Virginia bankruptcy means test The Virginia bankruptcy means test is an important tool for determining eligibility for bankruptcy relief under Chapter 7 of the Bankruptcy Code. The test is designed to evaluate a debtor's income and expenses to determine whether they qualify for a Chapter 7 bankruptcy, which allows for the discharge of certain debts. To begin, the means test requires a calculation of the debtor's current monthly income (CMI). This figure is calculated by averaging the debtor's income over the past six months. If the CMI is below the state median income, the debtor is automatically eligible for Chapter 7 bankruptcy. However, if the debtor's CMI is above the state median income, the means test requires additional calculations to determine eligibility. First, the debtor's allowable expenses are deducted from their CMI. Allowable expenses include things like housing, food, transportation, and medical expenses. If the resulting figure is below a certain threshold, the debtor may be eligible for Chapter 7 bankruptcy. https://srislawyer.com/bankruptcy-lawyers-near-me-va-bankruptcy-lawyer-near-me-va-beach/