The Means Test: Do I Qualify for Chapter 7?

If you’re hoping to file Chapter 7 and get a fresh start, there’s one gate you have to pass through: the means test. It sounds intimidating, but the idea behind it is simple—it’s the law’s way of checking whether Chapter 7 is meant for you or whether you should repay some debt through Chapter 13. Here’s how it works. This is for informational purposes only and not legal advice, and the figures below are adjusted periodically.

Step One: The Median Income Comparison

The first part of the means test compares your household income—averaged over the six months before filing—to the median income for a household of your size in your state. If you’re below the median, you pass, and you can generally file Chapter 7 without going further. Most filers clear this first step.

As of the filing period beginning April 1, 2026, the annual median family income figures are approximately:

• Idaho: $73,413 for one earner; $86,160 for a household of two; $98,381 for three; $119,662 for four (add about $11,100 for each additional person).
• Washington: $88,585 for one earner; $107,100 for a household of two; $131,737 for three; $156,567 for four (add about $11,100 for each additional person).

These numbers update over time, so always confirm the current figures for your household size before relying on them.

Step Two: The Expense Calculation

If your income is above the median, you’re not automatically disqualified. You move to the second step, which subtracts allowed living expenses—housing, transportation, food, taxes, certain debt payments, and more—from your income to see how much “disposable income” you have left. If what remains is low enough, you can still qualify for Chapter 7. If it’s high enough to fund a meaningful repayment plan, Chapter 13 is likely the path.

Why the Details Matter

The means test is math, but it’s math with a lot of moving parts. What counts as income, which expenses are allowed, and how household size is measured can all change the result—and small differences sometimes decide whether Chapter 7 is available. People are often surprised to learn they qualify when they assumed they earned too much, or that they don’t when they assumed they’d breeze through.

Don’t Let the Test Scare You Off

The means test screens out a small share of filers, not most of them. If your income is modest and your debts are largely credit cards and medical bills, there’s a good chance you qualify. And even if you don’t, that’s not the end of the road—it usually just points you toward Chapter 13. The best way to know where you stand is to have someone run the numbers with your actual figures.

Remember, this blog post is for informational purposes only and should not be considered legal advice. Every situation is different. If you have questions, reach out to Tecla Druffel, a bankruptcy attorney serving clients in Idaho and the Eastern District of Washington.