Idaho Bankruptcy Exemptions: Chapter 7 Property Guide

Exemptions help you protect what you own when you file bankruptcy. If you file Chapter 7 bankruptcy as an Idaho resident, you must use the state’s exemption laws. Idaho provides a generous homestead exemption up to $175,000 and a motor vehicle exemption of $10,000. Idaho also offers a wildcard exemption of $1,500, which you can apply to any tangible property.

Why Idaho Exemptions Matter in Chapter 7 Bankruptcy

Exemptions are laws that protect your property from creditors during bankruptcy. Most Chapter 7 filers keep everything they own.

Maximize Your Idaho Bankruptcy Exemptions

Idaho's exemptions can protect your home, vehicle, and personal property. Get expert guidance on your Chapter 7 case to keep what matters most.

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Can You Use Federal Bankruptcy Exemptions in Idaho?

Each state has different bankruptcy rules, including exemption allowances. The U.S. Bankruptcy Code lists federal exemptions, but states can opt out.

Idaho has opted out of federal exemptions. Idaho residents must follow Idaho’s state exemptions in bankruptcy. You can also use federal non-bankruptcy exemptions, which protect benefits like Social Security.

If you’ve lived in Idaho for at least two years before filing, you must use Idaho’s exemptions. Recently moved? You’ll need to determine which state’s exemptions apply based on your residency history.

If you need guidance on your Chapter 7 case, speak with a bankruptcy attorney for free to understand which exemptions protect your property.

Idaho Bankruptcy Exemptions Explained

Exemptions cover many different types of property. Here are the most common exemptions in Idaho.

Real Property: Idaho Homestead Exemption

The Idaho homestead exemption is very generous. It allows you to protect up to $175,000 of equity in your primary residence. This includes homes and mobile homes you live in.

The $175,000 limit is absolute. Even married couples filing jointly cannot double this exemption.

The Idaho homestead exemption also covers sale proceeds for six months. It covers insurance proceeds for one year under specific conditions.

See Idaho Code §§ 55-1001, 55-1002, 55-1003, 55-1008, 55-1113

Personal Property Exemptions

Idaho bankruptcy exemptions appear in Idaho Code Titles 11, 41, 45, and 55. Married couples filing jointly can usually double their exemptions unless expressly prohibited. Both spouses must have an ownership interest in the property.

Idaho filers can protect the following items up to stated dollar amounts:

Motor vehicle: Up to $10,000
Jewelry: Up to $1,000
Household furnishings, appliances, books, clothing, pets, musical instruments, family portraits: Up to $7,500 total
Implements, books, and tools of trade: Up to $2,500
Firearms: Up to $1,500 in aggregate value
Livestock: Up to $5,000
Crops: Up to $1,000

See Idaho Code §§ 11-605(3), 11-605(1)(a), 11-605(2), 11-605(7), 11-605(8), 11-605(3), 23-514

Idaho filers can protect the following items with no limit:

Burial plot
Health aids that allow you or a family member to work and maintain health
Provisions of food or water with storage containers and shelving, sufficient for 12 months
Building materials for construction (protected from all creditors except those who financed the materials)

See Idaho Code §§ 11-603(1), 11-603(2), 11-605(4), 11-605-(7), 45-514

Idaho Wildcard Exemption

Idaho allows a wildcard exemption of up to $1,500 for any tangible personal property. You can’t use this on real estate or nontangible property interests.

A wildcard exemption allows you to protect any personal property you choose. You can use it for items that don’t fall under other exemption categories.

See Idaho Code §11-605(10)

Idaho Money and Benefit Exemptions

Idaho bankruptcy exemptions protect the below funds or benefits up to stated amounts:

Wages: Up to $2,500 in disposable earnings per calendar year
College savings program account: Fully protected
Annuity contract proceeds: Up to $1,250 per month; if no payments are being made, cash surrender value protected up to premiums paid during six months before filing

The following insurance and money benefits are protected without limit:

Insurance benefits
Group life insurance benefits
Life insurance proceeds
Fraternal benefit society benefits
Medical, surgical, or hospital care benefits and medical savings account amounts

See Idaho Code §§ 11-605(11), 11-604A(4)(b), 41-1836, 41-1833(1), 41-1930, 41-1835, 41-1930, 41-3218, 11-603(5)

The below funds and benefits are fully exempt if reasonably necessary for support:

Alimony or support payments
Death or disability benefits
Personal injury or wrongful death recoveries

See Idaho Code §§ 11-604(1)(b), 11-604(1)(a), 11-604(1)(c)

Other Idaho Exemptions

The above exemptions are all available in the Idaho Code. Additional protections exist under Idaho law to protect your property.

Public Benefits

There are no monetary limits to the following exemptions:

Aid to blind, aged, disabled and general assistance
Social Security and veterans’ benefits
Unemployment compensation
Earned income tax credit (but not child tax credit or education tax credit)
Federal, state, and local public assistance
Workers’ compensation

See Idaho Code §§ 56-223, 11-603(3), 11-603(6), 11-604(4), 72-802

Pension and Retirement Benefits

All Idaho filers have options to protect their pensions and retirement benefits:

Idaho filers with ERISA-qualified benefits use Idaho Code §§ 50-1011, 11-604A to exempt their pension
Idaho filers who are public employees use Idaho Code §§ 59-1317, 59-1325 to exempt their pension
Firefighters can protect their firefighters fund retirement benefits under Idaho Code § 72-1422
Any Idaho filer can exempt their employee plan benefits under Idaho Code §§ 11-604(1), 11-604A, 41-1834

Getting Help With Your Idaho Chapter 7 Bankruptcy

Understanding Idaho’s bankruptcy exemptions is crucial to protecting your assets. The exemptions determine what property you keep after filing Chapter 7.

You deserve expert guidance on maximizing your exemptions. A qualified bankruptcy attorney can help you protect your home, vehicle, and other assets.

Ready to explore your options? Speak with a bankruptcy attorney for free to discuss your Idaho Chapter 7 case today.

Frequently Asked Questions

What is the homestead exemption in Idaho bankruptcy?

The Idaho homestead exemption protects up to $175,000 of equity in your primary residence. This includes homes and mobile homes. The exemption cannot be doubled by married couples filing jointly and also covers sale proceeds for six months and insurance proceeds for one year.

Can I use federal bankruptcy exemptions in Idaho?

No, Idaho has opted out of federal bankruptcy exemptions. Idaho residents must use the state's exemption laws when filing Chapter 7 bankruptcy. You can still use federal non-bankruptcy exemptions, which protect benefits like Social Security and veterans' benefits.

How much vehicle equity can I protect in Idaho bankruptcy?

You can protect up to $10,000 of equity in a motor vehicle under Idaho bankruptcy exemptions. Married couples filing jointly can double this exemption to $20,000 if both spouses have an ownership interest in the vehicle.

What is Idaho's wildcard exemption?

Idaho's wildcard exemption allows you to protect up to $1,500 of any tangible personal property you choose. You can use this exemption for items that don't fall under other specific exemption categories, but it cannot be applied to real estate or nontangible property interests.

How long do I need to live in Idaho to use state exemptions?

You must live in Idaho for at least two years before filing bankruptcy to use Idaho's state exemptions. If you recently moved to Idaho, you may need to use the exemptions from your previous state depending on your residency history.

Idaho Bankruptcy Exemptions: What You Can Keep in Chapter 7