What are the Minnesota bankruptcy exemptions?

In this post we list the Minnesota bankruptcy exemptions. Post updated January 2018.

In an earlier post we told you about what items were exempt in a Chapter 7 bankruptcy (meaning you get to keep them).  Items that are not exempt may be taken by the trustee to pay your creditors. Although the great majority of Chapter 7 cases are no-asset, meaning that the debtor loses no property, people are often concerned about whether their property is exempt. In Minnesota, you can choose either the Minnesota bankruptcy exemptions or the federal exemptions, depending on which are more advantageous to you. In this post, we compare the two sets of exemptions for some of the most common property items:

Item Federal exemption Minnesota exemption
Your home $23,675 $390,000
Wildcard (any property) $11,850–$13,100 None
Household goods and clothes $12,625 $10,350
Jewelry $1,600 $2,695 (only wedding rings)
Motor vehicle $3,775 $4,600
Tools of the trade $2,375 $11,500
Life insurance policy with loan value $12,625 $9,200
IRA or Roth $1,283,025 $1,171,150
Personal injury compensation payments $23,675 (with exceptions) Unlimited
Social security benefits Unlimited Unlimited
Child support Unlimited Unlimited

*Some exemptions can be doubled in a joint case, some cannot.

By the way, the exemptions change every so often, so these may not always stay the same. The Minnesota bankruptcy exemptions are complicated, and don’t always apply exactly how they would appear to. Consult a bankruptcy attorney to find out whether a particular item of yours would be exempt in a Chapter 7 case.

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