Illinois is an opt-out state, meaning you generally must use state exemptions instead of federal ones when filing Chapter 7 or Chapter 13. However, Illinois also allows some federal exemptions alongside the state’s. The table below consolidates major Illinois exemptions, including homestead, personal property, insurance, pensions, public benefits, wages, tools of trade, and a wildcard.
These exemptions come from 735 ILCS 5, along with various insurance and pension statutes. Always confirm the latest amounts inIllinois Compiled Statutes, as laws may change.
| Asset / Category | Exemption Description | Law Section | Notes |
|---|---|---|---|
| Homestead | Real or personal property (farm, lot, building, condo, co-op, mobile home) up to $15,000 equity. Sale proceeds exempt for 1 year from sale. Spousal Doubling: Each spouse may claim \$7,500 for a total of \$15,000, or \$15,000 each if appropriate. | 735-5/12-901, 12-906 | After death or desertion, homestead still benefits remaining spouse or minor children (735-5/12-902). |
| Bible, Family Pictures, Schoolbooks, Needed Clothing | Fully exempt | 735-5/12-1001(a) | |
| Health Aids | Fully exempt | 735-5/12-1001(e) | |
| Motor Vehicle | Up to $1,200 equity | 735-5/12-1001(c) | |
| Personal Injury Recoveries | Up to $7,500 | 735-5/12-1001(g)(4) | Above that amount may be partially exempt if for support. |
| Proceeds of Sold Exempt Property | Exempt if traced from sale of exempt assets | 735-5/12-1001 | |
| Boat Title Certificate (12 ft) | N/A / Some references only | 652-45/3A-7 | Typically must have a certificate of title, not per se an “exemption.” |
| Wrongful Death Recoveries | Needed for support | 735-5/12-1001(h)(2) | |
| Fraternal Benefit Society Benefits | Exempt | 215-5/299.1a | |
| Health / Disability Benefits | Fully Exempt | 735-5/12-1001(g)(3) | |
| Homeowners’ Insurance Proceeds | Up to $7,500 | 735-5/12-907 | If home destroyed, covers proceeds up to homestead limit. |
| Life Insurance, Annuity Proceeds or Cash Value | If beneficiary is insured’s child, parent, spouse, or dependent | 215-5/238 | Clause preventing proceeds from paying beneficiary’s creditors also helps. |
| Life Insurance Policy (Beneficiary = spouse or child) | Exempt | 735-5/12-1001(f) | Also see 215-5/238 for additional protection. |
| Life Insurance Proceeds (Needed for Support) | Exempt | 735-5/12-1001(f), (g)(3) | |
| Alimony, Child Support (Needed for Support) | Exempt | 735-5/12-1001(g)(4) | |
| Business Partnership Property | Not subject to individual partner’s creditors | 805-205/25 | Creditors can seek a “charging order” against the partner's interest. |
| Civil Service Employees | Pension exempt | 40-5/11-223 | |
| County Employees | Pension exempt | 40-5/9-228 | |
| Disabled Firefighters / Widows / Children | Exempt | 40-5/22-230 | |
| ERISA-Qualified Benefits | Fully exempt | 735-5/12-1006 | |
| Firefighters | Exempt | 40-5/4-135, 40-5/6-213 | |
| General Assembly Members | Pension exempt | 40-5/2-154 | |
| House of Correction Employees | Pension exempt | 40-5/19-117 | |
| Judges | Pension exempt | 40-5/18-161 | |
| Municipal Employees | Exempt | 40-5/7-217(a), 40-5/8-224 | |
| Park Employees | Pension exempt | 40-5/12-190 | |
| Police Officers | Exempt | 40-5/3-144.1, 40-5/5-218 | |
| Public Employees | Exempt | 735-5/12-1006 | |
| Public Library Employees | Pension exempt | 40-5/19-218 | |
| Sanitation District Employees | Pension exempt | 40-5/13-808 | |
| State Employees | Pension exempt | 40-5/14-147 | |
| State University Employees | Exempt | 40-5/15-185 | |
| Teachers | Pension exempt | 40-5/16-190, 40-5/17-151 | |
| Aid to Aged, Blind, Disabled, AFDC | Fully exempt | 305-5/11-3 | |
| Crime Victims' Compensation | Fully exempt | 735-5/12-1001(h)(1) | |
| Restitution (WWII relocation of Aleuts & Japanese Americans) | Fully exempt | 735-5/12-1001(h)(5) | |
| Social Security | Fully exempt | 735-5/12-1001(g)(1) | Also protected by federal law. |
| Unemployment Compensation | Exempt (including disability) | 735-5/12-1001(g)(1), (3) | |
| Veterans' Benefits | Fully exempt | 735-5/12-1001(g)(2) | |
| Workers' Compensation | Fully exempt | 820-305/21 | |
| Workers' Occupational Disease Compensation | Fully exempt | 820-310/21 | |
| Tools of Trade | Implements, books up to $750 | 735-5/12-1001(d) | For professional or business use. |
| Wages | Min 85% of earned but unpaid wages exempt; judge may allow more for low-income | 740-170/4 | Federal garnish limits also apply. |
| Wildcard | $2,000 of any personal property | 735-5/12-1001(b) | Includes wages (In re Johnson, 57 B.R. 635). |
Note: Married couples can often **double** certain Illinois exemptions, especially homestead, as per First National Bank v Mohr. Always verify if the property or exemption in question allows doubling.
- 735 ILCS 5/12-1001 to 5/12-1006 and other sections.
- Title 11 of the U.S. Code (Bankruptcy Code): Federal Bankruptcy Laws.
- Illinois Compiled Statutes & references to In re Johnson, First Nat’l Bank v Mohr.
Disclaimer: This page merges multiple sources to create a comprehensive Illinois exemptions list. Some amounts or statutes may have changed. Always consult a licensed Illinois bankruptcy attorney or the most recent ILCS for authoritative information.