Minnesota Bankruptcy Exemptions

Minnesota is a dual-choice state, meaning you can choose either **Minnesota**-specific exemptions or the **federal** set when filing bankruptcy. Below is a list of **Minnesota** exemptions, with references to the **Minnesota Statutes**. Some exemptions adjust for inflation on July 1 of **even-numbered** years (as noted in Minn. Stat. § 550.37, subd. 4(a)). Always confirm the latest amounts with a **Minnesota bankruptcy attorney** or the official code.

Note: Values below reflect changes through 7/1/1994. For the most recent inflation-adjusted figures, consult the Minnesota Department of Commerce or updated Minnesota Statutes.

Asset / Type of PropertyExemption DescriptionStatute / CodeNotes
HomesteadReal property, mobile home, or manufactured home to **\$200,000**; if primarily used for agriculture, **\$500,000**. Cannot exceed **1/2 acre** in city or **160 acres** elsewhere.Minn. Stat. §§ 510.01, 510.02; 550.37 subd. 12Some inflation updates may apply after 7/1/1994.
Accident or Disability ProceedsFully exempt.Minn. Stat. § 550.39
Fraternal Benefit Society BenefitsFully exempt.Minn. Stat. § 64B.18
Life Insurance Proceeds (Spouse/Child Beneficiary)Up to **\$32,000**, plus **\$8,000** per dependent.Minn. Stat. § 550.37 subd. 10Subject to inflation updates on even years.
Police, Fire, Beneficiary Association BenefitsFully exempt.Minn. Stat. § 550.37 subd. 11
Unmatured Life Insurance Contract Dividends/Interest/Loan ValueUp to **\$6,400** if the insured is debtor or someone the debtor depends on.Minn. Stat. § 550.37 subd. 23Amount subject to inflation updates.
Earnings of Minor ChildExempt from claims against parents or child (some exceptions).Minn. Stat. § 550.37 subd. 15
Property of Business PartnershipProtected from partner’s individual creditors.Minn. Stat. § 323.24
Pension (ERISA, IRAs, etc.) Needed for SupportExempt up to **\$48,000** in present value. IRAs also covered if needed for support. Private retirement benefits, only accrued portion, also exempt.Minn. Stat. § 550.37 subd. 24; IRAs also subd. 24; Private retirement (only building up) 181B.16? Public employees: Minn. Stat. §§ 353.15, 352.96, 352B.071
Appliances, Furniture, Radio, Phonograph, TV to \$7,200Household goods, potentially adjusted for inflation.Minn. Stat. § 550.37(4)(b)Check for inflation updates after 7/1/1994.
Bibles, Books, Musical InstrumentsFully exempt (for personal use).Minn. Stat. § 550.37 subd. 2
Burial Plot, Church Pew or SeatFully exempt.Minn. Stat. § 550.37 subd. 3
Clothing, Food & UtensilsFully exempt necessities.Minn. Stat. § 550.37 subd. 4(a)
Motor Vehicle to \$3,200If modified for disability, up to **\$32,000**.Minn. Stat. § 550.37 subd. 12(a)Check inflation adjustments.
Personal Injury / Wrongful Death RecoveriesFully exempt if needed for support.Minn. Stat. § 550.37 subd. 22
Proceeds for Damaged Exempt PropertyExempt if they come from destroyed or damaged exempt item.Minn. Stat. § 550.37 subds. 9, 16
AFDC, Supplemental Assistance, General Assistance, SSI/SSAFully exempt.Minn. Stat. § 550.37 subd. 14
Crime Victims’ CompensationFully exempt.Minn. Stat. § 611A.60
Unemployment CompensationFully exempt.Minn. Stat. § 268.17 subd. 2
Veterans’ BenefitsFully exempt.Minn. Stat. § 550.38
Workers’ CompensationFully exempt.Minn. Stat. § 176.175
Tools of Trade, except teaching materials, up to \$13,000 totalFarm machines, implements, livestock, produce & crops also up to \$13,000 if you’re a farmer.Minn. Stat. § 550.37 subd. 5Check for inflation adjustments.
Teaching Materials for Public School TeacherBooks, chemical apparatus, etc.Minn. Stat. § 550.37 subd. 8
Tools, Implements, Machines, Instruments, Furniture, Stock in Trade, Library up to \$8,000Additional “tools of trade” category for non-farmers, non-teachers.Minn. Stat. § 550.37 subd. 6Subject to inflation updates.
WagesEarned but unpaid wages: - In some cases, 75% minimum is exempt (Minn. Stat. § 571.922). - Wages deposited in a bank are protected for 20 days. - If receiving welfare or recently returned to work, certain wages are exempt. - Freed inmates’ wages for 6 months also exempt.Minn. Stat. §§ 550.37 subds. 5, 13-14, 571.922Some details vary. Generally at least 75% is exempt.
WildcardNone specified in Minnesota law.--

Disclaimer

This overview is provided for general educational purposes and does not constitute legal advice. Exemption amounts may be updated for inflation, typically on even-numbered years, and statutes can change or be interpreted differently by courts. Always consult a licensed Minnesota attorney or the official Minnesota Statutes for precise, up-to-date amounts and applicability to your situation.