Oregon Bankruptcy Exemptions

Oregon allows debtors to choose Oregon-specific exemptions or the federal exemption set (Oregon is a “dual system” state). You must pick one system for your bankruptcy case – you cannot mix and match individual exemptions – but the information below focuses on the Oregon state exemptions.

Unless otherwise noted, the dollar amounts below are per debtor. Under ORS 18.345(3), many of the personal property exemptions (such as books, clothing, tools, vehicle, and the $400 “wildcard”) may be claimed by each spouse in a joint case and combined for jointly owned property. Always confirm the latest amounts, inflation adjustments, and any interpretational details with a licensed Oregon bankruptcy attorney or the official Oregon Revised Statutes before relying on these figures.

Property Exemptions Overview

Type of PropertyExemption DescriptionLimit on AmountStatute(s)
Books, Pictures, Musical Instruments, Art Objects, CollectionsProtects limited-value personal items such as books, family photos, small art objects, and similar personal effects.$600 per debtor; joint debtors can each claim this amount and may combine it on jointly owned property under ORS 18.345(3).ORS 18.345(1)(a), (3)
Wearing Apparel, Jewelry, Personal ItemsClothing, jewelry, and other personal items used by you or your dependents.$1,800 per debtor in total wearing apparel, jewelry, and other personal items. In a joint case, each debtor can claim $1,800 and, for jointly owned items, the amounts may be combined.ORS 18.345(1)(b), (3)
Tools of the TradeImplements, tools, equipment, or professional books necessary for your trade, occupation, or profession.$5,000 per debtor. If both spouses work in the same business and file jointly, they can often claim and combine up to $10,000 in protected tools under ORS 18.345(3).ORS 18.345(1)(c), (3)
Motor VehicleEquity in one vehicle (car, truck, or similar) used for personal or family transportation.As increased by SB 1595, generally up to $10,000 in equity in one vehicle per debtor. Joint debtors may each claim a vehicle exemption, subject to statutory limits and special rules for certain support and restitution debts.ORS 18.345(1)(d), (3) (as amended); SB 1595/Family Financial Protection Act
Domestic AnimalsDomestic animals and poultry kept for family use, plus food to support them for 60 days.Up to $1,000 total in animals, plus food sufficient for 60 days.ORS 18.345(1)(e)
Household Goods, Furnishings, Provisions (Food & Fuel for 60 days)Typical household goods (furniture, appliances, electronics) plus provisions and fuel needed for about 60 days.Up to $3,000 in household goods and furnishings, plus provisions and fuel for 60 days.ORS 18.345(1)(f)
Spousal Support, Child SupportSpousal support, child support, or separate maintenance payments that you receive.Exempt to the extent reasonably necessary for the support of you and your dependents; special rules apply in support-collection cases.ORS 18.345(1)(i), (4)
Bodily Injury ClaimsCompensation for personal bodily injury (not including punitive damages or certain non–support-related claims).Up to $10,000 per debtor, with special limits if the garnishment is for past-due support.ORS 18.345(1)(k), (4)
Earned Income CreditFederal earned income tax credit (EITC) payments and traceable funds.Generally 100% exempt.ORS 18.345(1)(n)
Health Savings Accounts / Medical Savings AccountsAssets held in, or the right to receive payments from, a qualifying health savings account or medical savings account.Generally 100% exempt.ORS 18.345(1)(o)
General Personal Property (Wildcard)Exemption for any personal property (not real estate) not otherwise covered by another exemption.Up to $400 in any personal property per debtor. Joint debtors can each claim $400 and may combine their wildcard exemptions on jointly owned property under ORS 18.345(3). The wildcard cannot be used to increase the dollar limit of another Oregon exemption.ORS 18.345(1)(p), (3)

Homestead Exemption

Oregon’s homestead exemption is one of the most important Oregon bankruptcy exemptions. Under ORS 18.395, recent legislation (SB 1595) has increased the protected equity in your primary residence to at least $150,000 for a single debtor and at least $300,000 when two or more members of the same household own the home. These amounts are now tied to inflation and are adjusted periodically, so the actual limits may be higher by the time you file.

