Oklahoma is an opt-out state, so federal bankruptcy exemptions are not available. However, certain federal nonbankruptcy exemptions—such as Social Security and ERISA retirement protections—may still apply. Below is a summary of common Oklahoma exemptions from your notes.Verify the exact amounts and any updates by consulting a licensed Oklahoma bankruptcy attorney or checking the Oklahoma Statutes.
Note: Spouses filing jointly in Oklahoma typically can double exemptions unless stated otherwise.
Amount: Unlimited equity in real property or burial plot (with acreage restrictions):
Check with a local attorney about doubling. (Okla. Stat. tit. 31 §§ 1(A)(1); 2)
Amount: Up to \$7,500 equity in one vehicle. (Okla. Stat. tit. 31 § 1(A)(13))
Amount: Up to \$10,000 in tools of the trade or farm implements. (Okla. Stat. tit. 31 § 1(A)(5))
None provided by Oklahoma statutes.
Okla. Stat. tit. 31 § 1(A) (10) – (12), (15) – (17), (21), (23), (24) (not exhaustive):
Generally, Oklahoma protects:
Also note that federal law generally protects tax-exempt retirement accounts in bankruptcy, including 401(k)s, 403(b)s, profit-sharing, SEP, SIMPLE IRAs, and traditional & Roth IRAs up to certain federal limits. (11 U.S.C. §§ 522(b)(3)(C), (n).)
Even though Oklahoma does not allow federal bankruptcy exemptions, certain federal nonbankruptcy exemptions (like Social Security, certain military benefits, etc.) are still available. Confirm with your attorney which ones might apply.
Public Benefits:
Insurance:
Alimony and Child Support: Okla. Stat. tit. 12 § 1171.1; tit. 31 § 1(A)(19).
Funeral benefits if pre-paid in trust: Okla. Stat. tit. 36 § 6125.
Business partnership property: Okla. Stat. tit. 54 § 1-501.
You must live in Oklahoma for at least two years to use Oklahoma’s exemptions. Otherwise, you might have to use your prior state’s exemption laws. (11 U.S.C. § 522(b)(3)(A).)
A separate federal rule caps the homestead exemption at \$189,050if you’ve lived in your home for fewer than 40 months before filing (with certain exceptions).
In Chapter 7, any nonexempt assets may be sold by the trustee to pay creditors, unless you pay for the asset’s value to keep it. In Chapter 13, you retain all assets but pay creditors the value of nonexempt property over 3-5 years.
This overview is for informational purposes only and is not legal advice. Exemption amounts and interpretations can change by legislation or court rulings. Always consult a licensed Oklahoma bankruptcy attorney or refer to the Oklahoma Statutes for accurate, up-to-date details applicable to your case.