
| 3 people | $88,572 | $7,381 |
| 4 people | $100,980 | $8,415 |
| 5 people | $110,880 | $9,240 |
Michigan 2026 Bankruptcy Exemptions
| Asset Type | Protected Amount | Notes |
|---|---|---|
| Homestead / Home Equity | $40,475 | Primary residence |
| Motor Vehicle | $4,250 | — |
| Retirement Accounts | 100% | All qualified plans |
| Wildcard | $1,525 | Any asset |
| Personal Property | $4,250 | Household goods, clothing |
| Wages | 60% of disposable earnings | Earned but unpaid wages |
Michigan Bankruptcy Calculators
Frequently Asked Questions
How does Michigan's homestead exemption compare to other states?
Michigan's homestead exemption of $40,475 is below the national average, which means homeowners with significant equity should carefully evaluate whether their equity is protected before filing Chapter 7. Homeowners with equity near or above the exemption limit should discuss Chapter 13 as an alternative with a bankruptcy attorney.
Who qualifies for Chapter 7 bankruptcy in Michigan?
To file Chapter 7 in Michigan, you must pass the means test (income at or below $59,076/year for a single person, or complete the disposable income calculation if above), not have had a Chapter 7 discharge within the past 8 years or a Chapter 13 discharge within the past 6 years, not have had a bankruptcy case dismissed within the past 180 days for cause (fraud, willful failure to follow court orders), and complete a credit counseling course from an approved provider within 180 days before filing.
What is the typical cost to file bankruptcy in Michigan?
The filing fee for Chapter 7 in Michigan is $338 (payable to the bankruptcy court) and for Chapter 13 is $313. Attorney fees vary significantly: Chapter 7 attorney fees in Michigan typically range from $1,000 to $2,500 depending on case complexity, geographic market, and attorney experience. Chapter 13 attorney fees are subject to local court fee guidelines and are typically $3,000 to $5,000, paid through the plan over time rather than upfront. Fee waivers are available for Chapter 7 filers with income below 150% of the federal poverty line.