Twice a year, the Indexed Amounts are updated. “What are Indexed Amounts?” I hear you ask?? Well! These are the limits applicable to certain aspects under The Bankruptcy Act, such as;
- The amount of income you earn whilst Bankrupt, before being required to make contributions to your bankrupted debts;
- The limits applicable to the value of certain items you can retain whilst Bankrupt (e.g the value of a car or the value of tools used to earn an income);
- Threshold limits in respect of income, debts and assets to be eligible to lodge a Part IX Debt Agreement.
Every year, the limits are reviewed and updated on 20th March and 20th September in line with CPI or the base pension rate. Well one of those dates is today! Here are the updated threshold amounts relative to Part IX Debt Agreement eligibility;
- Total amount of your unsecured debts cannot be more than $116,662 (per person)
- Total after tax income for the next 12 months cannot be more than $$87,496.50 PA (approx $122,980 gross) or $1682 net per week (per person)
- Your interest in unsecured assets (e.g value of asset minus a mortgage or secured loan) cannot exceed $233,324.00 (per person)
These limits are applicable at the time of assessment and lodgement of the Debt Agreement.
At Life After Debt, we specialise in compromising unmanageable unsecured debts into a single repayment package (per person) that is based upon what you can afford. Check out our client testimonials or Google Reviews to see just how we have helped so many everyday Australians to “Lose their Debt, not their Dignity”. You do not have to continue to struggle with unmanageable debt, we are only a phone call away to listen and advise you what would be best based on your current situation; whether that be a Debt Agreement, Bankruptcy, seeking Hardship Relief, seeking an appointment with a Financial Counsellor or just directing you on budget management.
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So if you are tired of dodging collections calls, afraid to answer the phone or front door, keep stuffing those nasty-looking letters into drawers …. then you need Life After Debt. Call 1300 237 669 or complete an enquiry so we can take that stress away and show you the way out.