How does the Chapter 7 means test work?

Who has to take the means test?

The abuse rule applies to Chapter 7 cases filed by individuals whose debts are primarily consumer debts. If the court finds that granting relief would be an abuse of Chapter 7, it may dismiss the case or, with the debtor's consent, convert it to Chapter 11 or Chapter 13.4

Some filers are protected from it. A court may not dismiss or convert a Chapter 7 case based on any form of means testing if you are a disabled veteran whose debts were incurred mainly during active duty or a homeland defense activity. The same protection applies during active duty or homeland defense service of at least 90 days, and for 540 days after it ends.4

Everything in the test starts from one number, your current monthly income. The law defines it as the average monthly income you received from all sources during the 6 calendar months before the case is filed, whether or not it is taxable. It includes regular contributions other people make to your household expenses. It does not include Social Security benefits.2 3

What are the steps of the means test?

The test is done on official forms, in order.

How does the income comparison work?

Your current monthly income is multiplied by 12 and compared with the median family income in your state for a household of your size. If your figure is equal to or less than the median, no one may ask the court to dismiss your case based on the means test presumption.4

The median figures come from the Census Bureau, and the U.S. Trustee Program publishes them and updates them regularly. State dollar figures are not printed here because they change. Use the table on the U.S. Trustee Program's means testing page that applies on your filing date.6

What happens if your income is above the median?

You are not shut out of Chapter 7 automatically. The test moves to a second calculation that subtracts certain allowed expenses and secured debt payments from your current monthly income.2 4

The expenses are not simply what you spend. They are the amounts set by the IRS National Standards and Local Standards, plus your actual expenses in the categories the IRS calls Other Necessary Expenses, for the area where you live.4

What is left each month is multiplied by 60, the number of months in 5 years, and the result is measured against thresholds set in the law. For cases filed on or after April 1, 2025, the dollar amounts are $10,275 and $17,150, alongside a test of 25% of your nonpriority unsecured debt.2 4 7

These dollar amounts are adjusted every three years, so check the current version of Form 122A-2 before relying on them.2 4 7 8

What if the test says abuse is presumed?

A presumption is not a final ruling, but it is hard to overcome. It can be rebutted only by showing special circumstances, such as a serious medical condition or a call to active military duty, that justify additional expenses or adjustments of income for which there is no reasonable alternative. You must itemize each one and explain it in detail.4

In a Chapter 7 case, the U.S. trustee reports to the court within 10 days of the creditors' meeting on whether the case should be presumed to be an abuse. If the presumption stands, the case may be dismissed or converted, usually to Chapter 13.2 1

Does passing the means test settle the question?

Not completely. Even when the presumption does not arise, the court can still find abuse by considering whether the petition was filed in bad faith or whether the debtor's financial situation as a whole demonstrates abuse.4

For filers at or below the median, though, only the judge or the U.S. trustee may bring an abuse motion of any kind.4

What do you need to do the calculation properly?

A few things make the difference between a reliable result and a guess.

• Income records for the full 6 calendar months before you file, from every source that counts.2 3
• The current tables for your filing date. As of October 26, 2026, the U.S. Trustee Program's median income data applies to cases filed on or after April 1, 2026, and its IRS expense standards to cases filed on or after July 15, 2026.6
• Proof of the expenses you claim. Trustees ask for documentation of certain monthly expenses claimed in the means test.9 10

The arithmetic is mechanical. The judgment calls are not, such as how to treat an unusual source of income or whether special circumstances apply. If your result is close to the line, that is a good reason to talk to a lawyer before you file.