The homestead exemption applies to your personal residence (house, condominium, certain floating homes, and manufactured dwellings) and, in many cases, to sale proceeds for a limited time if you intend to reinvest in another homestead. Special rules can limit the exemption when a creditor is collecting child support, spousal support, or criminal restitution, so anyone with significant home equity should confirm current law and strategy with an Oregon bankruptcy attorney.

Wage Exemptions

Under ORS 18.385, generally 75% of a debtor’s disposable earnings are exempt from execution. In addition, Oregon law provides a minimum dollar amount that must remain after garnishment for each pay period (weekly, biweekly, monthly, etc.), and those floor amounts are being increased and indexed over time by recent legislation. Different rules apply to certain tax and support obligations, so wage exemptions should always be checked against the current statute before filing or responding to a garnishment.

Other Common Exemptions

TypeDetailsStatutes
One Rifle/Shotgun + One PistolExemption for one rifle or shotgun and one pistol, combined value up to $1,000 per debtor.ORS 18.362
Pension PlansMany qualified retirement and pension plans are generally exempt from execution, subject to plan type and federal law.ORS 18.358; related federal law
Social Security BenefitsSocial Security benefits are generally fully exempt from execution and remain exempt when deposited in a bank account so long as they are reasonably identifiable as exempt funds.ORS 23.166; 42 U.S.C. § 407; ORS 18.348
Aid to Disabled Persons / Public AssistanceGenerally fully exempt public assistance.ORS 412.610; ORS 411.760; related statutes
Certain Annuity Policy BenefitsCertain annuity benefits are exempt, in whole or in part, subject to statutory conditions and limits.ORS 743.049 and related provisions
Burial Lots Sold by Non-Profit CorporationGenerally fully exempt.ORS 65.870
Fraternal Benefit or Society BenefitsGenerally fully exempt.ORS 748.207
Health & Disability BenefitsGenerally fully exempt.ORS 743.050
Life Insurance ProceedsMany life insurance proceeds payable to certain beneficiaries are exempt, subject to statutory requirements.ORS 743.046; 743.047
Unemployment CompensationGenerally fully exempt from ordinary creditors; special rules can apply in support-collection cases.ORS 657.855; ORS 18.345(4)
Veterans’ Benefits & LoansGenerally 100% exempt.ORS 18.345(1)(m)
Veterans’ State Loan FundsGenerally fully exempt.ORS 407.595
Vocational Rehabilitation PaymentsGenerally fully exempt.ORS 344.580
Workers’ Compensation BenefitsGenerally exempt from execution; however, a portion may be reachable in certain support-collection scenarios under ORS 18.345(4) and related law.ORS 656.234; ORS 18.345(4)
Bank Account BalancesUnder recent changes to Oregon law, at least $2,500 in a debtor’s bank accounts at a financial institution is exempt from most garnishments, and additional amounts remain exempt when traceable to federal or state benefits (like Social Security, unemployment, or workers’ comp). Different rules apply for certain support and tax debts.ORS 18.348; SB 1595
College Savings AccountsCertain qualified college savings accounts (e.g., Oregon 529 plans) are exempt, subject to statutory conditions.ORS 348.863(2)

Residency Requirements & Homestead Timing

To use Oregon’s exemptions in bankruptcy, you generally must have lived in Oregon for at least 730 days (2 years) before filing. If you have not, federal law may require you to use your previous state’s exemptions instead. (11 U.S.C. § 522(b)(3)(A))

For homestead claims, a separate federal rule can cap the amount of state homestead protection if you acquired your home within 1,215 days before filing or in certain bad-act scenarios. As of 2025, the federal cap under 11 U.S.C. § 522(p) and (q) is $214,000, subject to future inflation adjustments. If you have significant home equity and recent ownership changes, you should get individual advice before filing.

Chapter 7 vs. Chapter 13 Property Treatment

In a Chapter 7 case, the trustee may sell non-exempt assets to pay creditors. In a Chapter 13 case, you typically keep all your property, but your plan must pay unsecured creditors at least as much as they would have received from non-exempt assets in a hypothetical Chapter 7 (the “best interests of creditors” test).

Disclaimer

This content is provided for informational purposes only and does not constitute legal advice. Exemption amounts, statutes, and interpretations can change, and many amounts are now tied to inflation and adjusted periodically. Always consult a licensed Oregon bankruptcy attorney or refer to the official Oregon Revised Statutes and current court materials for the most current and accurate information before filing a case or responding to a garnishment.