Massachusetts Bankruptcy Exemptions

Probably the easiest way to do this is to give you the Chapters and Sections of the Massachusetts General Laws where most of the Massachusetts bankruptcy exemption are spelled out.  Then you can review those sections at your leisure.  Any dollar amounts included in the information represent the limits of the exemption.  The issue of which set of exemption to choose, federal or Massachusetts, can be complicated, and I encourage you to talk to a Massachusetts bankruptcy attorney before moving forward.  In addition to the protections offered by the MA Declaration of Homestead (automatic homestead protection of up $125,000, and up to $500,000 in protection for a "declared homestead."), Massachusetts offers the following exemptions in bankruptcy:

 

Personal and Real Property:

 

Chapter 235, Section 34 creates a laundry list of personal property items that may be exempt, including furniture ($3,000), a motor vehicle ($750), books ($200), burial plots, and up to $200 per month for for rent.

 

Chapter 246, Section 28A exempts bank or credit union deposits ($500 total).

 

Chapter 188, Sections 1 and 1A create a homestead exemption for the property you live in ($500,000).  Special rules apply to those who are over 65 of disabled.  

 

Chapter 209, Section 1 creates an exemption for the debts of one spouse for real estate held as in a tenancy by the entirety for non-necessity debts.

 

Chapter 235, Section 34 creates exemptions for certain specified tools of trade, such as tools, uniforms, and fishing boats ($500).

 

Chapter 246, Section 28 creates exemption for earned by unpaid wages ($125/week).

 

Insurance and Pensions:

 

Chapter 175 creates the following exemptions related to insurance:  Section 110A, disability benefits ($400 per week); Section 132C, group annuity policy/proceeds; Section 135, group life insurance; Section 125, life endowment policy or cash value or any life insurance contract which states it is exempt; Section 126, life insurance policy where married woman is the beneficiary; Section 119A, life insurance that prohibits proceeds from being used to pay creditors of named beneficiary.

 

Chapter 175F, Section 15 exempts self-insurance for medical malpractice.

 

Chapter 235, Section 34A creates exemption for ERISA benefits.

 

Chapter 32, Sections 41 and 19 create exemptions for private retirement and public employee retirement benefits, respectively.

 

Chapter 168, Sections 41 and 44 create exemptions for pensions of savings bank employees.

 

Chapter 171, Section 84 creates exemption for pensions of credit union employees.

 

Public Benefits:

 

Chapter 118, Section 10:  AFDC

 

Chapter 152, Section 47:  Worker's Compensation.

 

Chapter 115, Section 5:  Veteran's Benefits.

 

Chapter 151A, Section 36:  Unemployment Compensation.

 

Hope all that helps.