Indiana Bankruptcy Exemptions

Indiana is an opt-out state, meaning that most individuals filing for bankruptcy in Indiana must use these **Indiana** exemptions rather than the federal set, though certain federal protections (e.g., Social Security, ERISA benefits) still apply. Below is a summary of the most commonly used exemptions under Indiana law. Always verify the current statutes, as laws and interpretations can change.

Asset / Type of PropertyExemption DescriptionStatute / CodeNotes
HomesteadReal or personal property used as residence up to \$17,600. Husband and wife may double (i.e., \$35,200). Also, property held as tenancy by the entirety is exempt against debts of only one spouse.Ind. Code §§ 34-55-10-2(b)(1), (2)(c), (b)(5)Tenancy by the entirety protects marital property from individual debts of one spouse.
Fraternal Benefit Society BenefitsFully exempt.Ind. Code § 27-11-6-3
Group Life Insurance PolicyFully exempt.Ind. Code § 27-1-12-29
Life Insurance Policy / Proceeds / Cash ValueExempt if beneficiary is insured's spouse or dependent; also exempt if policy has anti-creditor clause.Ind. Code §§ 27-1-12-14, 27-2-5-1, 27-8-3-23
Property of Business PartnershipExempt from individual partner’s creditors.Ind. Code § 23-4-1-25
FirefightersExempt pension/benefits.Ind. Code §§ 36-8-7-22, 36-8-8-17
Police Officers (Benefits Building Up)Pension contributions / accumulations exempt.Ind. Code §§ 10-1-2-9, 36-8-8-17
Public EmployeesExempt retirement benefits.Ind. Code § 5-10.3-8-9
Public / Private Retirement BenefitsGenerally exempt from creditors.Ind. Code § 34-2-28-1(a)(6)May refer to certain IRAs, 401(k)s, etc.
Sheriffs (Benefits Building Up)Exempt pension accumulations.Ind. Code § 36-8-10-19
State TeachersExempt retirement benefits.Ind. Code § 21-6.1-5-17
Health AidsFully exempt if medically necessary.Ind. Code § 34-2-28-1(a)(4)
\$100 of “Intangible” Personal PropertyExcept money owed to you. So, e.g., stock or intangible asset up to \$100.Ind. Code § 34-2-28-1(a)(3)
Crime Victims’ CompensationExempt unless discharging debt for treatment of the crime-related injury.Ind. Code § 12-18-6-36
Unemployment CompensationFully exempt.Ind. Code § 22-4-33-3
Workers’ CompensationFully exempt.Ind. Code § 22-3-2-17
National Guard Uniforms, Arms, EquipmentFully exempt if required to keep.Ind. Code § 10-2-6-3
WagesMinimum 75% of earned but unpaid wages. Bankruptcy judge may allow higher % for low-income debtors.Ind. Code § 24-4.5-5-105
Wild Card\$4,000 of **any** real estate or **tangible** personal property.Ind. Code § 34-55-10-2(b)(2)Homestead and wildcard can sometimes be combined for additional real estate coverage.

Disclaimer

This information is provided for educational purposes only and may not reflect the most recent legal developments or local court interpretations. It is not legal advice. Consult a licensed Indiana bankruptcy attorney to confirm the current exemption amounts and their applicability to your case.